Housebuilders call for Scotland’s new first minister, Humza Yousaf, to engage with business and remove housebuilding barriers
Government housing statistics report a 12 per cent fall in new starts, down by 2,580 to 19,227, in the year to the end of September 2022. There was also a 27 per cent drop in housing association approvals to build new homes.
The ‘perfect opportunity’ to review areas creating housebuilding barriers in Scotland
Homes for Scotland, HFS, chief executive Jane Wood said: “His appointment presents the perfect opportunity to review the regulatory areas and other issues creating blockers to residential development across sectors to ensure that housing in Scotland meets the needs and aspirations of everyone living here.”
The trade body has warned that the government’s target to build more than 110,000 affordable homes by 2032 will be hard to reach.
Recent planning guidance for new developments to comprise at least 25 per cent of social housing and the introduction of Passivhaus energy standards by the end of 2024 have caused concern.
Supply chain capacity fears over Passivhaus
The Scottish Federation of Housing Associations has said that Passivhaus would result in higher building and maintenance costs and that supply chain capacity is insufficient to deliver these homes at scale.
Scottish Property Federation director Robin Blacklock commented: “There’s been a wider concern among the business community about the direction of policies and their relationship with businesses.”
Whilst the Scottish building industry has said it supports the government’s net zero targets, it is worried about the practicalities of achieving them.
Scotland has pledged to be net zero by 2045
Scotland has pledged to be net-zero by 2045 – five years earlier than England, with Edinburgh and Glasgow city councils aiming to be net-zero by 2030. It hopes to take one million homes off the gas grid with alternative energy sources such as electric heat pumps by 2030.
“There is a concern about meeting time scales as we’re still trying to recover performance after the Covid pandemic,” said Mr Blacklock.
Blacklock also added that developers and housebuilders would seek to develop a positive relationship with Yousaf, where business is seen as a means for achieving new housing objectives.
A speedier response to planning applications is needed
Brokers Hank Zarihs Associates said development finance lenders would like a speedier response to planning applications as this was one of the biggest housebuilding barriers facing SME housebuilders.
Yousaf has taken an active interest in housing, in particular, tackling the shortage of homes for key workers in remote parts of the country.
Yousaf has also commented that he would increase council tax on second homes across the Highlands, islands and north-east to limit holiday homes.
He narrowly beat Kate Forbes on the 27th of March to become the first minister. His Scottish National Party government is in a coalition with the Green party, which commentators predict will require careful handling.
