Appendix 1 Strategic Housing Investment Plan (Ship) 2025-26 to 2029-30
Argyll and Bute Council · 21 November 2024
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Appendix 1 – SHIP document ARGYLL and BUTE STRATEGIC HOUSING INVESTMENT PLAN 2025/26 - 2029/30
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2 CONTENTS SECTION PAGE INTRODUCTION 4 1. The Strategic Framework 7 2. Stakeholder Consultation 10 3. Prioritising the Programme 16 4. Delivering the Programme: Mitigating Risks and Resolving Development Constraints 22 5. Resourcing the Programme and the Council’s Contribution 26 6. Empty Homes 30 7. Child Poverty and Fuel Poverty 32 8. Specialist Provision including Wheelchair Housing 35 9. Gypsy/Traveller Sites 38 10. Homelessness/ Rapid Rehousing Transition Plans 39 11. Buybacks, Second-Hand Acquisitions and Off-Shelf 41 12. Worker Accommodation 42 13. Update from the Previous Ship 42 14. The Revised Programme 43 15. Monitoring, Review and Impact Assessments 48 CONCLUSION 49 APPENDICES Appendix 1 - Individual Open Market Purchases January 2022 50 Appendix 2 - SHIP development across Argyll & Bute: Projects in core programme 2025-2030 51 Appendix 3 – SSEN Argyll Strategy substation and overhead line locations 52
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3 Argyll and Bute Council area Helensburgh & Lomond Bute & Cowal Mid-Argyll, Kintyre & Islay Oban, Lorn & the Isles MULL Tobermory Oban Campbeltown Bowmore Rothesay Helensburgh Lochgilphead COLL TIREE COLONSAY GIGHA IONA BUTE ISLAY JURA
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4 INTRODUCTION The Strategic Housing Investment Plan (SHIP) is a key operational document produced annually by the local authority which identifies priority housing projects to support the delivery of local and national strategic housing targets, to increase the supply of housing. The SHIP is directly informed by a number of strategic policy documents, primarily the Local Housing Strategy (LHS) and its associated policies, which details the strategic policy approach of the Council and its partners to deliver housing services across the area to meet identified needs. As per the Scottish Government guidance, the SHIP is the key document for specifically identifying: 1. Proposed strategic affordable housing projects which require Scottish Government Affordable Housing Supply Programme funding support.
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5 2. Proposed affordable housing projects which are to be provided without Scottish Government Affordable Housing Supply Programme funding support. 3. Proposed Gypsy/Traveller Accommodation projects. The focus of the SHIP is affordable housing provision via new build, replacement, rehabilitation, or re-modelling. “Affordable housing” in this context refers to accommodation made available at a cost below full market value to meet an identified need and includes: • Social rented housing. • Subsidised low-cost housing for sale (discounted, shared ownership or shared equity); • Low-cost housing without subsidy (entry level housing for sale); and • Mid-market rental housing provided by social landlords.” (Guidance on the Preparation of SHIP, Scottish Government, July 2016) This SHIP plan covers the five years from 2025/26 to 2029/30, and details how it will deliver the LHS priorities and outcomes through a five-year strategic investment programme. Argyll and Bute Council is committed to working closely with the Scottish Government, local housing associations, community groups, and other key partners to increase the effective supply of affordable homes across the area. The SHIP plan reinforces the Council’s role as the strategic housing authority; informs Scottish Government housing investment decisions; and the preparation of Strategic Local Programme Agreements (SLPAs). Developed in consultation with key stakeholders this SHIP builds on the previous plan published in 2023. The finalised SHIP was submitted to the Scottish Government in October 2024, and approved by full Council in November 2024.
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6 The SHIP narrative provides a context to the SHIP and includes the following: ➢ A statement outlining the role the SHIP investment priorities plays in delivering LHS outcomes. ➢ Details of stakeholder consultation undertaken in developing the SHIP; ➢ A summary of the project prioritisation framework; ➢ Prioritisation by house size; ➢ How the SHIP addresses duties placed on the Council by the Islands (Scotland) Act; ➢ The Council’s investment priorities for housing in town centres; ➢ A list of the risks and key issues constraining the delivery of the programme and identifying the actions that are required to mitigate against constraints; ➢ Using different construction methods to deliver SHIP projects; ➢ Resourcing the programme, including : ▪ Details of how the Council’s own resources, such as Council Tax on Second and Empty Homes, support affordable housing delivery; ▪ Details of other funds that are supporting the delivery of affordable housing; ▪ Details of Developer Contributions that have been used to assist affordable housing delivery; and ▪ The role of the Housing Infrastructure Fund in delivering new affordable housing; ▪ Details of any housing projects where funding has been or will be sought from the Vacant and Derelict Land Investment Programme; ➢ A summary of the empty homes services and actions being taken by the Council to bring homes back into use; ➢ Aligning the SHIP programme with the requirement specified in the Argyll and Bute’s Child Poverty Action Report; ➢ Details of specialist housing provision delivered over the SHIP period, including wheelchair-accessible housing; ➢ An outline of capital works undertaken on Gypsy/Traveller sites and whether funding has been sought through the Gypsy/Traveller Accommodation Fund; ➢ Outlining how the strategic housing priorities are aligned with Rapid Rehousing Transition Plan priorities; ➢ A statement on the Council’s approach to buybacks, second-hand acquisitions and off-the- shelf purchases; ➢ Details of progress towards delivery of the affordable housing supply programme across all tenures by completions; ➢ Detail requirements for key worker housing and the actions that the Council or Registered Social Landlord (RSL) partners will take forward; ➢ A summary of the projects in this SHIP. Full details of these projects can be seen in the Scottish Government’s electronic system HARP (Housing And Regeneration Programme); ➢ Details of how the SHIP will be monitored and reviewed including how the SHIP programme impacts upon: • Equalities and Socio-Economic Impact Assessment • Child Rights and Wellbeing Impact Assessment • Health Impact Assessment • Islands and Communities Impact Assessment • Strategic Environmental Assessment
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7 1. STRATEGIC FRAMEWORK Argyll & Bute Outcome Improvement Plan (ABOIP) As the overarching strategic document for local partners, including the Council, the recently reviewed Argyll and Bute Outcomes Improvement Plan 2024-2034 (ABOIP) provides the high- level context for a wide range of strategies, plans and policies, including both the Local Housing Strategy and the SHIP. The ABOIP sets out the Community Planning Partnership’s (CPP) approach for achieving long-term outcomes for communities in Argyll and Bute. The three long- term outcomes of new ABOIP are: 1. Transport Infrastructure 2. Housing 3. Community Wellbeing Argyll and Bute CPP is a group of organisations and community representatives who will work together to achieve improvements across these three outcomes in ways which promote prevention, reduce inequalities and build community capacity. While the housing sector has a role to play in achieving all of these outcomes, the provision of affordable new build housing and the delivery of the SHIP, primarily focuses on Outcome 2. The ABOIP seeks to improve housing by: • Working in effective partnerships to ensure that everyone living and working in Argyll and Bute has access to affordable, warm homes of the right size, in the right place with access to the services, amenities and economic opportunities that communities need to thrive • Ensuring that plans and policies are informed by communities’ needs and aspirations, especially those facing the greatest inequalities in housing related outcomes • Working with partners and communities to ensure that everyone has the ability to have a say in shaping what housing looks like for their place • Reviewing partners’ land and property assets to ensure resources are used effectively to support the provision of housing for key workers and others • Working together to identify opportunities for the prevention of homelessness through early intervention. Local Housing Strategy (LHS) 2022/23 - 2026/27 The investment programme and priorities set out in the SHIP are consistent with the vision, aims and objectives of the LHS; and that these build on the latest Housing Need and Demand Assessment (HNDA). Our strategic priorities and outcomes continue to be ratified and supported by partners and stakeholders via the Argyll and Bute Strategic Housing Forum. In 2022, the Council published its new LHS, which covers a five-year planning period from 2022/23 to 2026/27. The LHS sets out our core vision and underpinning this vision are four high-level outcomes:
