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Housing crisis 'worst since WWII' | Housing crisis 'worst since WWII' |
(1 day later) | |
The house building industry says Scotland is facing its worst housing crisis since World War II. | The house building industry says Scotland is facing its worst housing crisis since World War II. |
Industry body Homes for Scotland said it could take up to 10 years for new developments to return to pre-recession levels. | Industry body Homes for Scotland said it could take up to 10 years for new developments to return to pre-recession levels. |
Chief executive Jonathan Fair said a lack of finance and access to mortgages were holding back a recovery. | |
Housing Minister Alex Neil said the government was investing £1.7bn in the industry over a three-year period. | |
However, Mr Fair said the target of 35,000 homes by 2015 was a "long way away". | |
The number of new homes being built fell from 25,000 a year before the recession, to 15,000 last year. | The number of new homes being built fell from 25,000 a year before the recession, to 15,000 last year. |
Mr Fair said: "It's important that target remains, but we have to be realistic about how achievable it is. | Mr Fair said: "It's important that target remains, but we have to be realistic about how achievable it is. |
We need to see mortgage availability improve significantly, particularly for first time buyers Jonathan FairHomes for Scotland | We need to see mortgage availability improve significantly, particularly for first time buyers Jonathan FairHomes for Scotland |
"I think it will be many years before we get to those kind of numbers on a regular basis in Scotland." | |
In the past few months, some developments have started and others previously mothballed, have been restarted. | In the past few months, some developments have started and others previously mothballed, have been restarted. |
The industry sees this as cautious signs of an improvement this year. | The industry sees this as cautious signs of an improvement this year. |
Launching the Homes for Scotland manifesto ahead of the general election, Mr Fair said more action was needed. | Launching the Homes for Scotland manifesto ahead of the general election, Mr Fair said more action was needed. |
"We need to see mortgage availability improve significantly, particularly for first time buyers," he said. | "We need to see mortgage availability improve significantly, particularly for first time buyers," he said. |
"We need to look at fundamental reform of stamp duty and we need to think about encouraging tax incentives for investment in private rented housing." | "We need to look at fundamental reform of stamp duty and we need to think about encouraging tax incentives for investment in private rented housing." |
'Innovative models' | |
Private housing is often developed in conjunction with social housing, helping to make it more affordable. | Private housing is often developed in conjunction with social housing, helping to make it more affordable. |
The drop in new build homes has been a major concern for homeless charity Shelter Scotland. | The drop in new build homes has been a major concern for homeless charity Shelter Scotland. |
Director Graeme Brown said: "We have 140,000 people on council house waiting lists and we have 40,000 people assessed as homeless. Any downturn in the number of private houses developed, has a serious impact on social housing." | Director Graeme Brown said: "We have 140,000 people on council house waiting lists and we have 40,000 people assessed as homeless. Any downturn in the number of private houses developed, has a serious impact on social housing." |
However, Mr Neil said: "This government is committed to increasing the supply of affordable housing. | |
"That's why we're investing £1.7 billion over three years to deliver thousands of new affordable homes and support jobs in the house building industry. | |
"We are in discussions with the industry about innovative investment models which will ensure housing funding has an even greater impact." |
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