The Scottish Government’s decision to reduce by 4,500 homes the number of houses to be developed in Edinburgh has been questioned by Sarah Boyack, Scottish Labour MSP for Lothian following the Ministerial Statement on National Planning Framework 4.
Ms. Boyack asked the Planning Minister, Tom Arthur, to explain why the number of houses to be developed in Edinburgh has been reduced by 4,500 homes at a time when the city is facing a long-standing deepening crisis.
The MSP for Lothian raised also issues around the capacity of GPs to cope with rising demand and asked about whether new GP and local health services will be included in planning application for the new housing being proposed across the Lothian given the challenges the region is already facing in terms of GP capacity in areas where significant new development is being planned.
The National Planning Framework (NPF) is a long-term plan for Scotland that sets out where development and infrastructure is needed.
Scotland’s fourth National Planning Framework (NPF4) will guide national and regional spatial development and set out priorities and national planning policies up until 2045.
Commenting, Sarah Boyack MSP said: “A housing crisis affecting those on low or modest incomes, students and families looking for long term housing is unfolding not only in Edinburgh but across Scotland. The available properties are unaffordable or inaccessible for many and affordable, high-quality properties are almost non-existent.
“Reducing the number of new housing developments in Edinburgh will be catastrophic for people, the city and our local economy.
“The SNP claim they want to build a new Scotland – but they are going into reverse.
“In Musselburgh, people are struggling to access vital GP services – with rising local population and housing developments, this is rapidly becoming a pattern we see across Scotland.
“Planning applications should be considering issues around GPs’ capacity – we can’t gamble with people’s lives.
“The Minister dodged my question, offering nothing more than empty rhetoric.”
The City of Edinburgh Council is encouraging its housing tenants to take part in a housing rent consultation. This annual consultation helps influence how the Council spends the money it raises from rental income.
The cost-of-living crisis is also impacting on our costs to run housing services. It is now more expensive to ensure our Council homes meet statutory energy efficiency standards and to build new affordable homes.
Over the next eight weeks we’re seeking tenants’ views on their priorities on how we spend the rent money we collect, what their views are on rent increases, and the financial challenges they face.
We recognise that this year will be particularly challenging for all residents with rising inflation, spiralling prices, and the wider cost-of-living crisis.
However, costs of providing landlord and housing services are increasing, and tenants previously told us they want us to invest in homes to make them more energy efficient and that they need more affordable homes. We have frozen rents for two years, now we need to know what tenants think about what we do next year.
The Scottish Government has recently announced that council rents will remain frozen across Scotland until at least March 2023. At this stage it is unclear whether this will be extended beyond the spring.
Depending on the outcome of this we will consider options for a rent increase in 2023-24. However, any change in rents must take into consideration tenant’s views and input.
We would use any increase in rent to invest in homes to make them more energy efficient and help tenants save money, as well as improving the landlord service that we provide.
We are looking forward to hearing from our tenants on housing and how the Council can further support them through the cost-of-living crisis.
Councillor Jane Meagher, Housing, Homelessness and Fair Work Convener, said: “Tenants and their views are at the heart of our housing priorities and goals. With the current cost-of living-crisis and rising economic uncertainty, it is more important than ever that our tenants have a say in how the Council goes forward with housing.
“I hope that this year’s consultation will allow the Council an informative and insightful view into how tenants would like rental income spent.
“We want to make sure rents are affordable for tenants whilst also being able to sustainably invest in the standard and quality of council homes for the future.
“I would urge all council tenants to participate in the consultation and make their voices heard.”
Emergency legislation giving tenants increased protection from rent increases and evictions during the cost of living crisis has become law after receiving Royal Assent.
The Cost of Living (Tenant Protection) Act gives Ministers temporary power to cap rent increases for private and social tenants, as well as for student accommodation.
This applies to in-tenancy rent increases, with the cap set at 0% from 6 September 2022 until at least 31 March 2023, effectively freezing rents for most tenants during this period.
Enforcement of eviction actions resulting from the cost crisis are prevented over the same period except in a number of specified circumstances, and damages for unlawful evictions have been increased to a maximum of 36 months’ worth of rent.
Tenants’ Rights Minister Patrick Harvie said: “Many people who rent their homes are facing real difficulties as a result of the cost of living crisis. While bills are rising for all of us, many tenants are more exposed as they are more likely to be on low incomes or living in poverty than other people.
“These measures aim to give tenants greater confidence about their housing costs and the security of a stable home.
“Some landlords may be feeling the effects of this crisis too. So while the primary purpose is to protect tenants, the emergency measures also include safeguards for those landlords who may be impacted.
“For anyone struggling with their rent, I would urge you to contact your landlord, an advice organisation or a tenants’ union to get help as early as possible.”
Edinburgh Lettings Agent Clan Gordon has been looking at what this means for the landlords and tenants that they represent.
