Social housing starts in Scotland hit record-low

New home starts led by the Scottish social housing sector have reached their lowest level since records began in 1997.

The Scottish government’s latest housing statistics revealed that the social sector, comprising local authorities and housing associations, started 3,070 new builds in 2025, down 15% from 2024.

It also completed 3,611 new homes, representing a 25% decrease from the previous year and the lowest figure since 2014.

Across both the private and social sectors, 17,336 new homes were built and 14,999 units were started in 2025, with completions and starts down 13% and 6% respectively from 2024.

The private sector delivered 79% of completions and outperformed the social sector, with completions down 9% and starts down 3% year‑on‑year.

However, private sector completions were the lowest since 2017 while starts hit their lowest figure since 2013.

Gillian McLees, national director of the Chartered Institute of Housing (CIH) Scotland, called the decline in housebuilding a “worrying trend.”

She added that the CIH’s latest affordable housing research, published last year in partnership with SFHA and Shelter Scotland, showed that Scotland needs to deliver 15,693 social and affordable homes every year over the next five years to meet current housing need.

Meanwhile, the Scottish government’s affordable housing supply programme (AHSP) delivered 5,833 approvals, 5,856 starts, and 6,289 completions in 2025, covering social rent, affordable rent, and shared ownership. These included new builds, redevelopments and purchases.

Approvals, starts and completions under the programme all decreased compared with 2024, with approvals in 2025 sitting 53% below the 2018 peak and starts and completions at their lowest since 2013 and 2014 respectively.

However, the last six months of 2025 saw increases in approvals (58%) and starts (21%) compared with the same period in 2024.

Scotland’s AHSP provides a range of funding to affordable housing providers. The government hopes to deliver 110,000 affordable homes through the programme by between 2014/15 and 2032, with at least 70% for social rent.