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8 The SHIP plays a key role in promoting the overall LHS vision and delivering on LHS, particularly Outcome 1. The Council produced a new HNDA in 2021, which was approved by the Scottish Government. The Council’s LHS housing supply target of providing 1075 affordable homes from 2022/23 to 2026/27 (215 homes per year) is significantly higher than the baseline HNDA estimate to take account of local and national strategic aspirations for repopulation, economic recovery, and overall growth throughout the authority area. In summary, the SHIP aims to deliver sufficient suitable and affordable new homes to attract and retain young people and families, to support a sustainable and thriving business sector, and to meet the needs of the elderly/ageing population, and those with particular needs. • Potentially, up to 10% of the five-year provision could be for alternative tenures such as shared equity; and • 10% should comprise some form of “specialist provision” including 5% which should be fully wheelchair habitable. Scottish Government Priorities and Convention of the Highlands and Islands (COHI) One of the Scottish Government’s priorities is to ‘support a more balanced population across Scotland.’ To achieve this aim, the Scottish Government has developed a strategy called- ‘A Scotland for the future: Opportunities and Challenges of Scotland’s Changing population’ to ensure all areas have a more balanced population “so all our communities can flourish”. The Scottish Government’s National Islands Plan aims to address population decline and ensures a healthy, balanced population profile. In particular, the National Islands Plan commits to 1. HOUSING SUPPLY AND PLACE MAKING 2. HOUSE CONDITION, ENERGY EFFICENCY AND POVERTY 3. SPECIALIST PROVISION AND INDEPENDENT LIVING 4. HOUSING OPTIONS, INFORMATION AND SUPPORT “Everyone in Argyll & Bute has access to a suitable, high-quality home which is affordable and located within a vibrant, sustainable and connected community” • Housing supply target 2022/23 to 2026/2027 is 1,450 units across all tenures (290 per annum). • Affordable housing supply target 2022/23 to 2026/27 is 1,075 (215 per annum)
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9 supporting the repopulation of rural and island communities. Work has commenced on the development of second National Islands Plan due to be published in 2025, we have made our Community Partners aware of this and together with partners will actively participate with proposed engagement opportunities. The Ministerial Working Group established in June 2023 to oversee the development of a ‘Rural Delivery Plan’ within this parliamentary term continues to meet. The aim of the Plan is “showing how all parts of the Scottish Government are delivering for rural Scotland. As well as policies on agriculture, land reform, marine, and our Islands Plan, this will cover areas such as transport, housing, social justice, repopulation, digital connectivity and economic development.” Housing to 2040 aims to deliver the vision for everyone in Scotland, including island communities, by understanding and identifying what positive measures need to be taken forward to address, promote and ultimately reduce inequality in housing outcomes across all housing tenures by 2040 and build strong sustainable communities. The Convention of the Highlands and Islands (CoHI) group was established to strengthen alignment between the Scottish Government and member organisations in order to support sustainable economic growth and to enable the exchange of ideas on strategic issues affecting the people of the Highlands and Islands. Argyll and Bute Council is an active member of CoHI group and actively participated in the pilot projects. The Council identified the following areas as repopulation zones: • Rosneath Peninsula • Kintyre (Tarbert to Southend) • Coll and Tiree • Bute Three Settlement Officer Posts were established across Argyll and Bute, Highland, and Western Isles Council. The aims of the Argyll and Bute Settlement Support Officer include: • Providing guidance and support to people wanting to remain/ relocate; • Gathering information on the barriers to population retention and growth; • Support the development of projects and initiatives to help address population decline. Depopulation Fund In May 2024, Argyll and Bute Council received confirmation that we were successful in application to Scottish Government Depopulation Fund, which aims to develop, and trial new pathfinder interventions in rural and island areas, which are experiencing depopulation, that may help address population attraction or retention challenges. The funding is only for current financial year with possible extension for second year. To utilise the funding, we have advertised to recruit a temporary Private Sector Settlement Officer with a focus on supporting the Council to address the housing emergency and depopulation by engaging with the private sector to increase housing options to retain population, attract people to the area, and sustain private sector housing. The post will facilitate private sector engagement by
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10 offering a single point of contact to encourage, and support the sector, to increase supply and create new opportunities for households to secure and retain accommodation in the communities of their choice. Given the outcomes of Private Rented Sector research, reported in Section 2 this post will be invaluable to help facilitate pro-active engagement with private rented sector. 2. STAKEHOLDER CONSULTATION As outlined in previous SHIPs, the preparation of this plan, as well as the planning and delivery of individual projects, remains a continuous process. The SHIP reflects a strong collaborative approach with Registered Social Landlords (RSLs, or housing associations), the Scottish Government, communities, developers and other stakeholders. Key strategic partners include: • The Scottish Government: More Homes Scotland Division • Argyll & Bute Council • Argyll & Bute Health & Social Care Partnership • Community Planning Partnership • Argyll Community Housing Association • Fyne Homes Housing Association • Dunbritton Housing Association • West Highland Housing Association • Link Group Ltd • Bield Housing Association • Trust Housing Association • HMNB Clyde/ MOD • Loch Lomond & Trossachs National Park • Rural Housing Scotland • Communities Housing Scotland • Highlands & Islands Enterprise • Veterans Housing Scotland • Scottish Water • Scottish and Southern Energy Networks • Scottish Power Energy Networks • Home Energy Scotland • ALIenergy At local level, on a site-by-site basis, RSLs and Council officials continue to liaise closely with private developers, local landowners, local community groups and development trusts, and a range of other stakeholders to negotiate, facilitate, enable and deliver viable projects within the context of the LHS and the framework of the SHIP. Updates are also tabled at local Area Committee’s. Community representatives and residents are routinely consulted regarding specific projects, sites and settlements.
