TOO many UK homes are “cramped, cold and prone to dampness” a leading property expert has said. Jonathan Rolande said a damning report which lambasted much of our housing stock, was “correct”.
The Resolution Foundation study concluded the UK’s housing stock is also the oldest in Europe with four-in-ten homes built before 1946 meaning many were poorly insulated as a result.
Commenting on the report Jonathan Rolande, founder of House Buy Fast, said: “The poor state of housing as highlighted by The Resolution Foundation Report shows that many of our homes are suffering in the same way as much of our other infrastructure – railways, roads, school buildings, water services, wherever we look we see a similar issue.
“A huge proportion of our housing stock is pre-war, the typical Victorian terrace. Many that aren’t were hastily built immediately after the war to replace the two million lost to bombing. The Foundation explains that these properties are cramped, colder and more prone to dampness. This is correct.
“However, the reason that UK homeowners and tenants are more hard done by than their foreign counterparts isn’t simply because of the age or style of property, it is more deep rooted than that. The issue is not the stock, it is the price.
“Newer homes – even brand new (perhaps especially brand new) have their own problems too. Older properties are usually well built, solid internal walls make them well soundproofed, and they have large lofts and large windows.
“Even the cheapest will usually have decent outside space. The issue is a lack of surplus income to carry out essential repairs and energy-saving upgrades. Those that are let suffer because landlords are not properly incentivised to improve their tenant’s homes.
“The issue is supply, there are too few homes full stop, irrespective of their age. If more, many more, were built, prices and rents would be less volatile and gradually, our housing stock would become better value for money.”
According to the Resolution Foundation report, countries that have a similar level of prosperity to the UK consume more housing in terms of amount per person than we do here.
Britain’s total expenditure per capita is just 4 per cent lower than that of Austria, for example, but we spend 24 per cent less on housing per person than Austrians do. The equivalent figures for Canada are 2 per cent and 22 per cent respectively.
Overall, when it comes to housing, UK households are getting an inferior product in terms of both quantity and quality, the report claimed.
Compared to our general price levels, the UK was ranked by the Foundation as having the highest quality-adjusted price of housing of any developed economy.
Adam Corlett, Principal Economist at the Resolution Foundation, said:“Britain’s housing crisis is likely to be a big topic in the election campaign, as parties debate how to address the problems of high costs, poor quality and low security that face so many households.
“Britain is one of many countries apparently in the midst of a housing crisis, and it can be difficult to separate rhetoric from reality. But by looking at housing costs, floorspace and wider issues of quality, we find that the UK’s expensive, cramped and ageing housing stock offers the worst value for money of any advanced economy.
“Britain’s housing crisis is decades in the making, with successive governments failing to build enough new homes and modernise our existing stock. That now has to change.”
LOCAL PARENTS LAUNCH DAMNING REPORT ON HOUSING CRISIS
North Edinburgh Parents Action Group has launched an exhibition and publication highlighting the horrific housing conditions local people are being forced to live in.
The group also screened a new film about the lived experience of a local woman’s heart-breaking attempts to secure a decent home for her children.
North Edinburgh Parents Group hope that the event held at Royston Wardieburn Community Centre yesterday will draw attention to the significant impact that poor housing is having on local families’ physical and mental health and will send a clear message to politicians at all levels of government that urgent action is required to tackle North Edinburgh’s housing crisis.
Guests were welcomed by Royston Wardieburn Community Centre chairperson Billy Fitzpatrick and the event was launched by Forth SNP councillor Stuart Dobbin, who has been taking a particular interest and holding surgeries on the issue:
“Living in a home safe from Damp and Mould should be a basic right that all Council and Private tenants should enjoy.
“This important event was made all the more powerful and moving by hearing the testimony of women who, with their families, have to live with Damp and Mould and the exhibition showing pictures from inside their homes.
“Dampness creates a risk to our physical health and our mental health. It impacts on the future life chances of our children. And if not addressed, it places additional burdens on our doctors and the wider NHS services.
“This is the issue that I am most passionate about addressing as a Councillor. By my estimate about one quarter of all Council dampness cases in Edinburgh are in North Edinburgh.
“I have been raising cases and campaigning within the Council for faster action to be taken to eradicate damp from tenants homes, and as a result, the Council has now set up a dedicated, skilled team to do just that. Early days and a lot to do.
“I want to hear from residents who have damp and mould, or are having difficulty getting the problems addressed.
“I will be at Pilton Community Health Project tomorrow morning (Friday) from 09.15-11.00 if anyone needs to discuss this or any other matter that I can help with. Or you can email me – cllr.stuart.dobbin@edinburgh.gov.uk”
Few who attended the event could fail to have been moved by the heart-rending stories of local woman struggling to be heard. The women, for many of whom English is not their first language, bravely shared their dreadful experiences to a packed room.
As one said after the event: “Speaking to a big crowd made me very nervous and I wasn’t sure that I would be able to do it.
