06 February 2009
By Neil Merrick
The Scottish Government is giving more than £10m to housing associations to buy unwanted homes from private builders.
In a series of moves aimed at reviving the house building industry, Scottish associations are being given £3.7m to purchase land for future development and a further £3m to speed up the construction of new homes.
The package, announced by Deputy First Minister Nicola Sturgeon on January 27, follows the Scottish Government's decision to spend £120m of its £1.5bn affordable housing investment programme up to two years earlier than planned.
Sturgeon said the money would help alleviate the effects of the recession on developers and get planned projects on site earlier than had been anticipated.
The government has already allocated £18m that was not due to be spent until the final year of the three-year programme. 'This latest phase of funding will help to kick-start construction work across Scotland, helping our hard-pressed construction workers weather the economic storm,' she added.
Craig Sanderson, chief executive of Link Group, one of Scotland's largest registered social landlords, said the funds would make more affordable housing available to families in many areas of Scotland.
Link is to receive £1.7m towards the cost of buying 24 unsold flats from Thomas Mitchell Homes, a private developer, at Cumbernauld, near Glasgow. Once completed, the flats will be offered to families on the council waiting list in North Lanarkshire.
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