Chamber
Plenary, 22 Feb 2007
22 Feb 2007 · S2 · Plenary
Item of business
Affordable Housing
As Karen Whitefield said, there cannot be a person in the chamber today who does not think that everyone in Scotland should have access to good-quality, warm, affordable housing. Along with good education, health and other core services, good housing has to be a basic tenet of any political party's beliefs. There is wide recognition that the Labour-led coalition has begun to make a difference by doubling investment in affordable housing since 2003. Since devolution, we have provided an additional 41,000 affordable homes, and in Stirling an extra 705 affordable homes. In total, the investment in affordable housing in the Stirling Council area is £37.7 million.
By the end of 2007-08, around £16 million will have been used for demolition and new build in the Cornton, Cultenhove and Middlemuir Road areas in Stirling. Additional investment will also bring much-needed new housing to Raploch, through the innovative urban regeneration company, as well as to other parts of Stirling. The Rural Stirling Housing Association has created developments in rural areas such as Aberfoyle, Balfron, Buchlyvie, Callander, Deanston, Drymen, Gargunnock, Gartmore, Killin, Kippen, Kinlochard, Strathyre and Tyndrum. In fact, two houses previously owned by Scottish Water will soon be opened at Stronachlacher, which was made possible through Scottish Executive funding.
The RSHA now owns and manages 430 homes. However, in Stirling itself, waiting lists are still relatively high, although there are fluctuations and the active applicants list is down at the moment. The RSHA list now stands at about 800 people, which is substantially more than it was three years ago.
The on-going expansion of homelessness legislation will increase substantially the number of statutorily homeless people referred to the RSHA by Stirling Council in the coming years, which will mean that there is less ability to meet the needs of non-statutory cases on the waiting list, although it is likely that there will be some transfer between the two groups—more people on the list will apply and be accepted as homeless. It is also likely to result in a greater need to provide support to a minority of homeless households to enable them to sustain a tenancy. The resources for such support, through supporting people funding, for example, will have to increase to meet that need.
When asked to list some of the obstacles in developing local affordable housing, the RSHA said that, first, there was a general lack of available land for acquisition. Stirling is a very pressured housing market area, and the owners of developable land know that it can command a high sale price. As a result, the housing association finds it difficult to compete. The amount of money the RSHA can offer for land on which to develop affordable housing is substantially less than what that land can fetch on the open market.
Under the affordable housing policy in the local plan for Stirling, a number of large sites designated for housing in the rural centres of Doune, Balfron and Callander must offer mixed housing and the developer must ensure that a percentage of that housing—usually 25 per cent—is affordable. That housing will usually be provided by the RSHA. However those sites are limited and simply form the bedrock for the development programme over the next five years or so.
Secondly, some settlements have infrastructure constraints. Although it continues to be difficult to secure an accurate picture from Scottish Water, it appears that sewerage capacity remains a problem in certain locations. I welcome the fact that more investment has been made in sewerage capacity, but there is still a large backlog of work that will likely take a long time to clear.
Thirdly, communities in Doune and Kippen, where future development is planned, recently identified the size of schools and the capacity of health centres as constraints. Indeed, I was alarmed to find out that Forth Valley NHS Board is not a statutory consultee on the planning application for housing in Doune. I wonder whether the minister will consider that particular loophole.
Fourthly, compared with prices in urban areas, it is generally more expensive per unit for the RSHA to develop housing because of factors such as land prices, the small-scale nature and relatively low density of developments, and the frequent need to invest in links to services and in road upgrading. As a result, the RSHA finds it more difficult to meet Communities Scotland's benchmark with regard to grant-per-unit indicators.
Finally I want briefly to mention some additional points that councils made in response to a survey that was issued last year by the cross-party group on affordable housing. On whether they had conducted housing needs assessments and had then used their findings to state a quantified land requirement for affordable housing, councils told us that they had not conducted needs assessments in time to inform their current plans or that the assessments were not robust enough to inform policy.
Secondly, most councils told us that their principal policy was to obtain land for affordable housing as a proportion of market sector housing. However, none of them claimed—or offered evidence—that the mechanism was sufficient to meet local needs.
