Responding to the news that the number of new homes started has dropped 43 per cent during the past year – with the number of new starts in the private sector in this quarter at its lowest since 1987 – the housing charity, Shelter Scotland has warned that “extraordinary measures” needed to be taken.

Graeme Brown, Director of Shelter Scotland, said: “Shelter is calling on the UK Treasury to build its way out of recession by kick starting investment in new social housing over the next two years (1). If the package was backed by the UK Government, it would mean an investment for housing of around £600 million in Scotland through the Barnett Formula.

“This would build at least 6,000 additional affordable rented homes and provide £150 million for a central fund to get developments moving on sites that are currently stalled.

“This stark news today (Tuesday) that the number of new homes being built has dramatically dropped, shows that extraordinary measures are needed to help in these extraordinary times. Investing in social housing would not only help the ailing construction sector, but also ensure we have the homes needed to give everyone a house by 2012 (2).”

(1)http://england.shelter.org.uk/news/february_2009/new_homes_can_save_economy This link is to a press release relating to England and includes a quote from the Shelter Director Adam Sampson. For information regarding Scotland, please telephone the media office on the above telephone number.

(2) By 2012 all unintentionally homeless people should have access to a permanent home, under Scottish legislation. Currently, only people designated to be in ‘priority need’ – generally families with children – have the right to permanent homes. All others have access to only temporary accommodation and support. By 2012, there will be no distinction and everyone will have the right to a home.