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11 The Argyll & Bute Strategic Housing Forum, comprising a wide range of key partners, the Strategic Housing Forum constitutes the overarching Housing Market Partnership with ultimate responsibility for overseeing the implementation and monitoring of the LHS and the SHIP; and is chaired by the Council Leader. The Strategic Housing Forum is also responsible for making appropriate recommendations to Council Members and lobbying the Scottish Government regarding housing issues in Argyll and Bute. The Terms of Reference (ToR) for the Forum, as the formally constituted local housing market partnership within Argyll and Bute, was approved in September 2020 and is currently being reviewed. The SHIP Officers Development Group - In addition to regular programming meetings between the Council, the Scottish Government and individual RSLs, a dedicated SHIP Officers Group continues to bring partners together on a quarterly basis to address and progress operational development matters which are then reported to the overarching Strategic Housing Forum. Community Housing Network Group- Argyll and Bute Council, as the strategic housing authority, recognises the importance of community groups and their role in delivering affordable housing. The Community Housing Network Group was established to improve communication and partnership working. The group exists to fulfil the following aims: • Provide a forum for community groups interested in developing affordable housing to come together and discuss important aspects of their work to deliver housing solutions in their communities; • Provide guidance to the community groups on relevant areas of policy and practice; • Facilitate external speakers on areas of subject expertise relevant to the group members; and • Encourage sharing complex issues between members, understanding that no one organisation has all answers. Many of the community groups within the network have successfully attracted funding from the Rural and Islands Housing Fund or the Scottish Land Fund to provide affordable housing. More details are outlined in Section 5 and 14. Housing Delivery Group – As well as our effective strategic partnerships, to help address the acute shortage of housing across all tenures, the Council have established an internal working group which is focusing on: • Identifying existing, and new housing sites that can make potential strategic contributions to all tenure housing supply; • Identify key barriers/constraints to development and possible solutions to help deliver these sites; • Engage with key housing stakeholders to identify solutions and improve collaboration; • Identifying solutions to effectively tackle market failure in the supply of private new build; • Consider innovative approaches and direct intervention including radical delivery models such as Council funded development and property purchase;
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12 • Consider any policy measures that could be employed by the Council or government to address housing market failure. Rural Growth Deal (RGD) Housing Sub-group - The Rural Growth Deal housing sub-group allows partners to contribute to the housing elements within the RGD. The RGD housing proposals are to: • Construct housing for sale; • Place rural burdens and planning conditions on homes financed by the RGD to ensure they are used as principal homes for occupants; and • Develop proposals relating to the delivery of worker accommodation. Argyll and Bute Child Poverty Action Group - The Argyll and Bute Child Poverty Action Group recognises that it is vital that the Council, Health Board, the third sector and communities work together to tackle child poverty. Housing is an essential component in tackling child poverty; and the service has been represented in the group since its inception. The SHIP programme will deliver housing investment, enabling some families to be allocated affordable, energy-efficient homes. Health and Social Care Partners The Council continues to work closely with the Health & Social Care Partnership (HSCP) at all levels. The HSCP’s current three-year Joint Strategic Plan was launched in 2022, incorporating a revised and updated Housing Contribution Statement (HCS) which outlines the essential role that housing plays in supporting and maintaining independent living and the health and wellbeing of residents. Work has commenced on the next Joint Strategic Plan, and the Housing Service team have been working with partners in relation to the Joint Strategic Needs Assessment to inform this. The SHIP has a direct and significant contribution to make to the overall outcome. “People in Argyll and Bute will live longer healthier independent lives” To realise the vision, people need access to appropriate housing models, and support from care staff to enable them to live at home or in a homely setting. The balance between care in residential and community settings has shifted considerably over recent years towards looking after people at home. Staff numbers can restrict the provision of care at home, and it has been identified that a lack of affordable housing can be a barrier to attract and retain health and social care staff. The SHIP and Rural Growth Deal will provide homes that could help attract health and social care staff to the area. In addition, the delivery of suitable specialist provision via the SHIP programme will be critical to enabling people with needs to live independently in their own home. A dedicated Housing Occupational Therapist (OT) facilitates the close partnership between the Council, RSLs and the HSCP. This includes reviewing the circumstances and requirements of households with particular needs, developing a better understanding of the accommodation and
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13 support needs of wheelchair users, and facilitating early interventions, particularly concerning adaptations and property layouts and design. The Housing OT and relevant HSCP Officers participate in the SHIP Operational Group and the Strategic Housing Forum to identify specific new build requirements and inform targets for wheelchair accommodation. The Council Housing Services also fund a dedicated Mental Health/Addictions Housing Practitioner. This post is focused on supporting the delivery of the Rapid Re-housing Transition Plan and supporting households; further enhancing the strategic and operational links between housing, health and social care. Community Engagement - The Council has enhanced its approach to localised housing need and demand assessment, building on a number of years’ experience with community councils, development trusts, local study groups, green belt groups, tenants and residents’ associations, and various other local bodies across mainland Argyll and throughout the Islands. The Community Housing Assessment Tool (CHAT) is a detailed resource for local communities and third-party support agencies to carry out surveys, stakeholder engagement, and data analysis, with the support of Council staff, in order to assemble “high quality, fit for purpose” evidence base required to secure public funding and help to deliver practical housing solutions. HMNB Clyde / MOD engagement- As reported in previous SHIPs, the Strategic Delivery and Development Framework (SDDF) is established between the Council and HMNB Clyde to achieve maximum benefit for the base the wider community as a consequence of the proposals for increasing the naval presence at Faslane. A key issue in relation to housing and potential requirements for the SHIP was the implementation of the Future Accommodation Model (FAM), which the MOD piloted from September 2019 to March 2023. The FAM pilot has now ended and a review of the evidence was undertaken, taking into account accommodation measurements cut across a wide section of issues from accommodation type, standard, location and preference, that was measured against the existing MOD housing stock nationwide. Whilst personal were not required to disclose the location of accommodation during the FAM pilot, the anecdotal evidence received was that service personnel were not necessarily looking or secured accommodation in the Argyll and Bute area. We will continue to monitor the outcomes of the FAM pilot review and incorporate any proposed changes or alternative models into futures SHIP’s to ensure that there is sufficient and suitable capacity within the local housing system to address any increased demand. The council carried out a dedicated in-house study of the particular needs of veterans and serving military personnel to inform the HNDA in 2021 and LHS in 2022. This involved engagement with local and national organisations such as Veterans Housing Scotland and Poppy Scotland, among others. Veterans Housing Scotland are key partners of Strategic Housing Forum. hnda_technical_paper_09_-_veterans_and_armed_services.pdf (argyll-bute.gov.uk) Wider Stakeholders, Local Business, and Economic Development - Increasingly, given the overarching strategic aims, economic development and regeneration partners are key associates in the SHIP and LHS process. Other stakeholders and strategic partners are engaged on an ad hoc basis as appropriate.
