Trade body calls for housebuilding programme to stimulate ‘stagnating Scottish economy’
Responding to the EY Scottish ITEM Club Summer Update, which predicts growth in the Scottish economy for 2017 to be half that of the UK, the trade body said the country needs a new housebuilding programme to prevent its economy from stagnating.
Chief executive Nicola Barclay said: “This report emphasises the importance of business and government working together to de-risk investment, build confidence and drive economic growth.
“As well as helping to deliver the biggest return in terms of skills, jobs, productivity and the other measures highlighted by the ITEM Club, building the homes of all types that are needed to meet the requirements of our growing population also offers vital social benefits such as improved health and education outcomes.
“Whilst we need tens of thousands of new homes, latest figures show that Scotland remains in housing decline with our members telling me that it has never been harder to open new sites and get homes out of the ground.
“Research shows that returning to pre-recession levels of building by the end of this Scottish Parliament would alone generate an additional £1.9 billion in economic output and 38,000 jobs on an annual basis.
“What we need is a supportive policy framework which encourages housing investment and development, and which enables Scotland to reap these economic and social rewards.”