The Scottish Government’s latest Programme for Government has drawn criticism from Propertymark for insufficient attention to the country’s housing emergency, with the trade body highlighting gaps in measures to address rising rents and housing affordability.
First Minister John Swinney’s programme, announced this week, maintains commitment to the First Homes Fund and affordable housing initiatives but falls short on broader housing market interventions, according to the professional body representing property agents.
Limited housing focus
Timothy Douglas, Head of Policy and Campaigns at Propertymark, noted that housing received minimal attention in the First Minister’s speech despite Scotland’s ongoing housing emergency. He pointed to the absence of measures to reduce costs and taxation for renters, home buyers and sellers.
“For all the words about strengthening the economy, there was no mention of reducing costs and taxes for renters and home buyers and sellers,” Douglas said.
The trade body highlighted the omission of measures addressing property taxation and landlord costs, arguing that historical evidence shows transaction volumes increase when property taxes are reduced. Douglas suggested that lower tax burdens for landlords result in reduced costs being passed to tenants through rent increases.
Tribunal and tenant purchase concerns
Douglas called for improved resourcing of the First Tier Tribunal as part of the Scottish Government’s reorganisation plans. He also raised concerns about proposed tenant right of first refusal legislation, stating such plans “must be workable and evidence based.”
Similar concerns about regulatory changes affecting property professionals have emerged across the UK, with new harassment liability rules for property agents coming into force in October.
Council tax changes
The Council Tax (Scotland) Bill will introduce two additional bands for higher-value properties, a measure Douglas described as targeting a small minority of properties. He warned the changes risk delays in the upper end of the market due to valuation disputes and administrative complications.
The criticism comes as Scotland’s housing sector faces ongoing challenges with supply constraints and affordability issues. The Scottish Government’s programme maintains existing housing commitments but stops short of introducing tax relief measures or broader market interventions advocated by industry representatives.