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14 Housing Emergency - Wider Engagement - The Council declared a housing emergency in June 2023 due to the shortage of housing to meet demand in the area. This was driven by a complex range of issues including: increasing house prices and rents, reducing household incomes, rising construction costs, a decrease in new homes being built, a shrinking private rented sector, increase in demand for worker accommodation, and an ageing population. In October 2023, the Council launched two surveys asking for views on housing from our communities and businesses. In total, the Council received 688 responses to the community and 72 responses to the workforce survey. Most of the respondents (92%) felt their communities were negatively impacted by the housing shortage. A Housing Emergency Summit was held in November 2023, bringing together 90 partners from public, private, third and community sectors who pledged their support to take decisive and bold action to address the housing emergency. Summit activity included hosting pre-engagement workshops with stakeholders, the results from the community and business surveys, and extensive analysis to evidence the extent and nature of the housing emergency in Argyll & Bute. Our priorities to address the housing emergency have been grouped into four key themes: 1. Enabling the delivery of more market homes in Argyll and Bute 2. Enabling the delivery of more affordable homes in Argyll and Bute 3. Enable the delivery of more homes for Argyll and Bute’s workforce 4. Make the best use of existing homes in Argyll and Bute The Housing Emergency Summit report outlines the outcomes achieved by the summit including the shortlisting and appraisal of housing emergency responses and the collective partnership pledge to act on each response. The full outcome report can be accessed here: Argyll and Bute Housing Emergency Summit Outcomes Report 2024 Council officers, working with the consultants engaged to facilitate the Housing Summit, have developed a final list of action points under each housing emergency priority, which reflects the options appraisal and prioritisation carried out by the delegates attending the Housing Summit. The result is a Housing Emergency Action Plan covering each housing priority. The collectively identified actions to tackle housing shortages will be programmed initially over a 5-year delivery period and subject to regular review. The Action Plan was approved by the Council’s Environment, Development and Infrastructure Committee in June 2024, and will be incorporated into the next LHS. Moving forward, Council Officers are working on several new work streams to address the housing emergency and liaising closely with partners on the Housing Emergency Action Programme to take forward the delivery of the identified priorities. An overview of action and regular updates on various work streams are published on ‘Housing Emergency Webpage’ which can be accessed here - Housing emergency | Argyll and Bute Council (argyll-bute.gov.uk) The challenges faced by rural landlords: The case of Argyll and Bute Argyll and Bute Council and Citizens Advice Scotland funded this research published in August 2024 by UK Collaborative Centre for Housing Evidence (CaCHE). The aim of the research was to
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15 better understand the composition of rural landlords in Argyll and Bute; to identify the extent to which they differ in key measures from non-rural landlords; to explore the specific investment challenges they face; and to quantify their future investment intentions. Unsurprisingly, the findings of the research have highlighted a number of concerns within the private rented sector. In particular, the potential of further shrinkage of properties available with one third (33%) of respondents intending to sell some of all their rented properties, with only 5% intending to buy more. The top three biggest challenges identified by landlord’s are 1. Maintainability of dwellings; 2. The availability of tradespeople, and 3. The burden of legislation. The Council will work with partners to take forward recommendations of the research and identify opportunities to sustain and increase the private rented sector and promote alternative tenures where possible to address the housing emergency. The report builds upon previous Research into the Private Rented Sector by Argyll and Bute Citizens Advice Bureau in 2022, which focused upon tenants. The summary and full report is available here: https://housingevidence.ac.uk/publications/the-challenges-faced-by-rural-landlords-the-case-of- argyll-and-bute/ Significant Capital Infrastructure Works There are a number of significant capital infrastructure projects programmed in Argyll and Bute area over the forthcoming years, such as SSEN Transmission. Owing to the housing emergency, the Planning Authority and Scottish Ministers are placing a requirement for a workers housing strategy to be produced for these large scale renewable and grid upgrade projects. Whilst Scottish Ministers are responsible for Section 36/37 planning consents relating to these projects, as the Strategic Housing Authority we are actively engaged with partners in relation to housing requirements. SSEN Transmission Argyll – Housing Strategy SSEN Transmission have announced their ‘Pathway to 2030’, which sets the blueprint for the electricity transmission network infrastructure required to enable the forecast growth in renewable electricity across Great Britain, including a number of projects in Argyll and Bute. The map at Appendix 3 shows the proposed SSEN infrastructure projects planned for Argyll and Bute area, which are within Kintyre and Mid-Argyll Housing Market Areas. The investment programme is set out within two timeframes, projects to 2023, and projects beyond 2030. Within the Argyll and Bute programme, there could be a need for accommodation for up to 1,300 workers over the period, with associated companies and sub- contractors increasing this number. As well as temporary workers, there will be a number of permanent employment opportunities arising, that could require permanent housing solutions. The need for a robust housing solution is therefore a priority and a Strategic Group of lead partners has been established, to engage with SSEN around their housing requirements, and
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16 identify opportunities for collaboration on the housing legacy and community benefits that SSEN are striving to achieve. 3. PRIORITISING THE PROGRAMME The SHIP has a clear and transparent framework for prioritising projects to be delivered. Investment is targeted at Housing Market Area’s (HMA), communities and settlements where the HNDA has identified the most acute housing pressures. These priorities recognise the importance of investing in smaller, fragile rural communities as well as larger urban areas. The areas have been identified through consideration of: ➢ the relative and absolute pressure on the existing affordable housing; ➢ the ability to meet the need in the wider housing market area; ➢ deliverability (site ownership, infrastructure or planning constraints, etc.); ➢ the Council’s strategic priorities e.g potential contribution to population growth and economic growth. Given that localised “hotspots” or pressured areas may still be masked within the wider geographic HMAs, a further refinement of the evaluation process is also required at the localised settlement (or letting area) level to reflect the complex rural and island geography of Argyll and Bute. Therefore, the Council continues to employ the following key indicators: - TABLE 1: Key Indicators/Evidence Base Criteria Indicator/Evidence Identified need HNDA & local updates – total shortfall in affordable housing. Pressure ratios CHR - waiting list applicants per available let on annual basis. Homeless Pressure HL1 statistics - applicants & time to close cases; temporary accommodation; % of RSL lets to homeless cases. Social stock levels Proportion of existing RSL stock to total number of dwellings on Council Tax Register. Wider Strategic Fit Synergies with LDPs; economic development plans or regeneration initiatives; the local improvement plan; and the primary objective of reversing population decline. Specialist Provision HNDA/CHR/Health & Social Work caseload – total shortfall for special needs accommodation & evidence from waiting lists or bespoke research. Risk/ Deliverability Satisfies key development criteria (site ownership; planning consent; resourced; infrastructure constraints; contractor capacity). Early liaison with planning remains critical. Affordability (of proposed rent) Compared to Scottish Government benchmarks and other RSL rents; as % of LHA; and as % of local household incomes.
