en.Wedoany.com Reported - Homes for Scotland (HFS) recently stated that the latest Scottish Government housing statistics show housing completions in the region for 2025-26 are at their lowest level since the COVID-19 pandemic period (2019-20), with starts falling 41% over the same period, reflecting serious industry concerns over rapidly diminishing land supply and development viability.
Specific data shows total housing completions for 2025-26 stood at 17,268 units, the lowest since 2019-20. While approvals and starts for affordable housing have increased, the base is low. HFS noted that this figure is over 20% lower than the 22,402 units jointly forecast by local authorities, adding pressure on families, communities, public services, and the economy.
HFS emphasized that the nearly 12% decline in private sector starts in 2024-25 is particularly concerning, as private delivery plays a key role in supporting social and affordable housing through land, infrastructure, developer contributions, and cross-subsidies.
A recent HFS report noted that allocated land does not always translate into housing due to rising costs, infrastructure requirements, planning obligations, policy expectations, and market conditions. The report predicts that by 2031, housing completions in Scotland could fall to as low as 5,000 units per year.
Jane Wood, Chief Executive of HFS, said these figures are another warning of a worrying trajectory for housing in Scotland. She stressed that the land supply crisis must be urgently addressed, requiring the planning system to continuously identify, release, and support effective land for all types of housing tenures.
Wood pointed out that development viability studies show unviable sites cannot deliver housing. Rising costs, policy requirements, infrastructure pressures, and delays make housing delivery more challenging, especially in areas with thin margins and urgent demand.
Wood called on the Scottish Government, local authorities, and public and private sector partners to work together to remove barriers and restore confidence. She noted that engagement with the Cabinet Secretary for Social Justice and Housing has been positive, and the "First Home Fund" is an example of supporting first-time buyers and stimulating investment confidence. She believes the new national housing agency has the potential to bring simplification, scale, and speed, but needs to integrate commercial insight and full-tenure expertise from the outset.
HFS stated it looks forward to working with ministers and officials to reverse the decline in supply to meet housing needs, support economic growth, sustain local communities, and help Scotland transition to net zero emissions.
