Housing statistics quarterly update: March 2018

New Build Housing – Social Sector

Social sector housing consists of local authority and housing association housing, and has accounted for a fifth (20%) of all new build homes completed over the 12 months to end September 2017. 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 2017. 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.

Chart 7a: Housing Association and Local Authority new build starts and completions, years to end September 2007 to 2017

Chart 7b: Housing Association and Local Authority new build starts and completions, years to end December 2007 to 2017

Chart 8: Quarterly new build approvals and completions (Housing Associations) since 2007

Chart 9: Quarterly new build starts and completions (Local Authority) since 2007

Trends over the last ten years

Chart 7a shows the number of local authority and housing association homes started and completed each year (to end September) since 2007, 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 2007 and 2009 (years to end September) the number of housing association completions increased from just under 3,800 to just over 5,700. Completions have since decreased each year , except for 2015, to just under 2,200 in 2017.

The number of housing association approvals meanwhile decreased from just under 6,300 in 2009 to just over 2,300 in 2011 (years to end September). The figures have since increased each year since then to just over 4,700 in the year ending September 2017, a 33% increase compared with the year to September 2016.

Very few local authority homes were built in 2007 and 2008 (years to end September). The number gradually increased from over 400 in the year ending September 2009 to over 1,200 in the year ending September 2012 and has remained fairly stable since then up until the year ending September 2017. 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 2017.

Trends to end September 2017

There were 755 social housing completions between July and September 2017; 16% less than the same quarter in 2016. This brings the total for the year to end September 2017 to 3,560. This is a 7% decrease on the 3,846 social sector completions in the previous year.

Meanwhile, 935 social sector homes were started between July and September 2017; 29% less than the same quarter in 2016. This brings the total for the year to end June 2017 to 5,849. This is a 14% increase on the 5,118 social sector starts in the previous year.

Sub-national figures for the year to end September 2017

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 2017 per 10,000 of the population (based on the latest mid-2016 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 2017 rates of housing association new build completions were highest in the Orkney Islands, Clackmannanshire, Na h-Eileanan Siar, and East Lothian, whilst no new housing association houses were built in East Ayrshire, Inverclyde, and Midlothian, Renfrewshire, and South Ayrshire.

Meanwhile local authority new build rates were highest in Fife, Midlothian, East Lothian, and West Lothian. As well as the 6 stock transfer authorities mentioned above, Aberdeenshire, Clackmannanshire, Dundee City, East Renfrewshire, the Orkney Islands, Renfrewshire, the Shetland Islands and West Dunbartonshire built no new homes in the year ending September 2017.

Latest data to end December 2017

A total of 788 social sector homes were completed between October and December 2017, 14% fewer than the 919 homes completed in the same period in 2016. This brings the total for the 12 months to end December 2017 to 3,429, which is 12% less than the 3,897 completed in the previous year. The decrease in the 12 months to end December 2017 is due to a decrease in Housing Association led completions, which decreased by 29% (778 homes), whereas local authority led completions increased by 26% (310 homes).

Meanwhile, 1,267 social sector homes were started between October and December 2017. This is up by 13% compared to the same quarter in the previous year. This brings the total for the 12 months to end December 2017 to 5,996 which is a 17% increase (873 homes) on the 5,123 starts in the previous year. The increase in the 12 months to end December 2017 is due to Housing Association approvals increasing by 26% (963 homes) whilst Local Authority starts decreased by 6% (90 homes) (see Charts 8 and 9).

Map C: New build housing - housing association sector completions: rates per 10,000 population, year to end September 2017

Map D: New build housing - local authority sector completions: rates per 10,000 population, year to end September 2017