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17 Prioritisation by Housing Need – Dunbeg remains a key development priority for the Council, although the SHIP has several other projects in the Oban and Lorn HMA. Strategically, Helensburgh & Lomond is also a high priority in terms of need and potential growth opportunities. The LHS concluded that there is high levels of housing need and demand across the local authority area particularly on the Islands. Small-scale developments could significantly and positively impact the Atlantic Islands. Analysis suggests that all housing market areas in Argyll and Bute are experiencing significant increases in housing need and demand. Prioritisation by Tenure – The majority of the SHIP programme will deliver houses for social rent; however, alternative affordable tenures such as shared equity, other low-cost home ownership options or below-market rent will be considered on a site-by-site basis, in line with local market conditions and needs, and actively encouraged where appropriate, subject to a robust business case being made. Housing Associations in Argyll and Bute have recently made significant progress in delivering alternative tenures such as mid-market rent and shared equity units. The future provision for tenures other than social rent will require detailed business plans and must reflect a robust and credible assessment of local needs before approval. The Council intends to evaluate the impact of these projects to inform the future programme. The Council is keen to encourage and support alternative, intermediate tenures when appropriate, to enhance the housing mix and to increase the range of potential housing options. Prioritisation by Size – The HNDA and the HOMEArgyll common housing register identify that the most significant demand continues to be for one and two-bedroom properties; hence, the SHIP will continue to promote the delivery of smaller properties. As of September 2024, 52% of the active waiting list applicant’s required one bedroom accommodation, 31% require two bedrooms, while 12% required three beds and 5% required four or more bedded properties. Although waiting list demand for larger properties is lower, the HNDA process identified demand for larger, family-sized accommodation. “Bright Start, Bright Future” by the Scottish Government identified larger families as one of the vulnerable family types which are more likely to experience child poverty. The Council is committed to addressing child poverty, and hence the SHIP partners will consider economically viable options, to deliver larger homes where there is a specific need, including private acquisitions and off-the-shelf properties. Prioritisation by Particular Needs – Specialist housing provision is often required for those who have impairments such as cognitive, physical, sensory developmental or a combination of impairments; older people with mobility or other health care needs; and those with mental health conditions. To provide suitable accommodation for those with disabilities/ impairment and the ageing population, the LHS specifies a target of 10% of new build should be purpose designed as specialist provision to suit households with medium to high-level particular needs. As far as
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18 possible, all general needs new builds are designed to the minimum lifetime, Housing for Varying Needs Standards, to maximise the accessibility for residents whose circumstances and needs will change over time. In addition, the extent and nature of the ageing population, will necessitate strategic investment in developing and delivering housing-based care, support and aids, and adaptations. The 2022 Census results report that Argyll and Bute have the highest older population rate across all 32 Local Authorities, with 27% adults aged 65 or over. The Council has developed a cohesive partnership with the Integrated Health & Social Care body to ensure that the SHIP process is fully aligned with the health and social care integration agenda and other relevant plans. Including the “Keys to Life” strategy for persons with learning disabilities, the Children and Young Person’s Services Plan, the refreshed national housing strategy for Older Persons published in August 2018, “Age, Home and Community: the next phase”; and the Fairer Scotland for Disabled People strategy published by the Scottish Government in 2016; among others. Further refinement of the wheelchair housing targets in line with the Scottish Minister’s directive is set out in Section 8 of this plan. The finer detail of the programme will be established through specification of suitable type and size of accommodation for individual developments, taking into account the needs of actual households on the waiting list, information gathered through local housing need and demand assessments, and in consultation with HSCP co-ordinated through the Housing OT. Prioritising projects, which align with the Council’s overarching vision to grow the population - The 2022 Census, estimated the population of Argyll and Bute at 86,000. Whilst the National Records of Scotland (NRS) more recent mid-year estimates calculated Argyll and Bute’s population to be 87,920 which is a 2% increase from the 2021 estimate of 86,220 (NRS Mid-Year Estimates). This exceeds the ambitious LHS growth target of 0.5%. The Council continually monitors pressures in each of HMAs and will modify investment priorities accordingly. The Argyll and Bute Rural Growth deal aims to facilitate the delivery of a range of housing tenures to provide market level housing for sale and deliver accommodation for workers to help sustain the population. The intension is to support business growth in the initial pilot areas of Tobermory and Bowmore. The planned Islay and Mull SHIP projects will complement the RGD housing proposals. Prioritising projects which improve town centres - In addition, to supporting remote rural and island communities, the SHIP programme supports projects that improve town centres. Over the previous 12 months, two town centre projects were completed – Jeanie Deans, Helensburgh and Eton Avenue, Dunoon. With, the following projects on site or committed: • Ballochgoy, Rothesay • Lochgilphead • Dalintober, Campbeltown