“But we all did do it – we had to do it. We want people to hear how we are living.”
A spokesperson for the group said: “We understand that there are no simple solutions or easy fixes to Edinburgh’s current housing emergency.
“However, Edinburgh is one of the richest cities in the country and it is time that all levels of government – Edinburgh Council, the Scottish Government and the UK government – come together and prioritise spending on improving housing conditions in this city.
“We are serious about our demands and we are prepared to do whatever it takes to secure a decent place to live. We hope that we do not have to resort to a class action which is the route that over 50 tenants from various local authorities have taken in order to secure a warm, safe home.
“However, nothing is off the table. Enough is enough!”
Sara, who spoke at the event, said: “We welcomed the opportunity to tell our stories and have our voices heard.
“We’re fed up of nobody listening to us and being blamed for causing the problem. It’s not our fault. It’s well documented that people have been having problems with dampness and mould down here for decades and its time that something was done about it for once and for all”.
Susan, another member of the group, added: “We are really disappointed that the ‘high heid yins’ didn’t come to our event to hear our stories and see for themselves the conditions that people are having to put up with.
“We will be making sure that they all get a copy of our report and we will be expecting to hear from them soon about how they are going to respond to our demands. They need to understand that we’re not going away.”
Dr Olivia Swann, Clinical Lecturer in Paediatric Infectious Disease at Edinburgh University, also spoke at the event.
Thanking the women for their moving testimonies, Olivia’s presentation explained how homes are much more than just physical structures and made clear that “strong scientific evidence has shown that poor housing can affect someone’s physical and mental health throughout their life”.
Sara says this is an extremely worrying fact for those of us with young children who have been living in mouldy homes for most of their young lives.
Dawn Anderson, Director of Pilton Community Health Project (PCHP), who attended the event along with members of her Board, including former Leith MP/MSP and Holyrood Health Secretary Malcolm Chisholm, said: “We are very concerned about the problems the parents group has raised.
“PCHP has been supporting people to get help for some time. One parent has been working with Media Education on a new film featuring the nine year battle of Anita, a local women, desperately trying to escape her damp house”.
Dawn explained how it was fitting that the parents action group had called their exhibition ‘Home Sweet Home’: “It’s 40 years since PCHP was established in North Edinburgh and dampness and ill-health was one of the first issues the campaigners worked on. Meetings with local parents led to a womens’ group forming.
“They produced a slide show called “Home Sweet Home” and presented it to health professionals in the area. This resulted in The Scottish Executive backing a research project conducted by the University of Edinburgh who established a direct link between dampness and ill-health all those years ago.
“There have been countless studies on this issue over the years which have drawn the same conclusions. Sadly, we can see from Anita’s film and from the parents stories and photographs, little has changed and family’s in the area are still faced with health threatening living conditions.”
The Group is already planning a follow-up event to build on the momentum created by yesterday’s launch.
HOME
A poem by members of North Edinburgh Parents Action Group
Efforts to boost affordable housing supply by acquiring properties to bring into use for affordable housing and help reduce homelessness will be given an £80 million uplift over the next two years.
The funding, announced by First Minister Humza Yousaf on a visit to Hillcrest Housing Association’s Derby Street development in Dundee, will increase the Affordable Housing Supply Programme budget to nearly £600 million in 2024-2025.
Investment will help reduce the time spent in temporary accommodation, including by children, and will also accelerate discussions with COSLA in relation to the number of local authority void properties.
The First Minister, who faces a vote of confidence at Holyrood next week, said: “Housing is essential in our efforts to tackle child poverty and reduce inequality across Scotland, and it supports jobs and growth in the economy. Providing good quality, affordable housing is at the very core of what my Government is doing to make Scotland a better place.
“While there is a single person homeless in our country, it is simply not acceptable to have houses sitting empty – so I am determined that we remove the barriers, and provide the money that will enable councils to buy properties so they can become affordable homes again.
“This £80 million will build on the success of our National Acquisition Programme which I announced last year, which spent more than £60 million and delivered more than 1,000 affordable homes. This is one of a number of actions we are prioritising to help to reduce the number of households in temporary accommodation.
“We will also accelerate discussion with COSLA in relation to the number of empty council homes.”
Matthew Algie donates 1,000 coffees to Pay It Forward scheme supporting people experiencing homelessness
Charity support worker explains how coffee can kick start conversations that ‘save lives’
Warning that housing emergencies are having impact on more people across Scotland and UK
Coffee roaster Matthew Algie hopes donation will inspire others to support Social Bite Pay It Forward scheme
People experiencing homelessness can use food and drink service in Edinburgh, Glasgow, and Aberdeen
A SUPPORT worker at one of Scotland’s most prominent homelessness charities has highlighted the ‘life-saving’ potential of conversation for some of the nation’s most vulnerable people ahead of this year’s Pay It Forward Day.
