The number of new homes built in Scotland has fallen by eight per cent year-on-year, reaching the lowest level in a decade, even as a record number of children remain in temporary accommodation.
Figures released today show 18,028 new homes were added to the country's housing stock between April 2025 and March of this year, an eight per cent drop from the previous year.
Housing Emergency Declared Across Scotland
Many of Scotland's largest local authorities have declared housing emergencies, meaning they cannot meet demand for affordable accommodation.
Last month it was revealed there were 41,443 homelessness applications in the 12-month period up to March 31, the highest since 2011-12. The figures also show 19,004 households were in temporary accommodation, the highest on record.
Experts Call for More Social Homes
Gordon Llewellyn-MacRae, interim director of Shelter Scotland, said: "We are simply not building social homes fast enough, nor investing at the scale Scotland's housing emergency demands.
"Today's statistics show an annual drop of eight per cent in new homes added to Scotland's housing stock - the lowest level in a decade. A record number of children are trapped in temporary accommodation, a direct result of chronic underinvestment and poor political choices.
"Homelessness is not inevitable, but we cannot promise or blame our way out of the housing emergency; we need to build our way out. If we don't deliver at least 15,693 social homes needed each year, thousands of families will remain trapped in limbo with their health, wellbeing and chance to thrive impacted.
"Politicians of all stripes need to step up if we want to end homelessness. Any extra capital funding from the Chancellor's investment plans announced in tomorrow's UK Budget must be used by Scottish ministers to deliver more social homes, and the Scottish Government must provide the funding needed to uphold its commitment to end the use of harmful and unsafe temporary accommodation for children in December's Scottish Budget."
Political Response
Mark Griffin, Scottish Labour housing spokesman, said: "People need secure, affordable homes, but Scotland is failing to build enough to meet demand.
"Just 18,028 new homes were added to the housing stock in the past year, an eight per cent fall and the lowest level in more than a decade outside the pandemic.
"At the same time, more than 10,000 council homes are sitting vacant. While some need major repairs or modernisation, ministers must work with councils to bring as many as possible back into use.
"The Scottish Government must set out how it will boost housebuilding and help councils get empty properties back into use."
Shirley-Anne Somerville, the Housing Secretary, said: "We recognise the challenges facing the new build sector, driven by international and domestic economic pressures, and we are using every lever at our disposal to accelerate housebuilding across Scotland.
"Despite this, Scotland continues to lead the rest of the UK in housebuilding relative to our population size. Our Affordable Housing Supply Programme is also improving, with approvals up 42% and starts up 34% in the year to June 2026.
"Our new national housing agency, More Homes Scotland, will bring greater focus, coordination and ambition to unlock stalled developments and attract investment. Backed by a record £926 million budget this year, we remain focused on our target of delivering 110,000 affordable homes by 2032."