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19 SHIP projects should provide Rural and Island Proofing1 – the Council’s Housing Service will continue to apply a policy of rural-proofing housing plans and strategies to ensure the more remote and isolated areas, or those designated as “fragile”, are not disadvantaged or adversely affected by investment and development decisions. Critical to this aim is joint working with local planners to support the development and sustainability of designated key rural settlements across Argyll and Bute, as well as supporting the aims of the Loch Lomond & Trossachs National Park. Key factors influencing the prioritisation of rural developments include: • the ratio of waiting list applicants to lets; • the ratio of social housing to second homes; • proportionate historic losses through Right to Buy; • the percentage of social housing to total dwelling stock; • the ratio of earnings to average house prices and private rents; • resilience of communities; and • population demographics. While existing, evidenced need remains the primary concern, consideration will also be given to rural areas of potential economic development and/or population growth in liaison with Economic Development colleagues and the local business sector. The rural/urban housing differential is acknowledged nationally in the structure of the Scottish Government’s benchmark framework for grant funding, whereby Argyll and Bute receives a rural uplift to address the additional costs involved in remote rural and island development. The Council previously commissioned dedicated studies of island housing markets, specifically for Mull and Islay2, which provided evidence of the disproportionate uplift development costs for these areas and highlighted specific issues and barriers to development in these contexts. The Council continues to work with local communities to gather further evidence and identify solutions. A high-level ‘Island Housing Market Study’ exploring issue related to housing demand and delivery across the three main island Housing Market Areas of Coll & Tiree; Mull & Iona; and Islay, Jura & Colonsay was undertaken in autumn 2023 to help inform the Rural Growth Deal projects. This study built on existing knowledge, wider work, and research, to examine the housing markets in more detail with a range of stakeholders, including in-depth one-to-one interviews. Unsurprisingly, the study evidenced that current housing market on our Islands is unable to satisfy the local need and demand for affordable housing. Key issues reported: 1 Rurality is defined in the Scottish Government Urban Rural Classification, see: http://www.gov.scot/Topics/Statistics/About/Methodology/UrbanRuralClassification. In addition, one definition of fragility is outlined in the report: Review of Fragile Areas and Employment Action Areas in the Highlands and Islands, HIE, November 2014. 2 “Islay Strategic Housing Overview”, Community Housing Scotland (2019); “Isle of Mull Strategic Housing Review”, Rural Housing Scotland (2019).
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20 • Median house prices across each island HMA increased significantly over the 10-year period between 2012 and 2022; • High proportion of housing stock on the islands is classified as ‘ineffective’; • High demand for affordable housing of varying types and tenures; • Long waiting lists and high demand for social/community/worker housing; • Lack of available shared equity, mid-market rent or specialist housing stock to support different household choices and attract / retain economically active people to live and work on the islands; • No ‘private sector’ residential development sites across the island HMAs; • Traditional private sector led model of housebuilding does not occur and no speculative housing development takes place on the islands; • Inability for people to access housing is limiting local economic development, business success, and the delivery of public services – a significant constraint on island economic growth. The supply of housing on our Islands is constrained by several factors including the availability of land, contractor capacity and a lack of competition among developers, but primarily high construction costs. The shortfall of housing has over a prolonged period, resulted in higher house prices and rental values, reducing overall affordability. The study confirms evident traces of market failure, and there is a clear rationale for public sector intervention. Public sector support, in the form of funding and other initiatives to deliver a range of housing, would go some way towards addressing the housing market failure. To enable the delivery of affordable housing solutions in response to high local demand, can achieve many positive outcomes for island communities. Research by the Scottish Land Commission found that to deliver more homes and address areas of market failure, it is necessary for the public sector to play a full role in shaping local housing markets and enabling new development. The provision of affordable housing requires a mix of types of properties and tenures to support different household groups including young people / first time buyers, those seeking family homes, and older people. By supporting the delivery of affordable housing in remote and rural island communities, where there is more market failure than on the mainland, will improve access to housing, help stem rural depopulation, and sustain island communities. The result of the study provides an overview of the evidence of housing market failure across the Islands and there are several recommendations for the Council to consider, many of which have already been included in the Housing Emergency Action Plan. More crucially, the study reiterates the need for public sector support to address market failure in Argyll and Bute. Direct public sector intervention in the island housing market is key to local economic development and is required to address a range of economic, social, and environmental challenges facing our island communities. Intervening in the market will help address housing affordability, equal access to housing, tackling fuel poverty, and supporting economic activity and public services. This SHIP has been developed within the context of the Islands (Scotland) Act 2018 and National Islands Plan 2019, which introduced measures to support and help the unique needs of Scotland’s islands now and in the future. The Act seeks to help create the right environment for sustainable growth and empowering communities. With around 23 inhabited islands in our local
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21 authority area, Argyll and Bute is committed to supporting and sustaining population and economic growth in these communities and will always ensure to engage directly with the islands when new policies and strategies are being developed that may affect them. As required by Islands (Scotland) Act 2018, the Scottish Government are currently reviewing the National Islands Plan with a view to publishing an update in 2025. The publication of the Scottish Government’s ‘Rural & Islands Action Plan (R&IAP)’ in October 2023 acknowledges that in remote, rural and island areas, small-scale actions can bring about significant impacts and a small number of additional homes can make a generational difference, supporting the long-term resilience of communities. The R&IAP sets out a range of actions in four key areas: 1. Enable the delivery of more high-quality affordable homes; 2. Making best use of existing homes and support for home ownership; 3. Supporting community-led development; 4. Housing and local economies; The Council supports the key principles and the identified short, medium and long term actions, many of which have already been taken into account in this SHIP. The SHIP aims to support the priorities of the island communities. In addition to the island studies, we ensure that our overarching HNDA process allows for a significant, representative sample of local households on individual islands to participate, register their housing needs, and voice their general views on local housing. A formal Islands Impact Assessment has been developed as part of the LHS process, and this document also covers the SHIP. To tackle the lack of sufficient housing in island communities the SHIP in the last 5 years (2019/20- 2023/24) has delivered 40 units on the islands, equating to 8% of all units provided within Argyll and Bute. During the same period, 52 (10%) homes were completed in urban classified areas, 46 homes (9%) in small towns and 378 homes (73%) in rural classified areas. This reflects a spread of new developments across the local authority area. The Council will continue to explore opportunities to deliver more island and rural homes with our partners and wider community groups. Future prioritisation process The implementation of National Planning Framework 4 (NPF4) requires Councils to support communities undertaking Local Place Plans. This will place greater pressure on Councils to address the needs identified by community plans. In the future, the Council will revise its prioritisation process to include a robust scoring system to ensure transparency in the decision- making process. The Housing Services team are engaged with a number of communities in relation to their Local Place Plans where housing has been identified as a priority, including Lochgoilhead Community Trust; Arrochar, Tarbet & Ardlui; and Isle of Luing.