Clan Gordon Managing Director, Jonathan Gordon, was part of the Scottish Government’s working Group which consulted on and helped them develop the Private Residential Tenancy (PRT) regime in 2017 which transformed the sector, introducing far greater protection for tenants and simpler procedures for landlords.
He said: “It is reassuring to hear Ministers say the new Cost of Living (Tenant Protection) Bill balances the protections that tenants need, with safeguards for those landlords who may also be impacted by the financial crisis.
“Under the new law, rents for existing private and social housing tenants cannot be increased until at least the end of March 2023 and can be extended for up to a further 12 months in two six-month blocks.”
So, what does this mean for landlords? Although the rent cap can continue at the current 0% rate or can be varied at ministers’ discretion, there is no cap or limit on increasing the rent when advertising for new tenants.
Jonathan continued, “Despite the media attention when this was announced this is not a ban on landlords ending tenancies. Landlords can still serve notice as normal if they wish to end a tenancy.
“Most tenants leave during the notice period when they find alternative accommodation so this restriction will have little effect here. If the tenant doesn’t leave during the notice period, the landlord can apply to the tribunal for an eviction order as normal.
“However, the legislation delays a landlord from enforcing an eviction order issued by the tribunal in some circumstances for up to six months.
“Tenants can still be evicted for anti-social behaviour, lender reposition, abandonment, substantial rent arrears or if the landlords intend to sell or move back in to the property to alleviate financial hardship.
“We are also very pleased to see that as well as considering the tenants in this legislation, there are new safeguards for private landlords who find themselves impacted by the cost-of-living crisis.
“In certain circumstances, Landlords will be able to apply to Rent Service Scotland to increase the rent on a property to cover up to 50% of a limited number of specific costs, including increased mortgage interest payments and increases in landlords insurance or service charges.
“Interestingly the rent cap also applies to university halls of residence and other student accommodation where energy costs may be included in rent payments.
“There has been widespread concerns about increases to fuel prices, but the legislation prevents landlords passing on gas and electricity cost rises, in increased rents within the next six months unless the landlord can prove excessively high use of any utilities.
“Students are also covered by the same eviction laws and can only be evicted in cases of anti-social or criminal behaviour.
“Our approach has always been to encourage landlords to help us support any tenant who faces any difficulties including financial ones and in conjunction with our landlords we worked to support a lot of tenants financially and otherwise during the Covid pandemic and lockdowns.
“This is going to be a difficult road ahead and we are pleased that the government has put some measures in place to support and protect landlords and tenants.
The government advice website www.costofliving.campaign.gov.scot offers helpful tips, advice and guidance and our team will be very happy to offer advice about the new legislation to those affected by the current cost of living crisis.”
August House Price Index from Walker Fraser Steele:
Scotland’s average house price decreased in August by £225
But 31 Local Authorities have seen prices rise over the year
Shetland Islands have highest annual growth rate at 19.6%
Larger number of high-value sales in 2022 than 2021
Average house price £224,117, down 0.1% on July, 7.6% up annually
Table 1. Average House Prices in Scotland for the period August 2021 – August 2022
Scott Jack, Regional Development Director at Walker Fraser Steele, comments:“The average price paid for a house in Scotland in August 2022 was £224,117 – a slight decrease of 0.1%, from the price established in July.
“It is only significant in so far that it is the first decrease in Scotland’s monthly average house price since June 2021, but it is important to remember that on an annual basis, the price is some £15,900, or 7.6%, higher than it was in August 2021.
“One reason for the continued resilience is the number of sales recorded over £750k. Our data shows that some 82 sales were recorded at values over £750k during August 2022. We think this figure will increase as further sales for the month are processed by the Registers of Scotland.
“What this number of sales over £750k tells us is that “working from home” and the “race for space” continue to be important features of the current housing market, even if the prominence of the Covid restrictions are beginning to wane.
“Properties of this nature command more space to accommodate new ways of living but remain in short supply which again supports the average house price – even in the face of some meaningful economic headwinds thanks to global inflationary pressures.
“How resilient prices are over the coming months remains to be seen. Certainly, some of the recent domestically inspired spikes to mortgage affordability may yet dampen buyer enthusiasm, but today’s interventions from the new Chancellor are designed to stabilise the cost of borrowing – and there remains a shortage of desirable property.”
Commentary: John Tindale, Acadata Senior Housing Analyst
The August housing market
The average price paid for a house in Scotland in August 2022 was £224,117. This represents a marginal fall of £224, or -0.1%, from the price established in July, the first fall in Scotland’s monthly average house price since June 2021.
Although the average price fell in the month, on an annual basis the price is some £15,900, or 7.6%, higher than it was in August 2021. This annual rate has slowed from the 10.6% growth seen in June, but that month was assisted by a near £3,000 fall in prices which occurred twelve months earlier in June 2021, meaning that the base point for measuring June’s growth rate had started from a particularly low level.
