The call comes in the CIH submission to the Scottish Executive's comprehensive spending review. The submission concludes that in order to meet the current level of need for affordable rented housing an additional 8,200 new homes are required each year. The current building programme is for just over 4,300 homes per year.
Alan Ferguson, director of the CIH in Scotland said:
'This means that the Scottish Executive needs to fund the building of nearly twice as many affordable homes to rent as it is currently committed to. We reckon this will cost in the order of and extra£331m per year, equivalent to about£40,000 per new home.£331m is a tiny drop for the Scottish Executive's total yearly budget of nearly£26bn.
'We are also asking the Scottish Executive to help low income first time buyers by increasing investment in Low Cost Home Ownership initiatives such as shared ownership. Recent research by the CIH suggested that as many as 43% new households cannot afford to buy on the open market.
'To help facilitate these new developments we are encouraging the Scottish Executive to tackle the planning system and make it more proactive in meeting housing need. We also hope the Scottish Executive will ensure Scottish Water works closely with housing providers to identify where new water and sewerage investment should be targeted.'
1.The Chartered Institute of Housing in Scotland (CIH) is the only professional organisation for people who work in housing. Its purpose is to maximise the contribution that housing professionals make to the wellbeing of communities. The CIH has over 17,000 members in the UK with nearly 1,800 in Scotland. Members work within local authorities, registered social landlords, Communities Scotland, the Rent Service, voluntary organisations, educational institutions and the private sector.
2.The CIH submission is available
3.The comprehensive spending review sets the Scottish Executive's spending plans from 2005 up until 2008. Spending plan proposals will be announced in September 2004.
4.Shared ownership is a low cost home ownership option that allows a household to purchase a percentage of the house and rent the remainder. They can then over time purchase a greater percentage, as they can afford it, eventually achieving full ownership.
5.CIH research House Prices, Housing Market Trends and Housing Supply Issues in Scotland found that as many as 43% new households cannot afford to buy on the open market. This is available on the CIH website: http://www.cih.org/home_scotland/resproject015.pdf