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22 4. DELIVERING THE PROGRAMME: MITIGATING RISKS AND RESOLVING DEVELOPMENT CONSTRAINTS It is important to identify, assess and respond to any risks or potential constraints that might impact the overall programme or individual projects; and that effective measures are taken to mitigate these as far and as early as possible. The SHIP aims to assure that, if funding is secured, any other constraints will be resolved by the time of the estimated site start of the relevant project. The main risks or constraints that tend to apply to the SHIP programme include: • Increased construction costs which are being impacted by supply chain issues, unprecedented fuel costs and inflation. • The constrained capacity of the local construction sector and tight labour market. • Development and Infrastructure constraints. • Effective land supply and legal procedural constraints. • Planning issues. • Financial assumptions. Mitigating Constraints - The Council and its partners are working continuously to minimise these risks and mitigate constraints as far as possible a) Increased construction costs and a constrained labour market The constrained capacity of the local construction sector has a huge impact on delivering new homes. Local contractors sometimes are forced to rely on tradespeople from the central belt to fill in gaps in provisions. The on-going impacts of Brexit and Covid 19 have reduced the number of people in the labour market. Therefore, employees are able to be more selective in the jobs they undertake. A shortage of labour combined with the exorbitant fuel costs have placed additional hurdles in the way of recruiting construction workers who are prepared to travel to Argyll and Bute to undertake construction work. The Scottish Government issued revised benchmark costs in June 2023 and again in October 2024, which reflect the increased construction costs. However, the cost of labour and materials appear to have increased more sharply in remote rural and island communities. In addition, RSLs and contractors continue to highlight concerns in balancing cost and quality AFFORDABILITY – as a basic rule of thumb, an affordable house price is reckoned to be no more than 3.5 times the annual income of the household, and in terms of renting a property, the affordable benchmark is often considered to be around 25% of the household’s income. The volatile financial markets are having an impact on mortgage affordability. The Financial Conduct Authority (FCA) classifies ‘higher risk’ lending as a loan-to-value ratio over 90% and an income multiple greater than or equal to 3.5 for single income purchasers, or 2.75 for joint income purchaser/s. (SG website, September, 2023) Background and historic data - HNDA modelling mortgage impacts: guidance - gov.scot (www.gov.scot)
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23 considerations, especially given the ongoing cost of securing private finance in current financial environment. These factors will make delivering new homes within the revised benchmark extremely challenging. To mitigate against higher construction costs and shortages of labour the Council and its partners continue to explore innovative construction solutions, including utilising technological solutions and modular construction methods if appropriate for development. Work will commence in autumn 2024 on a development at Ballochgoy, Rothesay, by Fyne Homes delivering eight modular homes constructed off-site and assembled on-site. We anticipate that there will be lessons learned that could be used as good practice example from this innovative approach. b) Rapidly changing economic landscape The HNDA published in 2021 included a range of scenarios such as: • the worst-case scenario of severe demographic and economic decline in the short term; • less severe and stabilising scenarios; • to more optimistic growth scenarios; While the years following the pandemic have resulted in increased population and higher house prices in Argyll and Bute the economic landscape is extremely volatile and uncertain. High energy costs, high inflation and higher interest rates have had an adverse impact on the economy. This has resulted in further pressures on the social rented sector. The prioritisation framework underpinning the SHIP must be flexible to address emerging need and demand trends. c) Development Constraints (such as infrastructure issues: roads, utilities, ground condition problems/ abnormal costs) - The core SHIP programme has always aimed to focus on sites that are not subject to significant development constraints, such as contaminated brownfield sites, designated greenbelt areas, or sites with restricted infrastructure capacity in terms of access roads or water supply. However, in certain instances within some highly pressured areas where a substantial shortfall in affordable housing is evidenced or in areas of wider strategic importance, it may be necessary to consider such sites in the absence of more practicable or easily progressed sites. Apart from the site constraint, there may be costs associated with carrying out remedial works, preliminary feasibility studies, or mitigating the potential impact on areas of archaeological significance or historic buildings, which further constrain on-site development. Mitigation may be aided by ensuring site investigation is carried out at early stages and seeking to ensure land values reflect any remediation costs. Regarding infrastructure constraints, such as Scottish Water connections/ capacity/ access, early discussions with the Utility companies are part of the SHIP process in order to address potential issues and find solutions. Where possible, abnormal costs should be deducted from the land purchase price, and unforeseen costs may be met from alternative sources such as the Council’s Strategic Housing Fund, developer contributions, or other funding sources. The Housing Infrastructure Fund (HIF), has proven to be a significant factor in supporting housing development in this authority through grants for sites which are of strategic
