Budget boost of £158 million.
The affordable housing supply programme is set to receive a £158
million boost as part of the 2026-27 Draft Scottish Budget,
compared to last year's published budget.
In the next financial year, £926 million has been allocated to
the Affordable Housing Supply Programme – 20% higher than the
previous year - as part of a wider investment of up to £4.9
billion over the next four years, including a record £4.1 billion
of public sector funding, to help deliver 36,000 affordable
homes.
The funding is part of a package of support for housing which
also includes:
- £106 million for Discretionary Housing Payments, helping
struggling households to remain in their homes
- £8 million for rapid rehousing transition plans, reducing the
time spent in temporary accommodation
- Providing support for women and children affected by domestic
abuse with a £2 million fund to leave
- An extra £4 million for a range of initiatives to support the
implementation of new homelessness prevention duties in the
Housing (Scotland) Act 2025
- At least a further £1.3 million invested through the Scottish
Empty Homes Partnership to bring empty homes back into use.
Housing Secretary Màiri McAllan said:
“This is the biggest total funding allocation to affordable
housing in Scotland since records began in 1989.
“Our investment is rooted firmly in our top priority of
eradicating child poverty and is a critical investment in growing
our economy.
“The budget settlement builds on commitments made in our Housing
Emergency Action Plan, which includes record public sector
funding of £4.1 billion over the next four years and is estimated
to see 36,000 affordable homes delivered and up to 24,000
children provided with a home.
“We've also confirmed a package of measures to limit the time
families spend in temporary accommodation, support women and
children experiencing domestic abuse and fund a range of
homelessness prevention and response initiatives.
“The Scottish Government is serious in our ambition to tackle the
housing emergency and the funding proposed in the Budget marks a
step – change ensuring more families will have the opportunity to
live in a warm, safe and affordable home with the many benefits
that brings.”
