Reeves should use Budget to reinvigorate housebuilding, says Housing Secretary

Scotland’s Housing Secretary is urging Rachel Reeves to help “reinvigorate housebuilding” in this week’s Budget.

Mairi McAllan insisted the Scottish Government had already put “strong foundations” in place to “ramp up” the sector – with Holyrood ministers having pledged almost £5 billion for a programme which could deliver up to 36,000 new homes across the country.

But arguing that these plans could be “hampered” by a reduction in Scotland’s capital funding amid other factors, she called for action from the UK Chancellor.

Ms McAllan made the plea as she travelled to London to meet with key investors and stakeholders to showcase Scotland’s housing sector and encourage more investment.

That comes after she announced a Government action plan in September, with the Housing Secretary promising £4.9 billion over the next four years

In the wake of that, Ms McAllan said the Scottish Government has “created strong foundations in Scotland to ramp up housebuilding through our housing emergency action plan”.

However, she added: “These plans could be hampered by the UK Government’s planned cuts to our capital funding and in a shortfall in financial transactions, which are a vital tool in delivering homes across Scotland.”

In addition to these measures, she urged the UK Chancellor to consider writing off local authority housing revenue account debt, saying this would “encourage more investment in housing”.

Ms McAllan continued: “Whilst in London I will be demonstrating my ambition to bring more investment to Scotland and increase housing supply.

“I urge the Chancellor to show the same ambition and reinvigorate housebuilding across the UK, with significant benefits to the sector in Scotland.”

The UK Government has been contacted for comment.