Council is buying more properties to tackle ‘extreme’ housing shortages

MORE homes will be bought by Fife Council to address the “extreme” difficulties faced by those who are struggling to put a roof over their head.

The local authority had a limit of purchasing 50 properties a year but at last week’s cabinet committee they scrapped that agreement – after hearing the figure had been passed already.

Since the outbreak of the pandemic, demand for permanent accommodation in Fife has “increased dramatically” and the number of homeless households in temporary accommodation has “grown significantly”.

Head of housing John Mills said: “We’re seeking support to accelerate the acquisition of residential properties by the council to assist in the mitigation of extreme housing access pressures at the present time. The council’s acquisition policy has been in place since 2017 with an annual target of 50 properties.

“Two years ago, it was agreed to increase that to 100 for one year only during the pandemic to assist with recovery and provide more empty properties as housing opportunities for people in need.”

SNP councillors wanted the ceiling raised before the summer, and accused Labour of unnecessary delay in acquiring more council homes for rent, but it turns out officers were already going beyond the set target of 50.

Mr Mills said that, as of August 23, the council had bought, or agreed to buy, 57 properties.

He said that increasing the number of ‘buy backs’ – and options to do so – had been discussed over the past few months and added: “In the meantime, I authorised council officers to press ahead to meet the annual target within the first four months of the financial year and we’re now beyond that.”

Cllr Judy Hamilton, the housing spokesperson, said: “It’s important to note that the buy back programme hasn’t slowed down at all. We are only four months into the financial year and we’ve already exceeded the budget of 50.

“We’re removing the target in order to continue to buy back and supplement housing stock in these difficult times.”

Housing services aim to buy properties at £80,000 to £100,000 per unit – for each acquisition the council get £40,000 in subsidy from the Scottish Government.

The budget for buying back properties up to March 2025 is £13.5m.

Mr Mills said: “What we’re asking for is support to accelerate the acquisition by using the existing Housing Revenue Account capital budget over that three-year period. So the potential spend this year could be as much as £13.5m but it could run into the next financial year as well.”

He added that “due to increased need”, they’ll apply for more money if they need it.

Asked if there was a limit, he replied: “I’ve been very careful in the report to say we want to go beyond 50 and indeed have already done so. There’s no figure been put on the acquisitions. We will go out and acquire as much as we possibly require, within the budget, to mitigate housing access pressures.”

And Mr Mills concluded: “It’s essential to maximise housing opportunities for homeless households in temporary accommodation and indeed for people that are vulnerable and those in need on our Fife Housing Register. Increasing our acquisitions is one important element of that approach.”