PROPERTY business DJ Alexander Ltd has urged finance minister Shona Robison to use the upcoming Scottish budget to support all parts of the housing sector in order to address the ongoing housing ’emergency’.
The lettings and estate agency stated that support is required to increase the volume of housebuilding, provide greater support and encouragement for the private rented sector (PRS), and create a major push on social housing.
David Alexander, the CEO of DJ Alexander Scotland, said, “This is a chance for the SNP government to set out a strategy for the next five years which must, among other policies, address the key issues facing the housing sector. With all sector new housebuilding numbers at a 12-year low here is an urgent need to encourage an increase in these numbers to meet the rising demand from homebuyers, whilst also increasing investment in the private rented sector, and addressing the enormous social sector waiting list.
“There is currently an opportunity to make Scotland more appealing to landlords and private investors. The recent Westminster budget contained a 2% increase in the taxation on landlords and property investors income. To send a clear signal that Holyrood wants to make Scotland a more attractive place for individuals and businesses to invest in the private rented sector (PRS) this budget could omit this increase in its plans.
“This, although it may sound counter intuitive to some, would likely result in higher revenues by attracting greater investment and more supply in the Scottish market. This is certainly worth considering if Scotland is to continue to attract essential investors into the property market. A strong private rented sector remains key to bringing more people to live and work in Scotland in major growth centres like the central belt where demand continues to outstrip supply.
“But a key aim for politicians seeking to address the key housing issues is to build tens of thousands more social houses to reduce the waiting list and to address the record levels of homelessness in Scotland. Only by focusing on this will there be any chance of an end to the housing emergency.”
“A budget which encourages more housebuilding would be enormously positive producing economic growth which, in turn, creates jobs, good incomes, and more homes to drive up GDP. There needs to be a greater engagement and involvement with those directly involved in the property sector alongside the people producing the strategic policies.
“There also needs to be a shift away from the limited five-year electoral cycle of decision making to a system which sees housing in a ten-to-fifteen-year timeframe which encourages continuous, strong, and organised growth to meet demand. The historic stop-start policies of the electoral cycle have consistently failed the sector for decades and change must come if we are to address the immediate and future needs of the housing sector in Scotland.”
