Delivering new affordable housing in the age of austerity: housing policy in Scotland

Abstract

PurposeThe purpose of this paper is to assess new and often innovative models that aim to fund and deliver affordable housing in Scotland within a context of fiscal crisis. These models and their setting have implications for other countries with limited funds to support their housing systems.Design/methodology/approachThis paper is a policy analysis, drawing on ideas from public policy and applied economics. It derives a set of criteria with which to provide an interim assessment of both key proposals and the policy programme as a whole.FindingsThe new models and the government's approach are pragmatic and have elements of genuine innovation. Other elements are only aspirations at this point and considerable uncertainties remain. The new environment will be difficult for housing associations but also in terms of wider knock‐on effects between the market‐rented sector and intermediate housing. Major concerns remain about rent levels and there is a lack of clarity about government's long‐term objectives for social housing.Originality/valueThe paper provides a first critical overview and initial assessment of radical new policies for affordable housing in Scotland. The paper's subject matter is of direct relevance to all national housing systems confronting shortages of public resources, a demonstrable need for more affordable housing, and also those contemplating radical reform to tried and tested funding and delivery models.