As Figure 1 below shows, since the start of this year the average house price growth in Scotland has been oscillating on a bi-monthly basis, so the fall in the August rate was not unexpected.
Figure 1. The monthly rate of house price growth in Scotland over the period August 2021 to August 2022
As shown in Table 2 sales of high-value properties in the first eight months of the year are at an all-time high, with no indications that the pace of such sales is diminishing. This would suggest that the post-Covid lifestyle changes associated with “working from home” and a “race for space” remain as motivation for would be home-movers, with competition for the right property continuing to keep prices high.
The commentary in this release relates to the August housing market in Scotland. This does of course pre-date the somewhat remarkable events of September and October, with a Mini-Budget having been delivered on 23rd September and a new Chancellor being installed on 13th October.
As noted in this release, the housing market has shown considerable resilience over recent months, in spite of predictions otherwise. Although interest rates have been edging up, it is clear there is still considerable buying power and appetite in the market. Our task will be to report on what happens to completion prices based on cash and mortgaged transactions across Scotland. There will be much on which to reflect.
Transactions analysis
Figure 2 below shows the monthly transaction count for purchases during the period January 2015 to August 2022, based on RoS (Registers of Scotland) figures for the Date of Entry (August 2022 totals are based on RoS Application dates).
The effect of the Covid pandemic – which started in March 2020 – can be clearly seen from the graph. Housing transactions in April 2020 plummeted with the arrival of the pandemic, to be followed by a slow rise in sales as confidence began to return. Then followed a period when sales exceeded previous levels, from September 2020 to March 2021, as lifestyle changes and the LBTT tax-holiday pushed up demand – especially for properties with space to allow for working from home.
The March 2021 peak is also clearly visible, which coincided with the last month of the LBTT tax-holiday. The final month typically creates a peak in transactions, as purchasers rush to take advantage of the tax-holiday before the end of the month, after which time the tax savings come to an abrupt halt.
Sales from June 2021 onward also tended to be higher than during the previous five years (2015 – 2019), as demand for larger properties with space and potential holiday lets continued to stimulate the market. It is only from the start of 2022 that demand appears to have weakened marginally, with sales from March 2022 to July 2022 no longer exceeding those of the previous years, although Table 2 on the next page indicates that the demand for properties priced in excess of £750k continues to be strong.
In the graph below, the August 2022 total shows a small increase in transactions compared to July 2022, but the figure for the month remains an estimate, so at this stage not too much weight should be given to the predicted rise in sales.
RICS (Royal Institution of Chartered Surveyors), in its August 2022 Residential Market Survey, is continuing to point to an easing in sales market activity, with metrics on demand and sales remaining in negative territory over the month. RICS do however add that that the current level of market appraisals being undertaken is similar to that seen twelve months ago, suggesting the tight supply backdrop is unlikely to change dramatically in the near future – this remains consistent with a still reasonably solid degree of upward movement in house prices for the time being.
Figure 2. The number of sales per month recorded by RoS based on entry date (RoS applications date for August 2022), for the period 2015 – 2022. (Source: Registers of Scotland.)
Scotland transactions of £750k or higher
Table 2. The number of transactions by month in Scotland greater than or equal to £750k, January 2015 – August 2022
Table 2 shows the number of transactions per month in Scotland which are equal to or greater than £750k. The threshold of £750k has been selected as it is the breakpoint at which the highest rate of LBTT becomes payable.
Table 2 shows that there were 82 sales in excess of £750k during August 2022, and we anticipate that this total will increase by another twenty-plus in number, as further sales for the month are processed by the Registers of Scotland. If this proves to be the case, then six of the eight months in 2022 will have seen a higher number of sales in excess of £750k than in 2021, which was itself ahead of all previous years. Certainly, looking at the first eight months of 2021, for comparative purposes, there were 692 sales above £750k, which have been exceeded by the 710 sales seen in 2022.
These statistics suggest that the “lifestyle changes” associated with the pandemic, of “working from home” and the “race for space”, continue to be important features of the current housing market, even if the prominence of the Covid restrictions are beginning to wane.
The five authorities with the largest number of the 710 high-value sales that have been recorded to date in 2022 are: Edinburgh (360); Glasgow City (46); Fife (39); East Lothian (36); and finally East Renfrewshire (24). From these figures it can be seen that in 2022, Edinburgh accounts for just over half of this sector of the housing market.
Local Authority Analysis
Table 3. Average House Prices in Scotland, by local authority area, comparing August 2021, July and August 2022
Table 3 above shows the average house price and percentage change (over the last month and year) by Local Authority Area for August 2021, as well as for July and August 2022, calculated on a seasonal- and mix-adjusted basis. The ranking in Table 3 is based on the local authority area’s average house price for August 2022. Local Authority areas shaded in blue experienced record average house prices in August 2022.
