By Sally Thomas
HOME should be a place of sanctuary: not a source of stress. That is fundamental to the purpose of social housing: providing warm, safe homes that people can afford. When the Scottish Government released its draft rented sector strategy, with its aim that all tenants, whether in the private or social rented sector, would have access to a secure affordable tenancy, it was as part of its work to create a fairer post-pandemic Scotland. Now, set against the backdrop of the cost of living crisis, with thousands of people desperately anxious about how they will heat their homes or pay their housing costs, it is even more critical that the strategy succeeds.
Before Covid, according to the Joseph Rowntree Foundation (JRF), around one million people were living in poverty in Scotland – and this figure could be higher now. With housing costs accounting for most people’s main expenditure, key to delivering the strategy’s aim of an affordable tenancy for all will be ensuring housing associations can build the homes that are needed. Social rents are, on average, half of those paid by tenants who rent privately.
The Government has set an ambitious target to deliver 110,000 affordable homes by 2032 and, so far, committed more than £3.4 billion investment to help social landlords build these homes. While our members welcome both the target and funding, the investment was set before they were faced with spiralling development costs. If the Government doesn’t respond by increasing investment to meet these costs, social landlords could face a position where they can’t afford to develop. If we can’t deliver the number of affordable homes that Scotland needs, then more people will be pushed into the private rented sector – or even risk becoming homeless.
The strategy rightly acknowledges the key differences between the social and private rented sectors, proposing that rent controls should be introduced for the latter only. We support this view: fairness, quality and affordability are already at the heart of social housing, with homes built to the highest government standards and rents set in consultation with tenants.
Housing associations’ rental income helps fund essential repairs and maintenance as well as development, and our members also provide essential services like welfare and energy advice. These services ensure the health, safety, and wellbeing of tenants, and it is critical they can continue. The rent housing association tenants pay, therefore, provides them with much more than "just" a home and that is why the strategy’s proposal, to create a shared definition of affordability, must acknowledge this.
As we face an unprecedented global economic crisis, it is those already living in poverty who are worst affected. According to JRF, the lower rents charged by social housing providers directly help to reduce poverty, so the Scottish Government must do everything it can to deliver more affordable homes and realise the strategy’s vision. Together with our members, we will work with the Scottish Government so that all tenants can live in a safe, warm, secure home which they can afford.
Sally Thomas is Chief Executive, Scottish Federation of Housing Associations
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