We use cookies to collect anonymous data to help us improve your site browsing experience.

Click 'Accept all cookies' to agree to all cookies that collect anonymous data. To only allow the cookies that make the site work, click 'Use essential cookies only.' Visit 'Set cookie preferences' to control specific cookies.

Set cookie preferences

Your cookie preferences have been saved. You can change your cookie settings at any time.

Publication - Research and analysis

Scottish Housing Market Review Q4 2025

Published
23 January 2026
From
Cabinet Secretary for Housing
Directorate
Tackling Child Poverty and Social Justice Directorate, +1 more … Local Government and Housing Directorate
Topic
Housing
ISBN
9781806436866

Quarterly bulletin collating a range of previously published statistics on the latest trends in the Scottish housing market.

Part of

View supporting documents Supporting documents

11. Lending to House Builders, Insolvencies and Construction Prices

11.1. Lending to House Builders

Between January and November 2025, the average monthly value of outstanding loans to UK housebuilders was £6.5 billion – almost unchanged from the same period in 2024 (down 0.3%), and 7.0% higher than in 2023.

Chart 11.1 Loans outstanding to firms involved in construction of domestic buildings: UK (£ Millions, Monthly data, to November 2025)
Chart 11.1 plots the value of loans outstanding to UK firms involved in the construction of domestic buildings on a monthly basis.

Source: Bank of England

11.2. Insolvencies

In the year to the end of Q3 2025, 193 construction companies registered in Scotland entered insolvency. This is slightly fewer (down 4%) than the 201 insolvencies recorded in the year to Q3 2024, and also represents a 13% decrease compared with the year ending Q3 2023. Meanwhile, the number of construction companies registered in England and Wales entering insolvency also fell, from 4,276 in the year ending Q3 2024 to 3,933 in the year ending Q3 2025 (‑8.0%)

Chart 11.2 Number of registered company insolvencies in the construction sector (4-quarter moving totals, to Q3 2025)
Chart 11.2 shows the number of registered company insolvencies in the construction sector as a 4-quarter moving total in England and Wales and in Scotland.

Source: The Insolvency Service

11.3. Input and Output Prices for New Housing

Note: In previous editions of the Scottish Housing Market Review, the construction materials price index for new housing was reported. However, the UK Government paused production of this index while the ONS undertook a review of producer price indices, due to an issue identified with the chain-linking methods used to calculate the indices. Now that the ONS review is complete, the UK Government intends to resume publication of its construction materials price indices soon.

Seasonally adjusted ONS average weekly earnings data show that annual growth in total pay in the construction sector in GB has slowed in recent months, from 7.8% in the three months to March 2025 to 3.2% in the three months to October 2025. Meanwhile, ONS data shows that the annual growth rate in the construction-output price index for GB, which had reached 12.3% in June 2022, before declining significantly from early 2023, has been relatively steady since the beginning of 2024, standing at 3.3% in September 2025.

Chart 11.3 Annual change in the output-price index for new housing and weekly earnings in the construction sector: GB (Monthly data, to September 2025 for output and October 2025 for earnings)
Chart 11.3 provides information on annual change in the output-price index for new housing and average weekly earnings in the construction sector on a monthly basis.

Source: ONS

Contact

Email: Jake.Forsyth@gov.scot

Back to top