New Build Housing – Private-led – up to end March 2019
The private sector is the biggest contributor to overall house building, accounting for three quarters (75%) of all homes completed in the 12 months to end June 2019.
Chart 5: Annual private sector led new build starts and completions have both increased in the latest year, but are still below levels seen in 2007 and 2008 (years to end June)
Chart 6: Quarterly new build starts and completions (private-led), show a generally upward trend since 2013, but with some quarterly volatility in the figures
Trends since 2007 – private sector
In 2007 (year to end June) the number of private sector homes started was around 20,000, while completions were just over 22,000. Private sector led new build housing was hit particularly hard by the recession. The number of homes completed dropped steeply between 2008 and 2010 then continued to decrease more gradually to just over 9,900 in 2013. Since then, the number of homes completed has increased each year, until 2017, before decreasing slightly in 2018, and then increasing in the latest year ending June 2019 to 16,025.
It should be noted that levels of private-led new build activity in the January to March 2018 period may have been affected by the adverse cold weather during this period.
In September 2013 the Scottish Government introduced the Help to Buy (Scotland) scheme which has aimed to support buyers purchasing a new build home and to stimulate the house building industry. Following this, the Help to Buy (Scotland) Affordable New Build and Help to Buy (Scotland) Smaller Developers schemes were launched on 21 January 2016. Further information on the schemes, along with monitoring information setting out numbers of sales and the characteristics of buyers, is available at http://www.gov.scot/Topics/Built-Environment/Housing/BuyingSelling/help-to-buy.
Trends to end June 2019 – private sector
Between April and June 2019, 4,486 private sector led homes were completed; 8% more (315 homes) than the same quarter in 2018. This brings the total for the year to end March 2019 to 16,025 which is 19% more (2,610 homes) than the 13,415 completions in the previous year.
There were 4,427 private sector led starts between April and June 2019, 22% more (800 homes) than the same quarter in 2018. This brings the total for the year ending June 2019 to 16,924 which is 33% more (4,175 homes) than the 12,749 starts in the previous year.
Sub-national figures for the year to end June 2019 – private sector
Map B shows the rates per 10,000 head of population (based on the latest mid-2018 population estimates) of private sector led new build completions in each local authority for the year to end June 2019.
The highest completion rates have been in East Lothian, Midlothian, Perth & Kinross, Edinburgh and South Lanarkshire. The lowest rates meanwhile, have been in Inverclyde, Dumfries & Galloway, Stirling and South Ayrshire.
Map B: New build housing - Private Sector completions: rates per 10,000 population, year to end June 2019