Annual change
The average house price in Scotland increased by some £15,900 – or 7.6% – over the last twelve months, to the end of August. This is a near £3,100 decrease over the £19,000 growth in prices seen in the twelve months to the end of July 2022 – and represents the second month in a row in which the increase in prices on an annual basis has slowed.
In August 2022, 31 of the 32 local authority areas in Scotland saw their average prices rise over the levels seen twelve months earlier, the same number as in July. The one area that saw values fall over the year was East Lothian, where prices have dropped by 1.9%. In East Lothian, it is the average price of detached properties that have fallen the most over the past year, from an average £520k in August 2021 to £490k in August 2022.
The area with the highest annual increase in average house prices in August 2022 was the Shetland Islands, where values have risen by 19.6% over the year. However, as regular readers of our reports will know, the Islands frequently have the largest movement in average house prices due to the small number of transactions that take place each month, with just 21 sales in August. On the mainland, the authority with the highest increase over the year was – for the fifth month in succession – Argyll and Bute, at 17.1%. Interestingly, in August, it was “Flats” that saw the largest increase in average prices in Argyll and Bute, assisted by the purchase of a ground floor conversion of a Victorian villa in Helensburgh for £560k.
On a weight-adjusted basis, which incorporates both the change in prices and the number of transactions involved, there are six local authority areas in August that accounted for 49% of the £15,900 increase in Scotland’s average house price over the year. The six areas in descending order of influence are: – Glasgow (11%); Edinburgh (11%); South Lanarkshire (10%); Highland (7%); Fife (5%); and West Lothian (5%).
Monthly change
In August 2022, Scotland’s average house price in the month fell by some £225, or -0.1%. This is the first fall in the average house price in a month since June 2021.
In August 2022, 20 of the 32 Local Authority areas in Scotland experienced rising prices in the month, the same number as in July. The largest increase in average prices in August was seen, for the second successive month, in Inverclyde, up by 7.0%. Last month we reported that prices in July in Inverclyde had been assisted by the purchase of an upmarket flat in Greenock. This was a lower-floor conversion of a traditional 5-bedrom 1870 Victorian blonde sandstone property, which sold for £370k. In August, it transpires that a further upper-floor conversion was sold in the same street for £410k, which helped secure Inverclyde’s position as having the highest increase in average prices in the month.
At the other end of the scale, the lowest increase in average prices in August was in Stirling, at -4.9%. The third-highest priced sale of the year in Stirling had been included in the statistics for last month – a detached home in Croftamie, a village located some 25 miles to the north of Glasgow, which sold for £1.4 million. But, having dropped out of the statistics this month and with no similar property taking its place, average prices in Stirling in August dropped accordingly.
Peak Prices
Each month, in Table 3 above, we highlight in light blue the local authority areas which have reached a new record in their average house prices. In August there are 7 such authorities, down from the 11 seen in July. With average prices in Scotland falling in August we should advise that Scotland itself is no longer at a record price, the first time this has happened this year.
Heat Map
The heat map below shows the rate of house price growth for the 12 months ending August 2022. As reported above, 31 of the 32 local authority areas in Scotland have seen a rise in their average property values over the last year, the one exception being East Lothian. The highest increase on the mainland over the twelve months to August 2022 was in Argyll and Bute at 17.1%. 14 of the 32 local authority areas had price growth in excess of 10.0% – two less than in July 2022.
Comparisons with Scotland
Figure 3. Scotland house prices, compared with England and Wales, Wales, North East and North West for the period January 2005-August 2022
Figure 4. A comparison of the annual change in house prices in Scotland, England and Wales, Wales, North East and North West for the period January 2005–August 2022
Scotland’s Eight Cities
Figure 5. Average house prices for Scotland’s eight cities from June 2021–August 2022
Figure 6. Average house prices for Scotland’s eight cities August 2022
Prospective buyers hoping to reserve a property at the popular Pennywell Living development in Edinburgh will need to move fast, as there is only a small collection of apartments left that are ready to call home.
The remaining apartments are available at the north Edinburgh development, which is delivered by regeneration specialists Urban Union, after the final batch of houses in Phase 3 sold out in 2 weeks.
Currently available is the ‘Adam’, a two-bedroom apartment perfect for those looking for their first home or looking to downsize. Starting from £191,995, this home features a bright open-plan kitchen and living area, perfect for entertaining friends. The main bedroom is spacious and comes complete with an en-suite. There is plenty of storage area including fitted wardrobes and a separate utility cupboard.
Also ideal for first-time buyers, the ‘Ross’ is a one-bedroom second floor apartment offering a large open plan living and kitchen space starting from £169,995. With contemporary specification and energy efficient living, the ‘Ross’ offers excellent storage space and is completed with a modern bathroom.
Located only a few miles from Edinburgh city centre, Pennywell Living is in a prime position to make the most of the many shops, bars and restaurants the capital has to offer. Also, with great local primary and secondary schools, and a wealth of useful amenities in the area, the development is perfect for young professionals and families alike.
