Just 17 key worker homes approved through £25m fund

The Scottish Government has been accused of neglecting rural communities after just 17 homes for key workers were approved.

The rural affordable homes for key workers fund was supported by £25 million from the affordable housing budget and announced in 2023.

But a response to a parliamentary question from the Scottish Tories found less than 20 homes had been approved in the five-year project.

According to housing minister Paul McLennan, seven of the homes are in the Highland Council area, seven are in Orkney, two are in Moray and one is in North Ayrshire.

The fund is designed to allow councils and social landlords to acquire existing homes which can be used for workers in key areas such as the emergency services.

The initiative, however, is “demand-led”, according to the minister, with officials in discussion over more homes.

Scottish Tory rural affairs spokesman Tim Eagle said: “The SNP are continuing to scandalously neglect the housing needs of rural Scotland.

“They announced this scheme to much fanfare but progress on delivering homes has been painfully slow. For only 17 homes to be identified through a scheme worth £25 million beggars belief.

“It is yet another example of the SNP’s failure to focus on rural Scotland. Even when they try to, they overpromise and spectacularly underdeliver.

“Failing to deliver the homes rural Scotland needs is also deeply damaging for the local economy. It puts people off coming to live and work here.

“SNP ministers need to urgently explain why so few homes have been delivered through this fund that was launched over 18 months ago.”

Mr McLennan said: “We recognise that good quality, affordable housing is essential to help attract and retain people in rural and island communities and the 2025-26 draft budget allocation of £768 million for affordable housing will help support the delivery of 110,000 affordable homes by 2032.

“At least 10% of these will be in rural and island areas backed by our Rural and Islands Housing Action Plan.

“Through the Affordable Housing Supply Programme, the Scottish Government has delivered over 10,000 affordable homes in rural areas including over 1,100 in island communities between April 2016 and March 2023.

“Demand-led funds such as the rural and islands housing fund and rural affordable homes for key workers fund are also a key part of our approach to addressing specific rural and island housing issues with up to £25 million available to local authorities and registered social landlords over a five-year period to purchase housing for key workers where required.”