Return to pre-recession house building levels could create 40,000 jobs, says Homes for Scotland

Written by Jenni Davidson on 20 January 2016 in News

Homes for Scotland is calling for 100,000 new homes to be built by the end of the next parliament

Nearly 40,000 new jobs could be generated by the end of the next Scottish Parliament if house building in Scotland returned to pre-recession levels, according to the housing industry trade body Homes for Scotland.

Referring to a report by the House Builders Federation that over 100,000 new jobs were created in England last year as result of an increase in house building, Homes for Scotland said Scotland could benefit in a similar way if action was taken to stimulate construction north of the border.

Philip Hogg, Chief Executive of Homes for Scotland, said: “Today’s English figures underline the positive impact which comes from the building of much needed homes. 


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“Research has also shown that every home built in Scotland supports over four jobs but the benefits go much wider than just employment and the contribution to our economy. 

“Ensuring we have enough homes to properly house Scotland’s growing population also means improving access to fit-for-purpose and energy-efficient homes, as well as supporting better health and education outcomes.”

Homes for Scotland estimates that every home built creates 4.1 jobs and in 2014, when 15,562 new houses were built, it supported a total of 63,260 direct and indirect jobs.

House building levels in Scotland are currently lagging 40 per cent below 2007 levels, according to Hogg.

“This is why we are calling on the next Scottish Government to manage a return to at least pre-recession levels of building which would mean the delivery of at least 100,000 new homes by the end of the next parliamentary term, based on an annual average growth rate of ten per cent,” he added.

“We believe this is an ambitious but achievable target and have already set out to politicians of all parties the action which needs to be taken to make it happen.”

The Royal Institute of Chartered Surveyors (RICS) has predicted a 4 per cent rise in house prices in 2016 due to a continued shortfall in supply.

According to recent joint research by Shelter, the Scottish Federation of Housing Associations and CIH Scotland, 12,000 new affordable homes are needed each year to meet demand.

The SNP has committed to building 50,000 new affordable homes over the next parliament if re-elected.



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