Neil McKay Managing Director at Urban Union, said: “We are absolutely delighted with the past sales success at Pennywell. Given how popular properties have been at the development we really don’t expect these apartments to be around for long and we encourage potential buyers to come down to the development and get a feel for the properties in person as soon as possible.
“Prospective buyers will be amazed by the spacious apartments available which offer the home comforts and efficiencies you would expect from a brand-new home, and so much more.”
Every Urban Union home is highly energy efficient and is completed with all the features necessary for modern life, including high-quality, fully integrated kitchens and bathrooms, plenty of storage space and spacious living areas perfect for those looking for a place to call home.
Apartments at Pennywell Living are available to reserve now with just £99 reservation fee.
For further information visit the Urban Union website, call07940 992182 or email:
TODAY (Monday 10 October) marks World Homeless Day, which highlights the issues facing many people without a permanent home in our communities.
With the cost of living rising, we want to raise awareness of the help we have available and what we are doing to increase our impact.
Prevention is better than a cure
The best way to tackle homelessness is to stop it from happening in the first place and to help as many people as we can before they find themselves at risk of losing their home.
We’re looking ahead to this winter and putting plans in place to help those at risk of fuel poverty, with a dedicated cost of living directory, and we’re working with Changeworks as we do every year, so that support is available to make homes warmer and more energy efficient.
Our Rapid Rehousing Transition Plan steps up activity to prevent homelessness, maximises our supply of and access to settled housing options, reduces the time people spend as homeless, especially in temporary accommodation, and helps us to provide tailored support as and when people need it. It is a five-year plan which prioritises prevention and directs every decision we make to improve the homelessness services we provide.
24/7 help and advice
Despite working to prevent homelessness, sudden events, life changes or circumstances can lead to someone losing their home or rough sleeping unexpectedly. We have an emergency out of hours service which can be contacted at any time on 0800 032 5968.
We will provide a housing options interview to anyone at risk of becoming homeless within the next 56 days with the aim of stopping each person from losing their home, giving advice on housing options and involving other agencies who can help.
Streetwork is a charity that supports people who are homeless in Edinburgh. Their team is out on the streets every day and night, helping people to resolve their homelessness as quickly as possible. Anyone can contact Streetwork if they are worried about someone they think is homeless, on 0808 178 2323 or at streetteam@streetwork.org.uk.
Streetwork will go out to find the person to offer them support.
The Scottish Government has imposed a nationwide rent freeze until March 2023 to help with the cost of living crisis. Yet, Edinburgh still experiences some of the highest private sector rents in Europe.
That’s why we’ve created a dedicated team tasked with reducing the number of people who become homeless from the private rented sector. By the end of March 2022, this team has supported 100 homeless households to access a settled home in the private rented sector or in mid-market rent properties – preventing homelessness for 240 households by helping them to remain in their current private rental tenancy, or by supporting them to access a new home in a private rented sector or mid-market rent property.
Early intervention for Council tenants
We’ve frozen rents for Council tenants for two years running and Councillors are considering extending this for another year.
We’ve carried out an early intervention pilot project to identify and support Council tenants who are at serious risk of court or eviction action from failing to pay rents, but who have been difficult to engage with. Over the course of the pilot, 49% of household referrals engaged with the service and remain in their home and now we will seek to develop the service further.
Tailored help at the hardest of times
We’re developing pathways to avoid homelessness for people at key transition points in their life – such as leaving hospital or prison or fleeing domestic abuse – and have specialist support in place for anyone at these junctures.
In 2020 we adopted a new Domestic Abuse Housing Policy which aims to give people affected by domestic abuse access a range of housing options. It prioritises, where possible, those subjected to abuse safely staying where they are or moving quickly and with strong support into a safer space.
Breaking the cycle of repeated homelessness
Experiencing homeless is a hugely stressful and challenging event for anyone. Often there are complex reasons why a person returns to homelessness. We work with our partners like NHS Lothian, Streetwork, Shelter and Bethany to offer mental health, addiction and other help to try and break the cycle.
Providing a home is just one aspect of combatting homelessness. Helping people to access financial support, set up a bank account, find employment, access the internet, and participate in community life are all ways which can support independence and stability. We work with partners in the third sector to provide this help.
Edinburgh Help to Rent is a scheme to help homeless households’ access and keep a private rented tenancy in Edinburgh. The scheme provides a rent deposit guarantee bond and offers rent in advance, as well as furniture, and access to support if needed. This service is delivered by Crisis and 138 bonds have been issued to households over the course of the project so far, with 38 issued in the year to March 2022.
Better support for people experiencing homelessness
We have been delivering a scheme called Housing First since November 2018. It provides ordinary, settled housing with separate wrap-around support for people with the most complex of needs. As of 31 March 2022 we had a tenancy sustainment rate of 80% and support has been provided for a total of 153 households.