Euan Brock, a support and development worker at Social Bite, was speaking as leading Scottish coffee roaster Matthew Algie donated more than 1,000 coffees to the charity’s Pay It Forward scheme, which provides food and hot drinks to people experiencing homelessness, to mark the global event (Sunday, April 28).
The coffees will be provided through the Pay It Forward scheme across Social Bite’s three Scottish locations in Glasgow, Edinburgh, and Aberdeen.
Brock has been with Social Bite, the high-profile charity that provides homes, jobs, food, and support to people experiencing homelessness, for three years.
He explained how the number of people the organisation supports is rising, with more Scots facing challenging situations – from rough sleeping and living in temporary/emergency accommodation to facing the imminent threat of becoming homeless – as the impact of food poverty, housing emergencies in Scotland’s major cities, the cost-of-living crisis, and rising energy prices are felt.
Social Bite’s Pay It Forward scheme provides hot food and drinks to thousands of people in need, which Brock says can prove crucial in developing trust and providing a sense of inclusion for people who may have experienced traumatic events.
He said: “The biggest challenge I see at the moment is a shortage of adequate housing across the whole of the UK. Toward the end of 2023 Edinburgh and Glasgow declared a housing emergency with more councils following this year.
“This means more people are finding themselves homeless and declaring it with councils, but there is a lack of permanent and temporary homes, as well as hotels/B&B and emergency accommodation leaving people with no option but to sleep rough or sofa surf with friends or family if they are able to.
“The Pay it Forward scheme can support someone by providing food and drinks, but it also allows us to build a trusting relationship with people accessing the service and then can go on to support them going forward.
“Conversation and inclusion is hugely important in society and a major part of Social Bite. Isolation and loneliness are silent killers and research suggests it can be as damaging to someone’s health as smoking 15 cigarettes a day.
“Through Social Bite and Pay it Forward we can welcome people with a smile, a hot meal, and a simple ‘How are you today?’ – it can make someone’s day that hasn’t spoken to anyone and been ignored on the street.
“A simple ‘How are you?’ can save lives.”
The Pay It Forward Scheme has proved a gateway to thousands of people accessing support with housing applications, benefits applications, and other support services they are entitled to, as well as referrals into Social Bite’s Jobs First programme. Others have entered volunteering programmes.
Mel Swan, Social Bite’s Commercial and Operations Director, said: “Pay It Forward is part of the fabric of Social Bite. Food and drink helps people at their most vulnerable and leads to other support towards a more stable position in life. It all starts by talking.
“Matthew Algie’s donation of 1,000 cups of coffee will help hundreds of people across Scotland in the coming weeks. Each one offers the possibility of connection and building a relationship that can help someone experiencing homelessness get the support they need.
“Paying it forward is a small act that can mean a lot and brighten someone’s day. It also plays a big part in our ultimate goal of ending homelessness.”
Paul Chadderton, Managing Director at Matthew Algie, said: “Social Bite tirelessly works to address one of Scotland’s most pressing issues, homelessness, and is one of our most important partners.
“This donation will help kick off conversations that can make a difference, as well as providing a moment of enjoyment at a difficult time for those the charity supports.
“More importantly, we want to highlight the importance of Paying It Forward to people across Scotland. A small gesture can make a huge difference to those who need it most.”
Established 160 years ago this year, Glasgow based coffee roaster Matthew Algie supplies high-quality coffee to partners across Scotland, the UK, and Ireland.
More than £90 million will be allocated to local authorities in 2024-25 to support eligible households at risk of hardship through the Discretionary Housing Payments (DHP) scheme.
The funding enables local authorities to mitigate the impact of UK Government policies such as the ‘bedroom tax’ and the ‘benefit cap’ which can reduce how much universal credit or housing benefit someone receives.
Payments can also be made where Local Housing Allowance doesn’t meet someone’s rent, or if a household is in hardship and struggling to meet their housing costs.
Housing Minister Paul McLennan said: “This funding will help to bridge the gap between what people need in benefits from the UK Government, and what they actually receive. This can be the difference between a family thriving, or a family experiencing financial hardship.
“We are clear that this is the right thing to do to support households – but the Scottish Government should not be forced to step in and divert money from our own housing and anti-poverty policies because of UK Government welfare reforms.”
One Parent Families Scotland CEO Satwat Rehman said: “The Scottish Government is to be commended for taking these mitigating measures as we recognise it continues to spend massive sums compensating for welfare cuts made by the UK government.
“Mitigating the benefit cap is absolutely the right thing to do. The increased funding and improved support for families affected by the benefit cap will be greatly welcomed by the many single parents who have been pushed into further hardship by this policy. 74% of all capped households in Scotland consist of single parents with children (92% of whom are women).
“We at OPFS will do everything we can to ensure all single parent families affected by the benefit cap apply to their local authority for a Discretionary Housing Payment to replace the vital income they should have received. Now the UK Government must act to scrap this poverty creating benefit cap altogether.”
