Organisations that work with homeless people and give housing support to vulnerable are to benefit from £1.65 million of Scottish Government grant funding.

The Housing Sector Voluntary Grant Scheme helps third sector organisations to deliver housing-related projects and services.

The 2017/18 allocation will benefit 17 different organisations whose work includes helping older and disabled people to live independently, improving access to housing for homeless people and supporting refugee, asylum seekers and new migrant communities.

Among the successful applicants is Housing Options Scotland which has been given £248,000 to provide housing advice to disabled people, older people and veterans.

Move On, a charity that supports young people affected by homelessness, has been awarded £25,000 for a peer support and education project.

Kevin Stewart, minister for local government and housing, said: “It is a sad fact that many of Scotland’s most vulnerable people are faced with anxiety over their housing situation and the possible threat of homelessness.

“The Scottish Government recognises the role that third sector organisations play in helping people who find themselves in housing need. Some of these projects are small in scale, but the benefits they bring to the individuals concerned are tremendous.

“I’m delighted that, through the recent draft budget settlement, we have been able to invest in vital projects and organisations that can be a lifeline for so many across Scotland.”

Moira Bayne, chief executive of Housing Options Scotland, said: “Everyone at Housing Options Scotland is delighted by the vote of confidence shown in us by the Scottish Government. We helped nearly 700 disabled people, older people and disabled veterans in 2016 and thanks to the generous financial support of the Scottish Government we can do even more in 2017.”

John Hinton, executive director of Move On, added: “This is wonderful news. On-going support from the Scottish Government at a time when resources are scarce is particularly welcome. We are delighted that through this grant scheme, the Scottish Government has decided to invest in our preventative and peer-led approaches, emphasising the vital role which homeless people can play themselves in delivering solutions to address homelessness.”

Shelter Scotland, which received an award of £183,868 for its Scottish Housing Law Service, said the funding will enable the service to continue supporting people facing bad housing and homelessness who otherwise would have no legal representation.

Alison Watson, deputy director of Shelter Scotland, said: “From representing people facing eviction and ensuring local authorities deliver their statutory duties for homeless people to providing housing law advice and advocating for people in court, our law service fights on the side of hundreds of households a year – many with children – to help them assert their rights and in many cases keep their homes.

“Times are tough right now and every day we hear from people who are living on a knife edge, overwhelmed by the increasing pressure of sky-high housing costs. Every day there are more calls to our free national helpline, dozens of people using our digital chat service and thousands of visits to our online advice pages – and our housing law service plays a vital role in providing expert legal advice to help keep a roof over the heads of people facing the worst of times.”

The full list of successful applicants is as follows.