Delivered by Simon Community Scotland / Streetwork, these interim measures will be in place until the end of March 2023, when we’ll commission Visiting Housing Support – an improved one stop service which will include support for people in receipt of housing first, people currently receiving support from the complex needs service and people who currently receive support from the locality visiting housing support services.
Additional support for young people
We provide a homelessness prevention service and advice on housing options for young people who are homeless or at risk of becoming homeless and are 16 or 17 years old, or under 21 and have been looked after by us. Likewise, special support is available for people with significant support needs.
For young people who are leaving or recently left our care, they are supported to find appropriate, sustainable accommodation. It is a transition to live independently, and we work with young people to create a Pathway Plan.
We’ve also committed to developing proposals for a youth housing hub, a physical hub providing co-location of core services and hosting for wider relevant services for young people experiencing or at risk of homelessness.
Services provided would include statutory services, employability, housing support, health services, advice and welfare services. A feasibility study has been completed and a draft implementation plan is being taken forward.
Moving people through the system quicker
With demand for housing so high in Edinburgh, many people face long waiting times for a suitable home which best meets their needs. People can also feel unsure about the bidding process.
To help us speed up the system, we’ve recruited 28 additional officers including 10 new Housing Assistants and a Supervisor. These posts are part of a recently formed transformation team in Homelessness Prevention and Housing Options who are supporting the work to reduce the number of households in temporary accommodation.
Our Housing Assistants provide practical help ensuring people understand the bidding process, get support with bidding as required and provide feedback on bids. They re-enforce Housing Options advice. At the end of March 2022, among other positive outcomes, the Housing Assistants’ interventions resulted in 892 case closures and 87 homeless households accepting suitable offers of settled accommodation as a direct result of bidding feedback.
Improving our accommodation
It is no secret that Edinburgh faces a severe social housing shortage and demand for new housing. In the face of these challenges, we are working hard to improve the type and amount of temporary accommodation we have to offer, and we’re doing this through some innovative ways.
Private Sector Leasing (PSL)
PSL provides self-contained flats leased from private landlords. The new contract we introduced in 2020 linked rates we can offer to local market rates within Edinburgh. This has allowed more competitive rates to and take up from landlords. At the end of March 2022 there were 1,747 PSL properties, which is an increase of 163 properties compared to the year previous.
Home Share
This is a form of temporary accommodation where three to five people live together in a furnished home in the community. This accommodation has received positive feedback from residents, the number of Home Share properties we’re offering has increased from 6 properties and 26 residents in March 2020 to 17 properties and 55 residents across the city by 31 March 2022.
Temporary Furnished Flats (TFF)
We have a plan to increase our stock of these flats as quickly as possible and reduce the amount of emergency accommodation we use. The Covid-19 pandemic impacted on the delivery of this initiative but work has now fully commenced again.
Development of gap homes
Officers are identifying potential gap sites, small suitable areas of land in Council ownership, which could be used to build temporary accommodation through modular construction methods that meets the needs of service users.
Support for refugees
Since the outbreak of war in Ukraine, we’ve welcomed thousands of Ukrainian refugees through Edinburgh, providing similar homelessness support to anyone without a permanent home in this city. While most Ukrainian people settled here are on Government schemes, we are also aiding temporary accommodation and support into employment, to receive benefits and with household items.
Social homes
We have a rehousing target of a minimum of 50% of Registered Social Landlords (RSL) lets, both new build and existing, being allocated to homeless households. The target for Council social lets is a minimum of 70%, which means many homes which become available are prioritised to people who have been experiencing homelessness.
As part of our housebuilding plans, we are also committed to building new Council homes within 10 years, and to ‘retrofitting’ thousands of existing homes to bring them up to a newbuild standard.
Commenting, Councillor Jane Meagher, Housing Homelessness and Fair Work Convener said:“It takes a whole society to work together to help people who face homelessness and prevent families from losing their homes.
“This World Homeless Day I’m so grateful to the many officers, third sector organisations, partners and volunteers in our city who work day and night to help people in desperate need.
“The daily pressures facing people experiencing homelessness are unimaginable for most. No one should have to experience the stress of not having a safe and permanent home.
“Sadly, after the pandemic we’re starting to see numbers of homeless cases gradually rise again – highlighting just how important and urgent it is that people understand the help which exists.
“Particularly in light of the cost of living crisis this winter, we are focusing our efforts on prevention and helping people to stay in their current homes, given the many difficulties households face.
“Edinburgh is a growing city and we face housing pressures like nowhere else in Scotland. With the lowest proportion of social housing in the country and the biggest, most expensive, private rented sector, the current economic climate is of concern.
“That said, the Council and the city has made huge strides in recent years. There are changes which I think are making a truly positive impact and will make a great difference in the long term. Lots of work has taken place to tackle root causes and recurring issues when it comes to homelessness in our city, and that’s clear to see. Together, we’re committed to keeping the momentum going as we face the cost of living challenges ahead of us.”
