Housing statistics quarterly update: March 2019

New Build Housing – Private-led – up to end September 2018

The private sector is the biggest contributor to overall house building, accounting for just under four-fifths (74%) of all homes completed in the 12 months to end September 2018.

Trends over the last ten years – private sector

In 2008 (year to end September) the number of private sector homes started was just over 18,500, while completions were just over 19,800. Private sector led new build housing was hit particularly hard by the recession. The number of homes completed dropped steeply between 2008 and 2010 then continued to decrease more gradually to just over 9,900 in 2012. Since then, the number of homes completed has increased each year, except for the latest year, bringing completions to just over 13,800 in the year to end September 2018.

In September 2013 the Scottish Government introduced the Help to Buy (Scotland) scheme which has aimed to support buyers purchasing a new build home and to stimulate the house building industry. Following this, the Help to Buy (Scotland) Affordable New Build and Help to Buy (Scotland) Smaller Developers schemes were launched on 21 January 2016. Further information on the schemes, along with monitoring information setting out numbers of sales, is available at http://www.gov.scot/Topics/Built-Environment/Housing/BuyingSelling/help-to-buy.

Trends to end September 2018 – private sector

Between July and September 2018, 3,608 private sector led homes were completed; 10% more (320 homes) than the same quarter in 2017. This brings the total for the year to end September 2018 to 13,831 which is 3% less (368 homes) than the 14,199 completions in the previous year.

There were 3,583 private sector led starts between July and September 2018, 15% more than (480 homes) than the same quarter in 2017. This brings the total for the year ending September 2018 to 13,293 which is 3% less (397 homes) than the 13,690 starts in the previous year.

Sub-national figures for the year to end September 2018 – private sector

Map B shows the rates per 10,000 head of population (based on the latest mid-2017 population estimates) of private sector led new build completions in each local authority for the year to end September 2018.

The highest completion rates have been in East Lothian, Midlothian, Renfrewshire, Aberdeen City and Perth & Kinross. The lowest rates meanwhile, have been in Argyll & Bute, Inverclyde, Angus and North Ayrshire.

New Build Housing – Social Sector

Social sector housing consists of local authority and housing association housing, and has accounted for just over a quarter of all new build homes completed over the 12 months to end September 2018. Social sector figures are collected a quarter ahead of those for the private sector meaning that figures are available up to the end of December 2018. However, to enable easier understanding of how each sector contributes to the all sector totals described previously, figures are also presented for the same time period to end September (although quarterly charts include the latest quarter's data).

The more up-to-date figures for the social sector are presented later in this section.

Trends over the last ten years – social sector

Chart 7a shows the number of local authority and housing association homes started and completed each year (to end September) since 2008, whilst Chart 7b shows the same information but up to end December (the most recent information available). Charts 8 and 9 show quarterly figures for housing associations and local authorities, respectively.

Social sector house building has not followed the same pattern as the private sector over time as the number of homes being built did not suddenly drop in 2008 following the recession.

Between 2008 and 2009 (years to end September) the number of housing association completions increased from just under 3,800 to just under 5,700. Completions then decreased from just over 5,200 in 2010 to just over 2,500 in 2017, before increasing in the latest year to over 3,400 in 2018.

The number of housing association approvals meanwhile decreased from just over 6,200 in 2009 to just over 2,300 in 2013 (years to end September). The figures have then increased each year to just over 4,800 in 2018.

The number of local authority homes built increased from just over 1,000 homes in 2008 up to just over 1,400 in 2009 (years to end September). Completions then fell by almost two thirds between 2009 and 2010 to total around 500 homes in 2010, before increasing to over 1,200 in 2012. Completions decreased slightly in 2013 and 2014 but have since increased each year since 2015 to just over 1,500 in 2018. Local Authority housing has accounted for 8% of the total amount of new build homes completed across all sectors in the 12 months to end September 2018.

Trends to end September 2018 – social sector

There were 1,286 social sector completions between July and September 2018; 22% more than the same quarter in 2017. This brings the total for the year to end September 2018 to 4,919. This is a 26% increase on the 3,916 social sector completions in the previous year.

Meanwhile, 842 social sector homes were started between July and September 2018; 26 less than in the same quarter in 2017. This brings the total for the year to end September 2018 to 6,607. This is a 14% increase on the 5,803 social sector starts in the previous year.

Sub-national figures for the year to end September 2018 – social sector

Maps C and D show the rates of housing association and local authority new build completions in each local authority for the year to end September 2018 per 10,000 of the population (based on the latest mid-2017 population estimates). The housing stock of 6 local authorities (Argyll & Bute, Dumfries & Galloway, Glasgow, Inverclyde, Na h-Eileanan Siar and Scottish Borders) has been transferred to housing associations and so these areas do not build new local authority houses.

In the year to end September 2018 rates of housing association new build completions were highest in Shetland, Inverclyde, Glasgow, North Ayrshire and Highland, whilst the lowest rates were of completion were in West Lothian, East Dunbartonshire, East Renfrewshire and South Ayrshire.

Meanwhile local authority new build rates were highest in West Lothian, East Ayrshire, Fife and Moray. As well as the 6 stock transfer authorities mentioned above, South Ayrshire, Shetland, Renfrewshire, Orkney Islands, East Renfrewshire, East Dunbartonshire and Clackmannshire had no completions any in the year ending June 2018.

Latest data to end December 2018 – social sector

A total of 925 social sector homes were completed between October and December 2018, 7% less than the 992 completions in the same quarter in 2017. This brings the total completions for the 12 months to end December 2018 to 4,852, a 22% increase on the 3,989 social sector homes completed in the previous year. The increase in the 12 months to end December 2018 is due to an increase in Housing Association led completions, which increased by 43% (1,071 homes).

Meanwhile, 1,717 social sector homes were started between October and December 2018. This is an increase of 39% compared to the same quarter in the previous year. This brings the total for the 12 months to end December 2018 to 7,088 which is a 20% increase (1,169 homes) on the 5,919 starts in the previous year. The increase in the 12 months to end December 2018 is due to a 28% (376 homes) increase in Local Authority starts and a 17% (793 homes) increase in Housing Association led approvals.