The Scottish Discretionary Housing Payments budget is £90.5 million in 2024-25.
In Scotland, if you rent your home and you get Housing Benefit or Universal Credit, but still can’t afford your housing costs, you may be eligible for a Discretionary Housing Payment.
A Discretionary Housing Payment can be made if you:
are affected by the benefit cap
are affected by the bedroom tax
claim Housing Benefit but it doesn’t cover all your rent
claim Universal Credit but still can’t afford your housing costs
Preventing homelessness and strengthening tenants’ rights
New legislation which aims to keep people in their homes and help prevent homelessness has been published.
The Housing (Scotland) Bill will introduce an ‘ask and act’ duty on social landlords and bodies, such as health boards and the police, to ask about a person’s housing situation and act to avoid them becoming homeless wherever possible.
It also reforms provision for people threatened with homelessness up to six months ahead and includes provisions for tenants experiencing domestic abuse.
The Bill will outline proposals for a New Deal for Tenants, a key part of the Bute House Agreement between the Scottish Government and the Scottish Green Party.
Proposals include long term rent controls for private tenancies, new rights to keep pets, decorate rented homes and stronger protection against eviction.
Housing Minister Paul McLennan and Tenants’ Rights Minister Patrick Harvie will lead the Bill’s passage through Parliament.
Mr McLennan said: “Scotland already has the strongest rights in the UK for people who become homeless – but nobody should have to experience the trauma and disruption of losing their home.
“Early action, through the kinds of measures included in the Housing Bill, results in fewer people reaching the point of housing crisis. It also means people facing homelessness have more choice and control over where they live, helping them to maintain relationships in their community and stay in work.”
Mr Harvie said: “A fairer, well-regulated rented sector is good for both tenants and landlords. Tenants benefit from improved conditions and security, while good responsible landlords will thrive when their good practice is recognised by regulation.
“Scotland has led the way across the UK in improving the experience of people who rent their homes and this reform has been at the same time as significant growth in the size of the private rented sector. So progressive reform can lead to better conditions and a healthy rented sector overall.
“I want to keep working with both tenants and landlords to achieve that goal.”
THE housing bill published today by the Scottish Government fails to address the systemic issues driving the housing emergency, Shelter Scotland has said.
The charity warned that there was no realistic prospect of councils being able to fulfil new statutory obligations given that local authorities are regularly failing to meet their existing legal duties.
The bill’s publication comes in the wake of figures which show a significant decline in the delivery of social homes, which Shelter Scotland says is essential in tackling the systemic issues driving the housing emergency.
Shelter Scotland Director, Alison Watson, said:“There is a growing consensus that Scotland is in the grip of a Housing Emergency. Already four local authorities have declared housing emergencies, with more expected to follow in the coming weeks.
“Today’s housing bill was an opportunity to address the causes of that emergency and end the scandal of 10,000 children trapped in temporary accommodation.
“What we need is urgent action to drive up the supply of social homes, invest in local services and stop to councils breaking existing homelessness laws.
“Instead, we have a Housing Bill that does none of that and risks diverting frontline staff from the task in hand. By proposing new additional duties on councils already failing to deliver existing laws, we run the risk of making the situation worse.
“It is time for Scottish Ministers to listen to what our communities are telling them – declare a housing emergency and bring forward a new plan to deliver the social homes we need.”
Responding to the Housing (Scotland) Act being published, Citizens Advice Scotland Housing spokesperson Aoife Deery said: “The pandemic and cost of living crisis underlined the need for better protections for tenants and more affordable housing. In many ways the market is simply broken and urgently needs repaired.
“The CAB network in Scotland gives out hundreds of thousands of pieces of advice a year on housing, and it was one of the top areas of crossover advice – where people seeking help with housing also needed help with something else, often social security, debt or energy bills. In fact a third of all single working age households contacting CABs do so for advice on housing.
“We welcome this once in a generation opportunity to improve the rented sector and shape a fairer system. We look forward to getting into the detail of the Bill, change needs to happen with both landlords and tenants involved, we will be contributing our evidence as this work moves forward”
Cyrenians welcomes the introduction of the Housing (Scotland) Bill to the Scottish Parliament today. Long awaited, the new prevention or ‘Ask and Act’ duties included within it have the power to reach people before they become homeless and get them the right help, much faster.
‘Ask and act’ forms the cornerstone of a wider set of reforms to homelessness legislation. If passed, the Bill will require public bodies – including healthcare and justice agencies to implement systems whereby people at risk of homelessness are easily identified and directed to the appropriate services before they reach crisis point.
These duties will implement recommendations from the Homelessness Prevention Task and Finish Group (co-chaired by Crisis and Cyrenians), published in August 2023 [click here to read the Group’s report].
