Meeting of the Parliament 25 January 2023
I think that is where the global commodity prices have been impacting. Coming out of the pandemic, issues around steel and concrete have had a huge impact globally, not just in Scotland. The sector tells me that its major concern has been the impact of the Scottish Government’s rent controls. I am sure that that is why the Minister for Zero Carbon Buildings, Active Travel and Tenants’ Rights, who is sitting beside the cabinet secretary, finally took action to remove the social rented sector from the rent control legislation. I welcome that, but I wish that he had listened to Conservative concerns on that at the time.
The cabinet secretary has spoken about peaks and troughs in relation to the Government meeting its housing targets, but the concern is that we are currently seeing only troughs. I agree with what Willie Rennie said about delivering the homes that Scotland needs.
There is also a very real concern about the impact of the Scottish Government’s current proposed budget cuts, especially on the housing and local government budgets, which face significant pressures, as we hear from every councillor across Scotland.
I do not know why the Scottish Government has decided to target the cabinet secretary’s portfolios with such major cuts, compared with those of other ministers, but there will be a very real impact on meeting the housing targets of the future, and there will be a direct impact on key, vital council services.
The lack of new housing and affordable housing is a particular concern in rural and island communities. Last week, along with the Social Justice and Social Security Committee, I visited Uist, and the message that came across loud and clear from the islanders whom we met was that it is now critical for more affordable homes to be delivered in rural and island communities, in order to meet the needs of key workers and that, without urgent action, depopulation is rapidly becoming a real issue once again. That is not to mention the devastating impact that the on-going delay in delivering the new ferries, which the islands need, is having on transport connections and on those vulnerable communities.
Scottish Conservatives have continually called for the doubling of the Scottish Government’s rural housing fund, in order to help incentivise construction in remote and rural communities. The Government needs to really listen to that.
With regard to Collette Stevenson’s points about the national planning framework, the reason why I felt that we could not support the framework was that it did not acknowledge the housing crisis in Scotland. The Government needs to get real on that. It did not provide the framework that many wanted to see, with a focus on delivering the new homes that desperately need to be brought forward in all sectors across Scotland.
The situation for first-time buyers is also very concerning. The decision by SNP-Green ministers to scrap help-to-buy schemes has made it harder for many young first-time buyers to consider buying their first home. That is why Scottish Conservatives want to introduce a rent-to-own scheme, which would allow tenants to buy their home and receive a percentage of their rent to put towards a deposit. I hope that ministers will really take the proposal on board, look at the pressures that many households face and take that policy forward as soon as possible.
It is clear that ministers need to act and take into account the changing market—for example, by allowing councils to respond to varying prices across Scotland and raising the national threshold for land and buildings transaction tax.
We need to see a new approach from the Scottish Government. We all agree that we urgently need more social housing to be built. I have met representatives from that sector; there is real anger at how the Scottish Government has treated the sector, and they want to look to a long-term solution to address the lack of affordable housing.
As many members have mentioned, more action on empty homes is needed. For 15 years, the Government has promised to bring empty homes back into use, but we have not seen that progress. I agree with the point that was made in the Labour amendment that
“urgent interventions are required to unlock”
those homes, but those interventions have not come forward from this Government.
It is clear that very real negative impacts are on the horizon for our property market in Scotland. Surveys that were conducted by Scottish Land & Estates, Propertymark and the Scottish Association of Landlords demonstrate that people are now looking at removing their private rented properties from the sector. Seventy per cent of agents report that landlords are deciding not to bring forward rental properties.
Government ministers say that they agree that the private rented sector has a key part to play in ending homelessness and the housing crisis, yet we have seen them attack that sector, and fewer homes are coming forward. That crisis will only build as we head into the autumn.
We have real concerns about what could be the collapse of the private rental market in Scotland, especially here in the capital, where supply is significantly decreasing at the very time that demand for housing is increasing.
Ministers need to start heeding those warnings and act before it is too late.
I move,
That the Parliament believes that building new homes is the best way to address the housing crisis; expresses disappointment that the Scottish Government missed its house building target deadline by a year; is dismayed by the cuts to the housing budget in the Scottish Government’s proposed Budget 2023-24 and that residents in Scotland will be forced to pay higher property taxes than in the rest of the UK; believes that restrictions on rent and evictions reduce investment in housing markets; recognises that Scotland is currently experiencing a housing crisis, and calls on the Scottish Government to prioritise the delivery of new homes, particularly for the social rent sector and in rural and remote areas.