North Ayrshire Council has been awarded funding through the Scottish Government’s Ukraine Longer-Term Resettlement Fund to refurbish properties to be used on an interim basis by people who have fled the conflict in Ukraine.
Through the fund, up to £50 million has been made available to Councils and Registered Social Landlords to bring properties back into use that would otherwise not be available to let.
Minister with Special Responsibility for Refugees from Ukraine Neil Gray said: “Scotland continues to stand with the rest of the UK, Europe and the world, in condemnation of Russia’s unprovoked invasion of Ukraine.
“Since the conflict began, more than 20,000 people with a Scottish sponsor have arrived, representing 20% of all UK arrivals – the most per head of any of the four nations. More than three quarters of these arrivals have come through our Super Sponsor Scheme.
“This fund is going to help us meet the housing needs of displaced people from Ukraine by providing them with longer-term, sustainable accommodation. I want to thank North Ayrshire Council for their creativity in finding local solutions that boost the overall supply of homes at a time when they are needed most.
“This week, I have written to local authorities and social landlord representatives across the country to encourage them to look at their current housing supply and identify unused accommodation so that we can increase the supply of available accommodation and provide people from Ukraine with safe and secure homes for their time here.”
The award of £486,000 will allow five blocks of three-storey flats at Glebe Place, Saltcoats, – previously earmarked for demolition – to be upgraded and brought back into use for a period of 3 years after which they will be reassessed as part of the council’s new build housing programme. This enables the council to retain their commitment of 1,625 new homes by 31 March 2027.
North Ayrshire Council Leader Marie Burns said: “We have welcomed more than 200 Ukrainians to North Ayrshire and are ready to welcome more in the coming weeks and months.
“With funding now secured from the Scottish Government’s Ukraine Longer-Term Resettlement Fund, we are looking to begin improvement works within the next few weeks.
“While there is understandable uncertainty for anyone arriving here from Ukraine, it’s important that they feel secure and supported – having that secure tenancy will help. We want them to feel like North Ayrshire is a home away from home.”
Tenants will have increased protection from rent increases and evictions during the cost of living crisis under temporary legislation passed by the Scottish Parliament.
The Cost of Living (Tenant Protection) Bill gives Ministers temporary power to cap rents for private and social tenants, as well as for student accommodation. The Bill also introduces a moratorium on evictions.
This cap, which applies to in-tenancy rent increases, has initially been set at 0% from 6 September 2022 until at least 31 March 2023. Ministers have the power to vary the rent cap while it is in force. The measures can be extended over two further six-month periods.
Enforcement of eviction actions resulting from the cost crisis are prevented over the same period except in a number of specified circumstances, and damages for unlawful evictions have been increased to a maximum of 36 months’ worth of rent.
The temporary legislation balances the protections that are needed for tenants with some safeguards for those landlords who may also be impacted by the cost crisis.
Tenants’ Rights Minister Patrick Harvie said: “I am pleased that Parliament has passed this Bill to support tenants through the current cost of living crisis. People who rent their home are more likely to live in poverty or be on low incomes than other people, and many will be anxious about keeping up payments on their homes as their everyday expenses rise.
“With this Bill now set to become law, tenants in the social or private rented sector, or in student accommodation, will have stability in their homes and housing costs.
“I’m hugely grateful to MSPs for scrutinising and agreeing this legislation this week, ensuring these protections can be brought in with the urgency that this crisis demands.”
Housing and homelessness charity Shelter Scotland has broadly welcomed the publication of emergency legislation designed to protect tenants but warns that loopholes allowing social tenants with relatively modest rent arrears to be evicted miss the mark.
The charity has identified three key flaws in the legislation that could lead to more tenants becoming homeless before March 2023.
Two of the loopholes could see private tenants who have never missed a payment being made homeless if their landlord or landlords mortgage lender needs to sell the property.
The third issue relates to an exemption to the eviction moratorium for social tenants with arrears of more than £2,250. Post-covid this is around one third of the level seen in court actions already underway and well below the threshold where most social landlords give up on securing tenancy sustainment plans.
Shelter Scotland said it would be urging MSPs to amend these provisions in the Bill to ensure the promise of protection from rent rises and eviction is delivered for those most at risk of becoming homeless.
Shelter Scotland also highlighted that this Bill will not address the needs of those people already homeless in Scotland, especially the 8,538 children trapped in temporary accommodation.
Shelter Scotland Assistant Director, Gordon MacRae, said:“At Shelter Scotland we want this emergency legislation to work for those most at risk of losing their home.
“We know that the cost of an eviction in the social sector can be around £24,000. So, it makes little sense to set the exemption at a level of rent arrears well below that at which most social landlords would take a tenant to court.
“Deleting this exemption or raising the threshold would recognise the hard work of tenancy sustainment officers, advice bodies and tenants who work to tackle arrears and avoid costly evictions into homelessness.
