Housing statistics quarterly update: March 2017

New Build Housing - Social Sector

Social sector housing consists of local authority and housing association housing, and has accounted for just under a quarter (23%) of all new build homes completed over the 12 months to end September 2016. 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 2016. 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 2006 to 2016

Chart 7b: Housing Association and Local Authority new build starts and completions, years to end December 2006 to 2016

Chart 8: Quarterly new build approvals and completions (Housing Associations) since 2005

Chart 9: Quarterly new build starts and completions (Local Authority), since 2006

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 2006, 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 2006 and 2008 (years to end September) the number of housing association completions were around 3,700 to 3,900 each year before increasing to over 5,700 in 2009. Completions then decreased to 2,600 in 2014, with a slight peak in 2015 until 2016 where there were 2,500 completions.

The number of housing association approvals meanwhile increased from just under 5,100 to 6,300 from 2006 to 2009 (years to end September), before falling to around 2,300 in 2011. The figures have since increased to just under 3,500 in the year ending September 2016.

Very few local authority homes were built in 2006 and 2007 (years to end September). The number gradually increased from around 450 in the year ending September 2009 to over 1,200 in the year ending September 2012, then dipped to 1,000 in 2014, before increasing to 1,200 in the year ending September 2016. Local Authority housing has accounted for 7% of the total amount of new build homes completed across all sectors in the 12 months to end September 2016.

Trends to end September 2016

There were 832 social housing completions between July and September 2016; 16% fewer than the same quarter in 2015. This brings the total for the year to end September 2016 to 3,693. This is a 9% decrease on the 4,052 social sector completions in the previous year.

Meanwhile, 1,306 social sector homes were started between July and September 2016; 46% higher than the same quarter in 2015. This brings the total for the year to end September 2016 to 5,054. This is a 24% increase on the 4,089 social sector starts in the previous year.

Sub-national figures for the year to end September 2016

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 2016. 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 2016 rates of housing association new build completions were highest in the Shetland Islands, Glasgow City, Na h-Eileanan Siar and Inverclyde, whilst no new housing association houses were built in East Ayrshire and West Dunbartonshire.

Meanwhile local authority new build rates were highest in the Orkney Islands, Moray, South Ayrshire and Clackmannanshire. As well as the 6 stock transfer authorities mentioned above, Aberdeen City, Dundee City, East Dunbartonshire, East Renfrewshire, Falkirk, Renfrewshire, the Shetland Islands and West Dunbartonshire built no new homes in the year ending September 2016.

Latest data to end December 2016

A total of 849 social sector homes were completed between October and December 2016, 2% fewer than the 868 homes completed in the same period in 2015. This brings the total for the 12 months to end December 2016 to 3,674, which is 9% fewer than the 4,037 completed in the previous year. The decrease in the 12 months to end December 2016 is mostly due to a decrease in Housing Association led completions, which decreased by 17%, whereas local authority led completions increased by 12%.

Meanwhile, 1,162 social sector homes were started between October and December 2016. This is up by 4% compared to the same quarter in the previous year. This brings the total for the 12 months to end December 2016 to 5,101 which is a 17% increase (745 homes) on the 4,356 starts in the previous year. The increase in the 12 months to end December 2016 is a result of Local Authority starts increasing by 46 homes and Housing Association approvals increasing by 699 homes (see Charts 8 and 9).

Map C: New build housing - housing association sector completions: rates per 10,000 population, year to end September 2016

Map D: New build housing - local authority sector completions: rates per 10,000 population, year to end September 2016