Housing statistics: quarterly update, June 2016

New Build Housing - Social Sector

Social sector housing consists of local authority and housing association housing, and has accounted for a quarter (25%) of all new build homes completed over the 12 months to end December 2015. Social sector figures are collected a quarter ahead of those for the private sector meaning that figures are available up to the end of March 2016. However, to enable easier understanding of how each sector contributes to the all sector totals described previously above, figures are also presented for the same time period to end December (although quarterly charts include the latest quarter's data).

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

Chart 7a: Housing Association and Local Authority new build starts and completions, years to end December 2006-2015

Chart 7b: Housing Association and Local Authority new build starts and completions, years to end March 2007-2015

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

Chart 9: Quarterly new build starts and completions (Local Authority), since 2005

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 December) since 2005, whilst Chart 7b shows the same information but up to end March (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 December) the number of housing association completions were around 3,900 to 4,100 each year before increasing to over 5,800 in 2009. Completions have since fallen each year since 2011, dropping to around 3,000 in the year to end December 2015.

The number of housing association approvals meanwhile increased from around 5,000 to 6,500 from 2006 to 2009 (years to end December), before falling to around 2,200 in 2011. The figures then increased steadily each year to around 2,500 in 2014 and 2,900 in 2015.

Very few local authority homes were built from 2006 to 2007 (years to end December). The number gradually increased from around 200 in 2008 to over 1,100 in 2012 and remained fairly steady since then. 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 December 2015.

Trends to end December 2015:

868 social sector homes were completed between October and December 2015 (567 housing association and 301 local authority). This is 2% fewer than the 883 completed in the same period in 2014. This brings the total for the 12 months to end December 2015 to 4,037 which is 20% more than the 3,353 completed in the previous year.

Meanwhile 1,094 social sector homes were started between October and December 2015 (785 housing association and 309 local authority). This is up by 29% compared to the same quarter in 2014. This brings the total for the 12 months to end December 2015 to 4,335 which is 14% higher than the 3,800 started in the previous year.

Sub-national figures for the year to end December 2015:

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 December 2015. The housing stock of 6 local authorities (Argyll & Bute, Dumfries & Galloway, Eilean Siar, Glasgow City, Inverclyde 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 December 2015 rates of housing association new build completions were highest in Glasgow City, Na h-Eileanan Siar, Shetland Islands, and Scottish Borders, whilst no new housing association houses were built in East Ayrshire, Midlothian, Moray, South Ayrshire and West Lothian.

Meanwhile local authority new build rates were highest in East Ayrshire, the Orkney Islands, and Moray. Beside the 6 stock transfer authorities mentioned above Aberdeen City, Clackmannanshire, Dundee City, East Renfrewshire, Renfrewshire, the Shetland Islands and South Ayrshire built no new houses during the year.

Latest data to end March 2016:

A total of 1,098 social sector homes were completed between January and March 2016, 35% less than the 1,677 homes completed in the same period in 2015. This brings the total for the 12 months to end March 2016 to 3,458, which is 18% fewer than the 4,221 completed in the previous year. The decrease in the 12 months to end March 2016 is mostly due to a decrease in Housing Association led completions, which decreased by 24%, although the number of local authority led completions in the 12 months up to March 2016 also decreased slightly (by 2%).

Meanwhile 1,910 social sector homes were started between January and March 2016. This is up by 5% compared to the same quarter in the previous year. This brings the total for the 12 months to end March 2016 to 4,418 which is a 13% increase (516 homes) on the 3,902 starts in the previous year. The increase in the 12 months to end March 2016 is a result of Local Authority starts increasing (by 244 homes) and Housing Association approvals increasing (by 272 homes). See Charts 8 and 9.

Map C: New build housing - housing association sector completions: rates per 10,000 population, year to end December 2015

Map D: New build housing - local authority sector completions: rates per 10,000 population, year to end December 2015