Scotland’s public finance minister is “concerned” about the length of time it takes for projects to get planning permission.

Ivan McKee spoke out after figures revealed average decision times were longer than they were before the Covid pandemic – while the number of planning applications for both local and major developments fell last year.

Mr McKee said the figures “paint a stark picture of the scale of the challenge we have currently in our planning system”.

He added: “The need for efficient, effective, consistent and confident processing of planning applications has never been greater.”

However, Labour said that the figures showed that Scotland’s “overburdened and bureaucratic planning system is stifling economic growth”.

They hit out as official statistics from the Scottish Government showed the number of local development applications – smaller applications for changes to homes, developments with up to 50 houses and some business and other applications – was the lowest for five years.

There were 22,565 such applications in 2023-24, Scottish Government figures showed, down from 26,585 in 2019-20.

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Meanwhile, the average decision time for applications without processing agreements – deals between the developer and the planning authority which set out the timeframe for the application – increased again to 11.6 weeks.

This rise, which comes after increases in 2020-21 and 2022-23, comes “despite the number of applications falling”.

In 2019-20, prior to the Covid pandemic, the average time was 9.1 weeks, the data showed.

Meanwhile, there were 227 major development applications – which cover housing developments with more than 50 properties and on sites larger than two hectares – in 2023-24.

This continues “the downward trend since 2019-20 when there were 307”, the report added.

While decision times were lower than the previous three years, at an average of 36.1 weeks, the report noted this was still higher than pre-Covid, with an average decision time of 33.5 weeks in 2019-20.

Overall, the approval rate for planning applications was 92.3% in 2023-24, with this compared to a rate of “around 94% in recent years”.

Labour housing spokesperson Mark Griffin said: “These stark figures must be a wake-up call for the SNP Government.”

He added: “Our country is in the grips of a housing emergency, but major housing developments are stuck in limbo for over a year waiting for a decision.

“Scotland’s overburdened and bureaucratic planning system is stifling economic growth and fuelling the housing emergency, while SNP cuts to councils are piling on added pressure.”

Mr McKee said he would update MSPs on Tuesday on steps the Scottish Government is taking to improve matters.

The public finance minister said: “Our planning system is a critical part of growing Scotland’s economy. We need a planning system with sufficient capacity and skills in place to meet the needs of Scotland’s economy, not least to enable the construction of more homes.”

He welcomed that more than 29,240 applications were approved last year, but added: “I am concerned that it is taking longer to process applications.”

Mr McKee said: “Whilst there can be many reasons for delays to decisions, there is clearly room for improvement.

“Performance is not just about speed of decision – certainty of process and good customer service are vital.

“To help planning authorities increase capacity, skills and efficiencies – and to support delivery of Scotland’s national planning framework – the Scottish Government is taking a range of actions and I will provide an update on this in Parliament.”