The group drew on its collective knowledge of the housing sector, as well as the lived experience of people who were homeless, through the All in for Change programme.
Throughout the process, building up to the publication of the Housing Bill, Cyrenians has consistently argued for increased funding to resource new prevention duties. We will continue to advocate for the necessary resource that our public bodies and local authorities will need to make the promise of the Housing Bill possible.
Ewan Aitken, Chief Executive of Cyrenians, said: ““Scotland is in the grip of a housing crisis. Several local authorities have now formally declared a housing emergency as the numbers of people facing homelessness is reaching record levels.
“But we know from our work across 60 services in Edinburgh, the Borders, Falkirk and the Lothians, that in many cases homelessness can be stopped long before people reach crisis point.
“To do that we need to widen the scope of responsibility, giving people within public bodies the right training and resource to be able fulfil this role. We believe that this, a public health approach to homelessness, is key to tackling the housing crisis.
‘We are very pleased to see the plans for prevention duties within the Housing Bill, published today. This legislation has the potential to prevent homelessness in Scotland. However, to do that, it needs to be properly resourced.
“As a charity which tackles the causes and consequences of homelessness, we regularly work with people whose situation could have been prevented, if they had received help earlier. We urge the Scottish Government to ensure that these duties are properly funded so that the bill can live up to its potential.”
Cats Protection has welcomed the new Housing (Scotland) Bill, which will for the first time give renters the right to own a pet.
The charity’s Advocacy & Government Relations Officer for Scotland, Alice Palombo, said: “This is a landmark day for renters in Scotland, who will finally be given the right to own a pet with an end to blanket ‘no-pet’ policies.
“We hope this new law will stop the misery faced by animal lovers who have been denied the chance to ever own a pet cat, simply because they rent rather than own their own home.
“People in rented housing pay significant amounts of their income every year on fees and rent, and it is only right they should be able to feel at home in that property. Pet ownership – whether it’s a cat or another companion animal – provides companionship to all sorts of people. Whether it’s older people at risk of loneliness or young families with children learning how to care for others, pets play a vital role in our lives.
“We’re particularly pleased to see the Bill introduces an obligation for local authority and social landlords to publish a policy relating to domestic abuse. Cats Protection operates a free fostering service for cat owners fleeing domestic abuse, but many victim-survivors can struggle to find cat-friendly housing. We hope that domestic abuse policies will include a commitment to ensuring victim-survivors can keep their pets when they settle into new housing.
“A survey by Cats Protection and Dogs Trust found a lack of sufficient pet-friendly rented housing in Scotland, with only 22% of Scottish landlords allowing pets. This puts a strain on rehoming charities, and landlord-related issues is one of the top reasons for cats coming into our care.”
The Housing (Scotland) Bill was informed by three public consultations and will now by scrutinised by the Scottish Parliament.
Labour Lothian MSP Sarah Boyack has today challenged the Scottish Government to finally intervene in Edinburgh’s housing emergency.
This comes after recent ONS figures illustrated the scale of Edinburgh’s crisis.
The figures revealed that the average rent in Edinburgh had an annual increase of 14.9%, almost 5% higher than the 10.9% increase across the whole of Scotland.
This is despite the Scottish Government having introduced a rent cap.
The average house price has also risen faster in Edinburgh, compared to the country as a whole.
The average price jumped 5.4% compared to last year, whereas it only rose 4.8% across all of Scotland.
These figures come after Edinburgh Council unanimously declared a housing emergency at the tail end of last year.
However, the Scottish Government refused to follow suit and voted down plans to declare a nationwide housing emergency.
Commenting on the ONS figures, Ms Boyack said: “These latest ONS figures have merely illustrate what we in Edinburgh have known all along – there is a serious housing emergency.
“The only Edinburgh resident who doesn’t recognise this crisis is the one living in Bute House.
“The decision by the SNP, not to intervene to alleviate this situation shows their neglect for our capital city.
“Myself and other Scottish Labour MSPs will continue to push the Scottish Government to act.
“It is vital that Edinburgh gets the help it urgently needs, before this emergency escalates any further.”
Step back in time and explore the excavation site with guided tours led by archaeologists at an open day tomorrow (Saturday 23 March).
The excavation, which is being undertaken by AOC Archaeology, is being carried out ahead of the Council’s redevelopment of the site of the former Silverlea Care Home into much needed new homes. The site will include 142 high quality sustainable homes, including wheelchair-accessible ground-floor dwellings in a mix of social rent (91) and mid-market rent (51) each benefitting from coastal views and access to parkland.
The redevelopment forms part of the £1.3 billion wider Granton Waterfront regeneration, which is delivering thousands of new homes along with commercial and cultural space, a primary school, a health centre, and a major new coastal park.
Discoveries at the site include the remains of the 18th-19th century Murieston Mains farm and evidence for the estate surrounding the former 16th century House. This includes a culvert/flue that may have been used for heating the walled garden. Midden deposits from the 19th and 20th century, including bone, pottery, and milk bottles, have also been found which provides insight into the daily life of the estate.
