7. To ask the Scottish Government what action it is taking to increase the number of new homes started in rural areas. (S6O-03012)

I have been engaging closely with a range of partners such as local authorities, housing providers and businesses, including at a recent round-table event, to support the delivery of more affordable homes across rural Scotland.

That work is underpinned by our recently published “Rural & Islands Housing Action Plan”.

We will invest more than £556 million in affordable homes across Scotland in the next financial year, including through the demand-led rural and islands housing funds and the rural affordable homes for key workers fund. We also provided funding for the Communities Housing Trust and South of Scotland Community Housing to support communities to deliver more affordable homes in rural and island communities.

That is helpful, but I want to double-check that, out of the 110,000 affordable homes that are planned by 2032, 10 per cent is the proportion that is supposed to be built in rural and island communities. Can I check that figure, please? There seems to be a bit of confusion about it.

The latest housing statistics from the last quarter in 2023 showed that the number of new homes that were started had decreased by 24 per cent. Can you tell us how that will impact on your ambitions to ensure that rural areas are well served, given that such homes are critical to the sustainability of rural communities?

The Deputy Presiding Officer:

I remind members to speak through the chair.

As I have said previously, 10 per cent is the minimum target that we are aiming for, and we will work with local authorities in that regard. If we can deliver more than that, we will. As I mentioned, we had a round-table discussion with major employers about opportunities through, for example, the key workers fund, and we are working with the Communities Housing Trust on deliverability.

We are looking at other opportunities. Liz Smith will be aware of some of the developments in the renewables sector in Inverness. I spoke to developers there, along with the local community and the local authority, about the opportunities for Inverness and the surrounding areas. We are looking to see how we can deliver six or seven renewables hubs, mostly in rural areas. By working with the sector and developers, there is an opportunity to develop more housing in rural areas. I am happy to discuss that later.

Many young people want the chance to live in the rural and island areas where they have grown up and where they have family ties. Even a small number of new properties can have a significant benefit, such as the development by Hjaltland Housing Association of four new homes in Walls, in my constituency. The outcome of the methodology to determine where new houses are built can sometimes differ from the needs that are expressed by communities. What action can the Scottish Government take on that point?

Beatrice Wishart will know that I visited Shetland a number of months ago and spoke to Hjaltland about that development. Infrastructure funding was provided for the site. The topography of an area can be a particular challenge, and she knows that we are working closely with Hjaltland and Shetland Islands Council on that. I know that Shetland has had specific challenges with the renewables sector and others that have put real pressure on the area. We continue to work closely with people on Shetland and will have follow-up meetings with them. It is key that we meet local authorities to discuss their individual challenges, such as those that Shetland has. I will continue to discuss Shetland’s particular issues with the people there.