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25/01/2016

Scottish Govt Increases Housing Subsidiaries

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Housing subsidiaries are to be increased for 'affordable' homes being delivered over the next three years, the Scottish Government has announced.

It is understood grant subsidiaries have been increased by up to £14,000 for each new home, with incentives being offered for homes which achieve a higher greener standard.

The subsidiaries help councils and registered social landlords (RSLs) purchase land/buildings to develop them into housing for social and 'affordable' rent.

A report by the 2015 Subsidy Working Group recommended the increase in a bid to reach the new 50,000 'affordable' homes target set by the Scottish Government.

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Subsidies for RSLs in city and urban areas now goes up from £58,000 to £70,000, and for council homes from £46,000 to £57,000.

Housing Minister Margaret Burgess said the Scottish Government supports the expert group in its recommendations.

"Housing is at the heart of our ambitions to create a fairer and prosperous country and councils and registered social landlords will play a critical role in realising that," she said.

"We have a strong record on housing, having exceeded our target to deliver 30,000 affordable homes in this Parliament. We also started a new generation of council house building and have taken steps to safeguard social housing for the future by abolishing the right to buy.

"Our new target will be to deliver at least 50,000 affordable homes, which will be backed by over £3 billion of investment.

"The new target is a 67 per cent increase in affordable housing supply, with 70 per cent of the new target being for social rent."

(LM/CD)

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