It follows the discovery of a fossil plant remains, uncovered in a reused sandstone block possibly quarried in Craigleith, believed to be over 300 million years old. The fossil contains fragments of giant Club Moss and Horsetail, which grew in tropical swamps during the Carboniferous Period.
Members of the public are welcome to visit the site at 14 Muirhouse Parkway, Edinburgh, EH4 5EU from 10am-3pm to view the artefacts on display, with archaeologists on hand to talk about their discoveries.
Council Leader Cammy Day said: ““It is fantastic to see work continuing at pace at our £1.3 billion Granton Waterfront site, the largest sustainable regeneration project of its kind in Scotland. Archaeology projects, like the site at Edinburgh’s Muirhouse house and Mains farm, help us to get a glimpse of the area’s past.
“Our city has a rich heritage, but these discoveries continue to expose new aspects of its fascinating, varied history. The open day on Saturday is a chance for anyone with an interest to come and have a look at the historical work taking place, and to learn from the expertise of our brilliant archaeologists.”
Midlothian has highest mainland annual growth rate in January at 9.9%
City of Edinburgh the largest weighted fall in prices annually
Rising prices in 16 local authorities over year, as in December
2023 total transactions lowest since 2013
Average Scottish House Price now £221,693, unchanged on December, 0,2% up annually
Scott Jack, Regional Development Director at Walker Fraser Steele, comments:“This month saw negligible movement in the monthly house price, with January’s transaction figures telling a story of a market whose home movers are doing so out of necessity rather than discretion.
“This may change as rates settle but for now the impact of prices is clear. The January average house price figure stands at £221,693, which only differs by -£19 from the revised figure for December.
“However, as we have noted before, it is only when we look under the bonnet of the national headline that we can see there has been considerable variation at a local level. Our analysis shows that 16 local authority enjoyed price rises in the month and 16 with price falls, ranging from +9.7% in Inverclyde to -4.2% in Moray.
“From January 2023 to January 2024, Midlothian, Aberdeen City, East Renfrewshire and Stirling account for 50% of the gains which have been made over the year, and all have all seen a reasonably large increase in the average price of detached homes.
“On an annual basis there is a slightly larger movement in values, with prices in January 2024 having increased by £520, or +0.2%, compared to a fall in December 2023 of -£670, or -0.3%, over the year. This positive movement may herald a slightly broader improvement as lower mortgage rates, alongside expectations of Bank of England interest rate cuts in the second half of the year, should help buyer confidence in the short term.”
Commentary: John Tindale, Acadata Senior Housing Analyst
January’s housing market
Once again Scotland’s average house price has barely changed in the current month, with January’s average figure at £221,693, which only differs by -£19 from the revised figure for December. However, as in several recent months, the national average of “zero change” masks considerable variation in prices at the more local level. For example, in January, there are 16 local authority areas with price rises in the month and 16 with price falls, ranging from +9.7% in Inverclyde to -4.2% in Moray.
On an annual basis there is a slightly larger movement in values, with prices in January 2024 having increased by £520, or +0.2%, compared to a fall in December 2023 of -£670, or -0.3%, over the year. Again, on an annual basis, there are 16 local authority areas with price rises and 16 with price falls, the same number as seen in December. The movements in average prices at local authority level for the month and year are shown in Table 2 on the next page.
Looking at the weighted movement in prices, from January 2023 to January 2024, there are four local authority areas that account for 50% of the gains which have been made over the year, namely (with the percentage of the 50% gain in brackets): – Midlothian (+16%), Aberdeen City (+13%), East Renfrewshire (+12%) and Stirling (+9%). The one common feature of the four areas is that they have all seen a reasonably large increase in the average price of detached homes.
Interestingly, over the same twelve-month time period, the City of Edinburgh has had the largest fall in prices, accounting for -18% of the reduction in average values in Scotland on a weight adjusted basis.
The majority of this fall in Edinburgh arises from the drop in average values of terraced properties and to a lesser extent semi-detached homes, while the average price of detached homes and flats has continued to rise.
Terraces in Edinburgh do of course include some magnificent examples of grand Georgian architecture, as evidenced by the highest-priced property sale of the month (as described on page 6), with the average price of terraces in Edinburgh being £360k, double that of the average for Scotland at £180k.
Figure 1.Scotland’s average house price for the period from January 2022 to January 2024
Figure 1 shows how average house prices in Scotland have changed over the two years from January 2022. It can be seen that there was a slight dip in prices over the period from December 2022 to March 2023, which may be about to repeat itself, albeit to a lesser extent, some twelve months later. However, aside from this small dip, average prices have been relatively stable over the seventeen months from July 2022 to November 2023.
