Building the best future for the Scottish housing sector?

The Scottish Government has set out detailed plans to tackle Scotland’s ongoing housing challenges in its Programme for Government 2025-26, with significant implications for property agents across the country. Propertymark welcomes the renewed focus on affordable housing and tenant protections, issues we have consistently highlighted through our policy engagement, particularly with regard to the Housing (Scotland) Bill. However, we reiterate our stance that truly resolving Scotland’s housing crisis requires the Scottish Government to urgently reassess the broader financial landscape affecting housing.

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Overhaul of private renting

Tenant protections will see significant change through the Housing (Scotland) Bill, including the introduction of an ’Awaab’s law’" equivalent, requiring landlords to swiftly address serious hazards such as damp and mould. Additionally, the Bill introduces longer-term rent controls and removes existing caps on council tax premiums for second homes and long-term empty properties.

Propertymark remains vigilant in ensuring these measures balance tenant protection with the need for a vibrant private rental sector. We continue to engage with the housing minister and Scottish Government officials, providing feedback on amendments that we support and on issues being considered.

Overall, while we applaud the Scottish Government’s comprehensive approach to affordable housing and tenant protections, Propertymark will continue to advocate for further policy reforms necessary to create a balanced, sustainable, and accessible housing market across Scotland.

Scotlan flag flying
28 Jan 2025
Propertymark shares member voices in Housing Bill forum

Action to increase housing supply

Central to the new housing strategy is the ambitious commitment to deliver 110,000 affordable homes by 2032, backed by an investment package totalling approximately £20 billion. This major initiative aims to significantly ease housing supply constraints and support between 12,000 and 14,000 jobs annually, reinforcing the importance of housing in driving economic growth.

Immediate plans for 2025-26 include delivering over 8,000 affordable homes through social rent, mid-market rent, and low-cost home ownership schemes. There is a particular emphasis on increasing the availability of family-sized properties, aligning with our members’ experiences of high demand in this category.

We are encouraged by the Scottish Government’s steps to address stalled development sites, potentially unlocking the construction of up to 20,000 homes, which aligns with Propertymark’s longstanding call for measures to boost housing developments and ensure more efficient land use.

Tax written on chalkboard next to some model houses
04 Dec 2024
Budget tax hike makes Scotland the most expensive part of the UK to be a landlord

Affordable and accessible homes

Further investment in adaptations for disabled tenants is also welcome news. The government's commitment to more than double the adaptations budget to almost £21 million will help around 8,500 households, allowing more tenants to live independently and comfortably in their homes.

Addressing homelessness remains a priority, with £4 million allocated to prevention pilots in 2025-26, plus an additional £1 million directed towards housing associations and third-sector organisations to uphold tenants' rights and housing stability.

Propertymark also recognises the importance of targeted support for rural and island facing unique housing challenges. We support the continuation of the Rural and Island Housing Fund until March 2028, ensuring these communities benefit from tailored housing initiatives.

The Programme for Government comes at an important juncture with the unresolved housing emergency and Holyrood elections in 12 months. Implementing the recommendations of the Housing Investment Taskforce and allowing more properties to be exempt from rent control areas are welcome.

 “However, to truly bring down the cost of renting and get more people on the housing ladder as well as make it easier for people to buy and sell their homes, the Scottish Government must urgently review all costs and taxes impacting private landlords, reduce the Additional Dwelling Supplement and revise the bands and reduce the rates for Land and Buildings Transaction Tax. These are powers held by Scottish Ministers and action must be taken.

Timothy Douglas
Timothy Douglas Head of Policy and Campaigns | Propertymark
Read the Scottish Government's Programme for Government 2025-26