Local Housing Strategy: guidance 2026

Eradicating Child Poverty

Eradicating child poverty is a national mission and the Scottish Government’s top priority. The Child Poverty (Scotland) Act 2017 sets in statute ambitious targets to reduce levels of child poverty by 2030, all of which take housing costs into account. The Act also places a requirement on Local Authorities and Health Boards to prepare joint annual Local Child Poverty Action Reports outlining the action they have taken to tackle child poverty, and that they intend to take in future.

The Scottish Government has identified six priority family types at greatest risk of poverty, with these family types accounting for around 90% of all children in poverty in Scotland. These are:

• households with a disabled adult or child
• lone parent families
• families from a black and minority ethnic background
• larger families
• families with a young mother (aged under 25)
• families with a child under the age of one.

Consideration must also be given to broader factors which will increase risk of poverty including, for example, experience of care or being a victim or survivor of domestic abuse.

Evidence shows that targeted action may be required to address the risks and challenges facing families that are most at risk of poverty. For example, minority ethnic households with children in Scotland are overrepresented in the private rented sector and spend a higher proportion of their income on housing costs than other families.

Larger families will also require access to larger properties to ensure there is adequate space, while families with a young child may require a change in their accommodation to align with their new circumstances. In June 2025, the Scottish Government published guidance on the priority families concept, containing practical advice for how this should be used in practice to deliver effective policy outcomes.

Keeping the Promise

In recognition of Scotland’s commitment to keep The Promise by 2030, it is also essential that the housing needs of children, young people, adults and families who are care experienced are fully considered to support improved outcomes. In particular, suitable housing provision to meet the needs of all children and young people who are in care; access and options for young people when leaving care. This includes:

• the supports available on entering own tenancy or private housing
• holistic support to families to ensure that access to suitable housing does not become a reason that prevents them to stay together
• the adequacy of provision for households undertaking foster and kinship care

Cost of Living

The cost of living is one of the three drivers of poverty, alongside income from employment and income from social security and benefits in kind, and housing is an important component of this.

The Cost of Living Crisis in Scotland: An Analytical Report provides an overview of emerging evidence. Housing has a vital role to play in eradicating child poverty, forming the foundation for family life, as a safe place for children to grow and learn and for families to come together. Housing is also one of the most significant costs which families must meet on an ongoing basis, and so the delivery of affordable housing is critical to eradicating child poverty.

Housing to 2040 notes that focus on the delivery of affordable homes with a strong emphasis on homes for social rent helps to tackle child poverty. After housing costs, child poverty rates in Scotland are lower than in the UK due to the increased availability of affordable housing and lower housing costs across all tenures including social rent.

Local authorities should be aware that refreshed HNDA guidance is being developed for publication later in 2026 that is expected to include a focus on evidencing the housing needs of children in poverty.

Summary of areas expected to be included in LHS

a. a summary setting out how LHS priorities and actions are aligned with action to tackle and reduce child poverty in the local area, as reflected within a local authority’s Local Child Poverty Action Report.

b. a short summary detailing how the priorities and actions within the local authority’s LHS is addressing inequalities faced by families at greatest risk of poverty.

c. a short summary, in line with Scotland’s commitment to keep The Promise by 2030, of how the housing needs of children, young people, adults and families who are care experienced, and those who undertake foster and kinship care, will be considered and met.