Ambitious housing vision needs clearer strategy

The Scottish Government’s vision to provide an affordable home for all by 2020 is an ambitious one. The supply of housing is not keeping up with levels of need and the government needs to clarify how it will work with councils and other partners in the sector make sure its targets are met.

An Audit Scotland report, Housing in Scotland, says there are significant challenges ahead. The population is growing and Audit Scotland estimates it could be twenty years before enough new homes are being built to meet the projected increase in households.

The number of new homes built by the private sector in Scotland has more than halved in recent years. Councils and Registered Social Landlords (RSL) have an important role to provide homes at low rents, but since 2005, they have built 14,000 fewer homes than Scottish Government research suggested were needed.

Changes to the benefit system, an ageing population and the increasing number of single person households are creating further pressures.

The Scottish Government and councils recognise that good housing can make a positive contribution to improving local communities and the broader economy; however the recession means less public and private funding is available.

The report, for the Auditor General and the Accounts Commission, notes that Scottish Government funding for housing fell by around a quarter between 2008/09 and 2011/12 with further reductions to come.

Caroline Gardner, Auditor General for Scotland, said:

“Housing is a significant national asset and the sector in Scotland is under increasing pressure. Budgets are tightening, while demand is increasing and fewer houses are being built. Housing needs long-term planning and investment, but planning and funding arrangements have changed frequently. Funding is hard to track which makes it difficult to know if money is being well spent and whether initiatives are successful.

“The Scottish Government has an ambitious vision for housing. It needs to work with councils and their other partners to make sure that clear, long-term plans are in place to address challenges and to help them tackle important issues like homelessness and the quality of housing.”

John Baillie, Chair of the Accounts Commission, said:

“Good housing is important for individuals and families but also for wider society. It can support economic growth, promote strong, resilient communities and improve health. Links between housing and other policy areas at both national and local level should be stronger, to help improve the impact that good housing can make to our communities.”