“Private tenants must not face homelessness when they have paid their rent, but their landlord has fallen on hard times. During this emergency period sales of properties by landlords or lenders should only be permitted with the tenant remaining in their home.
“Where possible social landlords and Scottish Ministers could offer to buy the property where open market sale is not possible with a tenant in place as part of the Scottish Government’s affordable housing programme.
“We believe amending the bill to protect more families from the risk of homelessness is the right priority during this exceptional time.”
Mr MacRae added: “However, when the ink is dry on this Bill, Scotland’s housing emergency will remain just as grim as it was before. This bill does nothing for the record number of children stuck in temporary accommodation, denied their right to somewhere permanent and safe to call home.
“Focus must now turn to the longer-term spending choices of the Scottish Government. To really tackle the housing emergency Nicola Sturgeon needs to deliver Shelter Scotland’s action plan by buying or building 38,500 social homes by 2026, fully funding local homelessness services and guaranteeing anyone who becomes homeless their right to a home.”
Bill to freeze rents and safeguard against evictions
Emergency legislation laid before the Scottish Parliament today seeks to increase protection for tenants from rent rises and eviction action during the cost of living crisis.
If approved, the Cost of Living (Tenant Protection) (Scotland) Bill will give Ministers temporary power to cap rents for private and social tenancies, with this cap set at 0% – effectively freezing rents – from 6 September 2022 until at least 31 March 2023. The Bill includes the further power to maintain or vary the rent cap over two further six-month periods.
Enforcement of eviction actions resulting from the cost crisis will be prevented over the same period except in a number of specified circumstances. Damages for unlawful evictions will be increased to a maximum of 36 months’ worth of rent.
These measures will also apply to students in college or university halls of residence or other types of purpose-built accommodation.
The legislation includes safeguards for private sector landlords, allowing them to apply to increase rent to partially cover a limited number of specific costs including increased mortgage interest payments on the property they are letting, an increase in landlords’ insurance or increases in service charges paid as part of a tenancy, subject to an overall limit.
Safeguards for both social and private sector landlords, as well as providers of college and university halls and other purpose-built student accommodation, are included in the Bill’s provisions on evictions.
Tenants’ Rights Minister Patrick Harvie said: “The cost-of-living crisis is an emergency situation demanding an emergency response. Even as energy, food bills and other day-to-day basics become more expensive, today’s legislation freezing rents and protecting tenants from eviction will give tenants stability in their homes and confidence about their housing costs.
“People who rent their homes are more likely to live in poverty or be on low incomes than homeowners. As such they are particularly exposed to rising prices, and it is imperative that we bring in support for them urgently.
“We know that many landlords have been doing what they can to protect their tenants, but some tenants are being hit with large rent increases that are hard to justify. This legislation aims to protect all tenants from substantial increases, balancing the protections that are urgently needed for tenants with safeguards for those landlords who may also be impacted by the cost crisis.”
Measures to establish consistent standards across the country
A new licensing scheme for short-term let hosts opens today [1 October], aiming to ensure consistent safety standards while reinforcing the positive reputation of Scottish tourism and hospitality.
The licensing scheme was developed in response to concerns raised by residents about the impact of short-term let properties on their local communities. It gives councils flexibility to develop licensing schemes that meet local needs, and sits alongside powers for councils to establish short-term let control areas.
To comply with the licence, hosts will be required to meet a set of mandatory conditions which apply across Scotland, plus any additional conditions set by their council.
Anyone operating as a host before 1 October has until 1 April 2023 to apply for a licence and can operate until their application has been determined. New hosts must obtain a licence before accepting bookings and welcoming guests to stay.
A targeted digital marketing campaign to promote the licensing scheme also launches today.
Housing Secretary Shona Robison said: “Our new licensing scheme will support responsible operators and give guests the confidence that their short-term let – be it a flat in Edinburgh, a property for a business trip to the Borders, or a cottage in the Highlands – meets the same set of safety standards.
“These new conditions include measures such as displaying an energy performance rating on listings, or securing valid buildings and public liability insurance. We know the vast majority of short-term lets businesses are already following these safety standards as a matter of best practice, and some are already required by existing legislation.
“We know short-term lets make a positive contribution to Scotland’s tourism industry and local economies, and these measures will allow them to continue doing just that while ensuring this is balanced with the needs of local residents and communities.
“The deadline for applications from existing hosts is 1 April, and I would urge all hosts and operators to contact your local authority as early as possible to learn how to apply.”
Malcolm Roughead, CEO at VisitScotland, said: “The small accommodation sector is a key contributor to the economy and our high-quality and varied offering is one of the things that makes Scotland such a special destination.
“Through an Industry Advisory Group, we’ve been working closely with representatives from across the sector ahead of introduction of the licensing schemes.
“We’ll continue to give both new and established businesses the right advice to help them through the process of applying for a short-term let licence.”
