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£2bn worth of housing benefit paid to Scottish landlords in last 5 years
This article is an external press release originally published on the Landlord News website, which has now been migrated to the Just Landlords blog.
Private landlords in Scotland have received over £2bn in housing benefit during the last five years, according to new figures.
Data from Scottish Labour shows that on average, one quarter of all housing benefits since 2011/12 have gone to private landlords.
Failures
Labour feels that these figures show the SNP’s failure to tackle the housing crisis and as such has called for greater investment in Scotland’s private rental sector. What’s more, the data has lead Mid Scotland and Fife MSP Alex Rowley to call for immediate action from the Scottish Government.
Mr Rowley said: ‘’I have been calling on the Government for some time to address what is evidently a housing crisis spiralling out of control across Scotland.’[1]
The average private sector rent in Scotland has risen by 14% since 2010.
Rowley continued by saying: ‘Money that is spent on housing benefits should be used to support those that need it, whereas instead we are seeing that money end up in the pockets of private landlords. That is why I want to see a reform of the private rented sector to ban rip-off rent rises.’[1]
£2bn worth of housing benefit paid to Scottish landlords in last 5 years
More homes
Mr Rowley suggests that more homes need to be built in order to help solve the housing crisis. As such, he has called for a national house build plan.
Responding, the Scottish Government has moved to defend its track record on housing delivery.
A spokesperson for the Government said: ‘We have an excellent track record on housing and are committed to achieving sustainable, long-term solutions to address housing issues. In the previous session of Parliament, we exceeded our target of delivering 30,000 affordable homes by 10% and our bold and ambitious More Homes Scotland approach will build on that achievement.’[1]
‘We have committed to investing over £3bn to deliver at least 50,000 affordable homes over the next five years and by ending Right to Buy we are protecting up to 15,000 social homes for sale over the next 10 years and safeguarding this stock for future generations. This is accompanied by increased housing subsidy levels and a new rural and islands housing fund to increase the supply of affordable rural housing,’ he concluded.[1]
[1] https://www.landlordtoday.co.uk/breaking-news/2017/1/more-than-2bn-in-housing-benefits-paid-to-private-landlords-in-scotland
