Scotland's housing system must adapt with 'radical thinking and bold new ideas' to the financial realities presented by reductions in public spending, according to a discussion document published by Scottish Ministers today.

Housing: Fresh Thinking, New Ideas poses fundamental questions about the way homes can be built, allocated, funded and managed in the future and is linked to a new website where members of the public can contribute to the debate.

An examination of where the Scottish Government's housing priorities should lie is also proposed: increasing social housing, supporting aspiring homeowners and reducing carbon emissions.

Scotland is facing 'unprecedented challenges'. Over the next 25 years, the number of households in Scotland is projected to increase by more than a fifth to 2.8 million - an average of an additional 19,000 households per year.

Continued effort is also needed to meet the 2012 homelessness targets, the needs of an ageing population and the annual carbon emissions reduction targets. Domestic emissions are responsible for 25 per cent of Scotland's carbon emissions.

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Ministers also unveiled a Scottish Government-funded pilot project, the first of its kind in the UK, which will analyse thermal imaging scans of 10,000 homes across Scotland. The results will help the drive to tackle fuel poverty and reduce carbon emissions.

Deputy First Minister Nicola Sturgeon said: "Housing is at the heart of our everyday lives and binds our communities together. Everyone - including government, landlords, lenders and builders - has a part to play in improving the housing system.

"This will not be easy as we face the prospect of sustained and substantial reductions in funding. That is the stark reality. So, just carrying on with what we are doing is not an option.

"There is an urgent need to adopt fresh thinking and new ideas to support increased supply, enhance the quality of existing stock and improve efficiency."

Housing and Communities Minister Alex Neil added: "This paper represents a radical new approach to housing policy in Scotland. New ideas and fresh thinking include for example: finding ways to attract pension fund monies for investment in social housing, joint working with developers to allow low to moderate income first time buyers to buy their own home, supporting the private sector in offering more Rent to Buy schemes, an expansion of non-subsidised social housing projects and increasing the role of shared equity schemes.

"In addition to the ideas laid out in this paper, the Scottish Government's two Housing Bills will reform the Right to Buy, make private investment in new housing easier to do, crack down on rogue landlords and introduce a new deal for tenants of both social housing and private landlords.

"Taken together these measures represent a radical departure from the past and bring housing policy in Scotland into the 21st century."

The publication of the discussion document is the starting point for a broad discussion about housing policy. This will take place throughout the summer, with events across the country to discuss the various themes. Towards the end of the year the Scottish Government will publish a paper setting out our housing policy proposals.

(GK)