In response to our question whether councils had safeguarded land, as suggested in planning advice note 74, the vast majority of councils—even those that had or claimed to have a shortfall in affordable housing—said that they had made no such allocation. In fact, only a few indicated any interest in doing so.
Councils also raised a number of general issues. For example, some highlighted the problems in planning affordable housing developments under the current Communities Scotland regime and felt that planning policies are not meeting land supply need—
By the end of 2007-08, around £16 million will have been used for demolition and new build in the Cornton, Cultenhove and Middlemuir Road areas in Stirling. Additional investment will also bring much-needed new housing to Raploch, through the innovative urban regeneration company, as well as to other parts of Stirling. The Rural Stirling Housing Association has created developments in rural areas such as Aberfoyle, Balfron, Buchlyvie, Callander, Deanston, Drymen, Gargunnock, Gartmore, Killin, Kippen, Kinlochard, Strathyre and Tyndrum. In fact, two houses previously owned by Scottish Water will soon be opened at Stronachlacher, which was made possible through Scottish Executive funding.
The RSHA now owns and manages 430 homes. However, in Stirling itself, waiting lists are still relatively high, although there are fluctuations and the active applicants list is down at the moment. The RSHA list now stands at about 800 people, which is substantially more than it was three years ago.
The on-going expansion of homelessness legislation will increase substantially the number of statutorily homeless people referred to the RSHA by Stirling Council in the coming years, which will mean that there is less ability to meet the needs of non-statutory cases on the waiting list, although it is likely that there will be some transfer between the two groups—more people on the list will apply and be accepted as homeless. It is also likely to result in a greater need to provide support to a minority of homeless households to enable them to sustain a tenancy. The resources for such support, through supporting people funding, for example, will have to increase to meet that need.
When asked to list some of the obstacles in developing local affordable housing, the RSHA said that, first, there was a general lack of available land for acquisition. Stirling is a very pressured housing market area, and the owners of developable land know that it can command a high sale price. As a result, the housing association finds it difficult to compete. The amount of money the RSHA can offer for land on which to develop affordable housing is substantially less than what that land can fetch on the open market.
Under the affordable housing policy in the local plan for Stirling, a number of large sites designated for housing in the rural centres of Doune, Balfron and Callander must offer mixed housing and the developer must ensure that a percentage of that housing—usually 25 per cent—is affordable. That housing will usually be provided by the RSHA. However those sites are limited and simply form the bedrock for the development programme over the next five years or so.
Secondly, some settlements have infrastructure constraints. Although it continues to be difficult to secure an accurate picture from Scottish Water, it appears that sewerage capacity remains a problem in certain locations. I welcome the fact that more investment has been made in sewerage capacity, but there is still a large backlog of work that will likely take a long time to clear.
Thirdly, communities in Doune and Kippen, where future development is planned, recently identified the size of schools and the capacity of health centres as constraints. Indeed, I was alarmed to find out that Forth Valley NHS Board is not a statutory consultee on the planning application for housing in Doune. I wonder whether the minister will consider that particular loophole.
Fourthly, compared with prices in urban areas, it is generally more expensive per unit for the RSHA to develop housing because of factors such as land prices, the small-scale nature and relatively low density of developments, and the frequent need to invest in links to services and in road upgrading. As a result, the RSHA finds it more difficult to meet Communities Scotland's benchmark with regard to grant-per-unit indicators.
Finally I want briefly to mention some additional points that councils made in response to a survey that was issued last year by the cross-party group on affordable housing. On whether they had conducted housing needs assessments and had then used their findings to state a quantified land requirement for affordable housing, councils told us that they had not conducted needs assessments in time to inform their current plans or that the assessments were not robust enough to inform policy.
Secondly, most councils told us that their principal policy was to obtain land for affordable housing as a proportion of market sector housing. However, none of them claimed—or offered evidence—that the mechanism was sufficient to meet local needs.
In response to our question whether councils had safeguarded land, as suggested in planning advice note 74, the vast majority of councils—even those that had or claimed to have a shortfall in affordable housing—said that they had made no such allocation. In fact, only a few indicated any interest in doing so.