Local Authority Analysis
Table 2. Average House Prices in Scotland, by local authority area, comparing December 2022, November 2023 and December 2023
Table 2 above shows average house prices, calculated on a seasonal- and mix-adjusted basis, by Local Authority Area, for January and December 2023 and January 2024, together with the corresponding percentage price changes over the last month and year. The ranking figures are based on average house prices in January 2023 and 2024. Line items are shaded in blue in cases where average house prices in the Local Authority Area have experienced record highs in January 2024.
Annual change
The average house price in Scotland in January 2024 has increased by £520, or 0.2%, over the last twelve months, which is 0.5% higher than the revised rate of -0.3% in December 2023, one month earlier. The revised December 2023 figure of -0.3% is the first time the annual growth rate has been negative since May 2016, some seven and a half years earlier.
In January 2024, 16 of the 32 local authorities in Scotland were reporting a positive movement in prices over the previous twelve months, the same number as in December 2023.
Midlothian had the highest annual rate of price growth in January of all local authority areas on the mainland, at 9.9%, having been in second position in December. In Midlothian, all property types have seen an increase in values over the last twelve months, with detached homes and terraces having the largest influence on prices, with two new-build detached homes selling in Roslin, some seven miles south of Edinburgh, for £715k apiece.
Staying on the mainland, Stirling has the second-highest annual growth rate at 7.4%. All property types – except semi-detached – have experienced average price increases in Stirling, but this month it is flats that have seen the most significant rise, up from an average £145k in January 2023 to £185k one year later, assisted by the sale of a three-bed penthouse apartment in the Bridge of Allan, for £410k.
At the other end of the scale, the area on the mainland with the largest percentage fall in prices over the last twelve months was West Dunbartonshire, at -8.5%. In West Dunbartonshire, all property types saw prices fall over the year, with the largest fall this month being flats, down from an average £100k in January 2023 to £95k one year later. This means that West Dunbartonshire now has the seventh-lowest average price for flats in Scotland’s 32 local authority areas.
Monthly change
In January 2024, Scotland’s average house price fell by just -£19, or 0.0%, which contrasts with the revised -£1,250, or -0.6%, change in prices in December 2023. Scotland’s average house price now stands at £221,693, a level first reached in July 2022.
In January 2024, 16 of the 32 Local Authority areas in Scotland experienced rising prices in the month, the same number as seen in December 2023. The area with the highest increase in its average price in the month was Inverclyde, up by 9.7%. All property types saw an increase in their average prices in Inverclyde, with the largest rise being in detached properties, assisted by the sale of a recently renovated five-bedroom detached home, located in Kilmacolm, some 15 miles to the west of Glasgow, for £1.4 million.
In second place, with a monthly increase of 5.6% is East Ayrshire. All property types, except for terraces, saw an increase in prices in the month, with semi-detached homes rising from an average £143k in December 2023 to £160k in January 2024. The increase in average prices in the month was assisted by the sale of a £767k detached property in Dunlop, some seven miles north of Kilmarnock.
By way of contrast, the area on the mainland with the largest monthly fall in its average price was Moray, down by -4.2% in the month. All property prices saw a fall in Moray in January, with the largest being in terraced homes, down from an average £156k in December to £148k in January – although January tends to be a quiet market, with only 13 terraced sales having been recorded to date in the month.
For interest, the highest-priced residential property to have been sold in Scotland in January 2024 was a four/five-bedroom Georgian terraced home in Great King Street, New Town, Edinburgh, which forms part of the UNESCO World Heritage site – it fetched £2.25 million.
Transactions analysis
Figure 2 below shows the monthly transaction count for purchases during the period from January 2019 to January 2024, based on Registers of Scotland (RoS) figures for the Date of Entry (except for January 2024, which is based on RoS Application Dates).
The first year on the chart, 2019 (light blue line), was relatively “normal” having an average 8,560 sales per month, some 2.1% higher than the total for 2018, but -0.3% lower than 2017.
As can be seen, 2020 (the turquoise line) was more varied, the Covid pandemic having manifested itself in March 2020, with the first lockdown taking place in April 2020, when the market slumped to just 2,637 sales. There was then a slow path to recovery during the remainder of 2020, with a peak in transactions in October 2020 of 13,045 sales, as the benefit of the LBTT tax holiday and the mantras of the “race for space” and “work from home” came to the fore.
There was a second peak in transactions in March 2021 (the brown line), as purchasers scrambled to take advantage of the tax holiday, before its cessation on April 1st 2021. In 2022 (the red line), house purchases returned to near normality, with the first nine months of 2022 seeing an average 8,600 sales per month. However, Liz Truss came into power on 6 September 2022, with her mini-budget, which resulted in the bank base rate being raised to 2.25%. The bank rate was further increased on 3rd November and 15th December 2022, ending the year at 3.5%.
