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Seòmar agus comataidhean

Question reference: S6W-16895

  • Date lodged: 6 April 2023
  • Current status: Answered by Paul McLennan on 27 April 2023

Question

To ask the Scottish Government what action it is taking to ensure that Scotland maintains a viable rental market.


Answer

Housing to 2040, sets out our plans to continue delivering quality homes for private rent. Over the next decade, we will continue to support the provision of homes for private rent with a focus on maximising delivery of these homes at the affordable end of market rents, working with private sector investors and partners whose business models match our ambition to improve quality and affordability for tenants.

For the social rented sector, we are committed to delivering on our target of 110,000 affordable homes by 2032, of which at least 70% will be available for social rent and 10% will be in our remote, rural and island communities. We have delivered 118,124 affordable homes since 2007, over 83,000 (83,291) of which were for social rent, including 21,313 council homes. And we are pleased that housebuilding completions are at their highest annual rate since 2008, up 10% on last year, and that the number of affordable homes delivered is above the pre-pandemic year 2019.

Our ‘New Deal for Tenants’ draft strategy consultation set out that both private and social rented homes have a role to play in delivering affordable, quality housing which gives people choice and flexibility about where they live.

The New Deal for Tenants consultation set out the importance of attracting new investment to the private rented sector, acknowledging the important role of Mid-Market Rental properties and the Build to Rent sector. It was also acknowledged in the draft strategy consultation, that there is a clear need to improve the evidence base on the private rented sector in Scotland, in order to provide key evidence to support future policies. In the meantime, we continue to closely monitor available evidence and data in the private rented sector.

Finally, it is important to acknowledge the interconnections of second homes and Short Term Lets on the rental market. On 17 April, we launched a consultation on Second and Empty Homes – seeking views on giving powers to local authorities to increase the rate of council tax on second homes and empty homes. Nationally, we want to encourage more residential accommodation to be used as homes for living in and for these to be occupied for more of the time. Locally, councils should decide how to achieve the right balance in the use of housing to meet local needs and to support thriving communities.

Our Short Term Lets licensing scheme will allow local authorities and communities to take action to manage issues more effectively, without unduly curtailing the many benefits of short-term lets to hosts, visitors and the Scottish economy whilst ensuring short-term lets are safe and the people providing them are suitable. Powers to designate control areas will allow local authorities to manage high concentrations of short-term lets and help them ensure that homes are used to best effect in their areas. We consider the legislation is appropriate for the whole of Scotland, including island and rural communities, and offers considerable flexibility to local authorities on how it is implemented.