Budget Disappointing for Housing – SFHA

Budget Disappointing for Housing – SFHA

The Scottish Federation of Housing Associations (SFHA) has expressed deep disappointment that MSPs have not invested any extra funds in affordable housing in 2010-11.

The SFHA has expressed disappointment that the Budget leaves a £120million gap in this year’s affordable housing budget.

There is £120 million less in the Budget than planned this year as money was brought forward into 2008-9 and 2009-10 to stimulate the economy during the recession. The Bill shows this year’s affordable housing budget will drop to £471m from £675m in 2009-10.

On Energy Efficiency, the SFHA welcomes both the announcement of £10 million to fund a universal Home Insulation Scheme and £2 million for a boiler scrappage scheme. While these are a step in the right direction to  end fuel poverty and reduce carbon emissions, more needs to be done.

Speaking after the Scottish Parliament voted to pass a Budget which cuts spending on housing, SFHA Deputy Chief Executive Andrew Field said:

“The SFHA is deeply disappointed that MSP’s have not allocated extra funds for enough homes to meet demand, and boost communities and jobs across Scotland.

“Housing associations are now facing gaps opening up in their budgets for 2010-11 and beyond. There is a danger that affordable house building, which has been bridging some of the gap created by the slump in private developments, will fall significantly – at a time when demand for homes, especially affordable homes, is extremely high.

“While the SFHA commends the Scottish Government for reacting to the recession by bringing forward £120million to kick-start affordable house building last year, that money can’t be spent twice. Restoring it to this year’s Budget would have been a sensible and much-needed investment in communities across Scotland.”