Figure 2.The number of sales per month recorded by RoS based on entry date from 2019 – 2024
This brings us to 2023 (the yellow line) – the relatively high bank rate of 3.5% had an adverse effect on property transactions, with only 5,915 sales for January 2023 – the lowest January total since 2013. Although the housing market in 2023 did enjoy the spring bounce in transactions that occurs traditionally in March, the bank base rate was increased a further five times in 2023, reaching 5.25% on 3rd August 2023 (the current rate). Over the twelve months of 2023, sales have amounted to some 91,200 properties, which is 12.0% down on 2022 and is the lowest annual total since 2013.
Sales for January 2024 are still being processed, but early indications are that total sales will be even lower than January 2023.
Scotland transactions of £750k or higher
Table 3. The number of transactions by month in Scotland greater than or equal to £750k, January 2015 – January 2024
Table 3 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.
There were 59 such transactions recorded by RoS during January 2024. Currently, this is the fourth-highest January total recorded to date, but with RoS processing further data for the month, it may possibly rise to third place in the yearly rankings – this will become evident next month. Following the pandemic, July 2022 had the highest monthly total of 137 sales over £750k, when transaction counts were still “catching-up” with the lost months of the pandemic years.
Looking at the total number of high-value properties sold in each year in Table 3, 2022 is ranked first with 1,231 high-value sales, 2021 is in second place with 1,102 sales, while 2023, with 1,071 sales, is ranked third.
However, there is a clear trend, in that the totals in each month of 2023 are lower than, or equal to a year earlier. In aggregate, the high-value 2023 transactions are currently down on the 2022 total by 13%, compared to a 12% downturn in sales volumes in the market as a whole, indicating that last year’s enthusiasm for the purchase of high-value homes has marginally decreased from a year earlier.
Edinburgh accounts for 474 of the 1,071 high-value sales (44%) that have been recorded by RoS in 2023, compared to 48% in 2022. In 2023, East Lothian finished in second place with 73 such sales, closely followed by Glasgow in third place with 69 sales. Glasgow is currently 9 sales ahead of fourth-placed East Renfrewshire, with 60 high-value sales, and finally we have two authorities in equal fifth position, being East Dunbartonshire and Fife, with 55 sales each.
Sales for January 2024 are still being processed by RoS, with 59 high value sales having been recorded to date, of which 25 relate to Edinburgh (42%).
Peak Prices
In Table 2 above, those areas which have reached a new record in their average house prices are highlighted in light blue. In January 2024, there was 1 such authority being Inverclyde, the same number (although not the same authority) as in December 2023. The movement of prices in Inverclyde in January 2024 has been discussed in the “Monthly Change” section on page 5 above.
Heat Map
The heat map below shows the rate of house price growth for the 12 months ending January 2024. As reported above, 16 of the 32 Local Authority Areas in Scotland have seen a rise in their average property values over the last year. The highest rise over the year was in Na h-Eileanan Siar, at 11.2% growth, with the largest fall in the year in the Orkney Islands at -14.0%.
How Scotland Compares
Figure 3. Scotland house prices, compared with England and Wales, North East and North West for the period January 2005-January 2024 Figure 3. Scotland house prices, compared with England and Wales, North East and North West for the period January 2005-January 2024
Figure 4. A comparison of the annual change in house prices in Scotland, England and Wales, North East and North West for the period January 2020–January 2024
Scotland’s Eight Cities
Figure 5. Average house prices for Scotland’s eight cities from November 2022–January 2024
Figure 6. Average house prices for Scotland’s eight cities January 2024
Bringing empty homes back into use to increase housing stock
The Scottish Empty Homes Partnership will receive £423,000 of funding to continue its work of increasing the supply of homes by bringing empty properties back into use in 2024-25.
The Partnership works with local authorities and private homeowners to provide advice and support to help bring empty homes back into use. Since 2010, more than 9,000 homes have been brought back into active use through this successful project.
Housing Minister Paul McLennan said: “Bringing empty homes back into use is one of the most cost-effective ways of increasing housing stock. However, we know the reasons why homes become, and stay empty, are complex and building relationships with owners is often key to unlocking them.
“That’s why I’m pleased to announce further funding for the Scottish Empty Homes Partnership to continue this important work.
“I want to see local authorities engaging with the Partnership to explore all options to bring more homes back into use. This is essential if we are to address issues such as homelessness and the transition to net zero. In turn this supports the Scottish Government in its aims to provide warm, safe and secure housing for those in need.”
Shelter Scotland Director Alison Watson said: “We are delighted the Scottish Government has agreed to fund the Scottish Empty Homes Partnership for a further 12 months.
“Over the past year, as well as continuing to support the network of empty homes officers across Scotland, the Partnership has supported several ground breaking projects with third sector organisations and produced our strategic empty homes framework.
“The funding will allow us to continue with this work and encourage more local authorities to see empty homes as something that can make a real contribution to providing the affordable housing Scotland needs.
“We thank the Scottish Government for their continued support.”