Councils also raised a number of general issues. For example, some highlighted the problems in planning affordable housing developments under the current Communities Scotland regime and felt that planning policies are not meeting land supply need—
In the same item of business
The Presiding Officer (Mr George Reid):
NPA
The next item of business is a debate on motion S2M-5617, in the name of Rhona Brankin, on affordable housing.
The Minister for Communities (Rhona Brankin):
Lab
As we move towards the end of the second session of Parliament, it is time to take stock of our many achievements on affordable housing provision. I begin by...
Rob Gibson (Highlands and Islands) (SNP):
SNP
Given the desire to create affordable housing, why are compulsory purchase orders used so little to release land for housing, particularly in pressured areas...
Rhona Brankin:
Lab
In rural parts of Scotland such as islands, spend has increased. Communities Scotland is working in creative ways with the Forestry Commission Scotland to re...
Richard Lochhead (Moray) (SNP):
SNP
Will the minister give way?
Rhona Brankin:
Lab
No; I must make progress.I referred to the forest land scheme, which I launched last year and which is another measure that is targeted specifically at rural...
Richard Lochhead:
SNP
Will the minister give way?
Rhona Brankin:
Lab
I would like to make progress.Our affordable housing funding is being supplemented by the additional income from reduced council tax discounts for second and...
Margo MacDonald (Lothians) (Ind):
Ind
My question relates directly to the composition of the group. Are tenants in the majority?
Rhona Brankin:
Lab
The group reflects the people involved in delivering affordable housing—its composition reflects local authorities, tenants groups and the private housing se...
Tricia Marwick (Mid Scotland and Fife) (SNP):
SNP
I confess to being astonished that the housing minister could present a debate on the Government's record in housing and could speak for 11 minutes without m...
Margo MacDonald:
Ind
Would an SNP-led Executive ensure that the City of Edinburgh Council was able to build council houses, as the tenants in Edinburgh have said no to stock tran...
Tricia Marwick:
SNP
I have repeatedly said to the minister that all tenants have been more or less blackmailed into a yes vote. I have made it clear to ministers that they shoul...
The Deputy Minister for Communities (Des McNulty):
Lab
In any and every ward in Glasgow that has social rented housing, substantial investment is being made in repairs and central heating. Huge amounts of investm...
Tricia Marwick:
SNP
The tenants voted for small housing associations, as the deputy minister—
Des McNulty:
Lab
They voted for investment.
Tricia Marwick:
SNP
Wait a minute: the minister did not address the stock-transfer policy in her speech, so Des McNulty is not going to waste time trying to defend it in mine. T...
Des McNulty:
Lab
Will Tricia Marwick give way?
Tricia Marwick:
SNP
No I will not. Professor Bramley highlighted the fact that, as well as a need for new affordable housing to keep pace with demand, there was a backlog to be ...
Rhona Brankin:
Lab
Will Tricia Marwick give way?
Tricia Marwick:
SNP
No, I will not.That statistic shows one of the reasons why there is such pressure now.I find it hard to believe that the Bramley report did not take housing ...
The Presiding Officer:
NPA
You have one minute.
Tricia Marwick:
SNP
Most are not eligible for social housing, but they are being priced out of the housing market.I hope that you will give me a couple more minutes, given the i...
The Presiding Officer:
NPA
No. I have given you a bit more. I will give you another minute from now.
Tricia Marwick:
SNP
Okay. Many of those people are precisely the kind of people that Scotland needs—young graduates and families who want to put down roots.I recommend that MSPs...
Mr David Davidson (North East Scotland) (Con):
Con
We Conservatives consider the need for affordable housing to be among the top priorities for Scotland. We know that both the private and public rental and pu...
Brian Adam (Aberdeen North) (SNP):
SNP
Will the member explain the Conservatives' policy on council houses? Do they regard councils to be appropriate landlords and will they continue to support lo...
Mr Davidson:
Con
I will come to that point in a moment, when I will reply to the member fully.The council house service is under increasing pressure, with the average debt pe...
Dr Sylvia Jackson (Stirling) (Lab):
Lab
Is the member advocating not offering tenants a vote with regard to housing-stock transfer? Is he suggesting that we should just go ahead and do it without a...
Mr Davidson:
Con
That is not what I said at all. However, if the Government had gone about the task properly, people would not have voted no—they did so because of the confus...