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Housing associations are being urged to sign up for a scheme that could deliver up to 1,500 new affordable homes for rent across Scotland.

The National Housing Trust initiative (NHT) for Registered Social Landlords (RSLs) allows housing associations to fund homes through a scheme being underwritten by the Scottish Government.

Following the success of NHT for councils and developers, the initiative is being extended further with a new version that gives RSLs a leading role.

The new financing model will see housing associations build homes or fund the purchase of newly-built homes so they can be made available for rent at below market rates for five to 10 years.

And there will be flexibility on exit to enable RSLs to retain homes for rent indefinitely.

NHT is part of the Scottish Government's drive to boost economic growth and create jobs by finding new and innovative ways to invest in infrastructure across Scotland.

In Edinburgh, to see 62 affordable homes being built through NHT and which will be available for let shortly, Housing Minister Keith Brown said:

“Faced with sharp reductions in public finances, the Scottish Government and its partners have sought new ways of financing the building of much-needed affordable homes.

“NHT is a leading example of the type of innovative, high value for money model needed to boost affordable housing supply and stimulate the economy.

“The initiative is already delivering hundreds of affordable rented homes across the country supporting jobs in the construction sector and wider economy for very little taxpayers’ money. 

“Building on this success, the Scottish Government has worked with RSLs to expand NHT further through a new version – available now – that can unlock further development in these financially constrained times. 

“I would urge housing associations to embrace this scheme and take the opportunity to get involved.”

Graham Harper, Policy Manager, Scottish Federation of Housing Associations said:

“The SFHA recognises that innovative forms of provision contribute to tackling the huge shortage of new housing supply in Scotland.

“The SFHA is pleased that this new streamlined version of NHT recognises the significant role housing associations and co-operatives play in meeting this need.”

Neil Manley, Director of Finance, Queens Cross Housing Association said:

“Queens Cross is keen to explore NHT for RSLs as a means of supporting our future development plans.

“In difficult times, the support that NHT provides may assist to secure deals and ensure that homes get built."

Colin Rae, Project Director, Scotland at Places for People, who are currently developing two NHT sites in Edinburgh added:

“NHT is great news for people in need of affordable housing as it offers a genuinely innovative way to boost the supply of much needed homes.”

Related Information

• National Housing Trust