Official figures report that the level of housebuilding in Scotland is at the lowest level in 80 years, slowing by six per cent from the same period last year, as homebuyers struggle to find mortgages. A total of 16,224 new homes in Scotland were completed in the 12 months to the end of June 2011, compared with 17,259 to the end of June 2010.
The figures from construction research group Glenigan also showed that the number of new home starts by private developers was down in the year, falling 11% from 15,117 to 13,456. There was however some cheering news from local authorities, who started 1,383 homes in that period – up 94%, from 713 the year before.
Housebuilding in Scotland is at its lowest level for 80 years, according to the latest offical figures from Glenigan
Further troubling signs from Scotland included the news from the Home Builders Federation (HBF) that the rate that Scottish housebuilders are asking for planning permission has plunged faster than other region in the UK. The HBF reported that approval was given for 5,478 new homes in the first six months of this year, a fall of more than 40% compared with around the 9,500 approvals agreed in the same period twelve months previously. The organisation goes on to state that new homes in Scotland accounted for just nine per cent of all planning approvals, down from around 18% two years ago.
Jonathan Fair, chief executive of homebuilding industry body Homes for Scotland says: “Excluding the years surrounding the Second World War and the impact of public spending cuts in 1982, housing production in Scotland is now at its lowest since 1931. Today’s figures confirm the continuing importance of Scottish Government interventions and initiatives such as the National Housing Trust, New Supply Shared Equity with Developers scheme and its support for the development of a mortgage indemnity guarantee scheme.”
A summit has been arranged between housebuilders, Scottish Housing Minister Keith Brown and Homes for Scotland to discuss the implications of these latest statistics and agree a plan to revitalise housebuilding in the country.
by WhatNewHomes team
Posted by annemcdonald 