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24 importance, and cannot proceed or have stalled due to exceptional infrastructure works (out with the curtilage of the development); and can help facilitate the unlocking of these sites for the delivery of housing. The Council successfully prioritised the further development of Dunbeg, for instance, as a key site for delivery of housing utilising this fund and was awarded £2.1m in total, in line with the eligibility criteria and guidance set out by the Scottish Government. d) Effective Land Supply – The RSLs and the Council are working actively in partnership to identify landbank opportunities. A notable feature of a rural and island authority such as Argyll and Bute is the dominance of large estates in terms of land ownership in many areas exhibiting housing need. This can present additional challenges in respect of accessing and assembling suitable sites for development. Nevertheless, through collaborative efforts with planning colleagues, the Council and National Park are confident that a supply of land for affordable housing continues to be sustained, as seen in the table below. Argyll and Bute Council’s Local Development Plan 2 (LDP2) was approved on the 28th February 2024. Regarding housing, it seeks to help deliver new housing of the right type in the right places to meet the needs and aspirations of the wide variety of households across Argyll and Bute. Part of this involves ensuring there is an adequate supply of land on which new housing can be developed. National Planning Framework 4 (NPF4) superseded the Scottish Planning Policy on 13 February 2023. NPF4 requires that Local Development Plans set out a Local Housing Land Requirement (LHLR) which is expected to exceed the 10-year Minimum All-Tenure Housing Land Requirement (MATHLR). The MATHLR for Argyll and Bute as set out within NPF4 is 2150 units and this has been translated within Local Development Plan 2 (LDP2) into a LHLR of 3000 homes for a 10-year period commencing from 2020. The following table includes the remaining capacity of small windfall sites with ‘full’ planning consent (Planning Permission) as well as a future windfall allowance. This allowance is based on 25% of the LHLR (as set out in PLDP2) but reduced by 10% year on year for each year of the 10 year LHLR period that has already passed. For 2023 the 25% allowance of 750 units has therefore been reduced by three years (225) units to give a total of 525 units.
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25 TABLE 2: Land Supply within the Local Authority by Housing Administrative Area Housing Land Supply 2023-2030 AREA Total number of units on Housing Land Audit Sites programmed 2023-2030 Small Windfall Sites Future Windfall Allowance Total 2023- 2030 Helensburgh and Lomond 584 41 120 745 Bute and Cowal 211 72 68 351 Oban, Lorn and the Isles 697 242 195 1,134 Mid Argyll, Kintyre and the Islands 514 124 142 780 Total 2006 479 525 3,010 Source: Housing Land Audit 2023 Occasionally, proposed projects are subject to complex or protracted negotiations with private owners and their agents, which can impact on the timing and ultimately on their deliverability. Therefore, effective liaison with the Scottish Government to prioritise projects and progress site acquisitions to enable projects to be pulled forward if required is essential. In addition, the impact of both the Council and National Park Affordable Housing Policies continues to prove valuable; there is an obvious need to sustain practical negotiations with landowners, Estates, private developers and others. Partners continue to consider the timing and possible phasing of developments to make realistic assumptions on when affordable housing will proceed. We aim to ensure that a sufficient supply of sites have been identified to accommodate unforeseen project slippage and to ensure the spending of allocated funding. In situations where projects cannot be taken forward due to land supply issues, the Council will consider a Compulsory Purchase Order (CPO) approach where there are compelling benefits to the public interest. e) Planning - Early discussions will continue to be prioritised with statutory consultees within planning process e.g. Roads, Scottish Water regarding road layouts/ car parking requirements, flood risk assessments, school catchment areas, and other possible issues. The provision of adequate footpaths adjacent to new developments, for instance, has been a particularly prominent issue in a number of recent SHIP projects. All of the development sites included in the SHIP programme should be effective given that they will in most cases, require to be already allocated for housing development in the relevant local development plans. Many of the sites identified in the SHIP are of relatively small capacity. The costs associated with progressing smaller sites in the more remote rural areas are likely to be higher if developed as standalone projects. However, it is envisaged that where SHIP sites form part of a larger allocation identified in LDP2, through partnership working with private developers on adjacent sites, the risk of such sites not being developed on cost grounds will be reduced.
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26 5. RESOURCING THE PROGRAMME & THE COUNCIL’S CONTRIBUTION The three primary funding sources for the SHIP remain as follows: a) Scottish Government Grant (the Affordable Housing Supply Programme – AHSP); b) Council grant or long-term loan (the Argyll & Bute Strategic Housing Fund – SHF; which may be supplemented from Council central reserves); c) Registered Social Landlord (RSL) Private Finance Borrowing. The majority of developments will require a complex package of funding from at least all of these sources (additional investment from other sources may also be required – some of these are outlined below). a) Scottish Government Resource Planning Assumptions (RPAs) In May 2024, the Scottish Government confirmed local authorities revised RPAs for 2024/25, with a further revision provided in September 2024, however the current SHIP runs until 2029/30. The 2024/25 RPA for Argyll and Bute has reduced from anticipated £18.328m to £14.002m. The Scottish Government have not yet agreed the RPA for future years of the SHIP programme. The Council has been advised of an assumed RPA for the years 2025/26 to 2027/28 of 80%, 60% and 40%* of current year RPA levels based on programme management advice from the Scottish Government. However, it is important to note that the figures for 2025/26 to 2027/2028 are not a formal definitive allocation and no indication has been provided for later years. TABLE 3: RESOURCE PLANNING ASSUMPTIONS (RPA) 2024- 2029 (£m) Argyll & Bute 2024/25 2025/26 2026/27 2027/28 2028/29 2029/30 Total Minimum RPA £14.002 £11.201* £8.401* £5.600* Unknown unknown £39.204m Source: Scottish Government Letter to Councils – AHSP RPA 2024-25, May &September 2024 The actual AHSP spend in 2023/24 was lower than the original RPA for that year. The Council will continue encouraging RSLs/developers to maximise funding opportunities and utilise the available RPA as much as possible. This might include increasing off-the-shelf / buy-back acquisitions, land banking in areas of identified need or designated future economic growth spots. b) The Council’s Contribution – The Strategic Housing Fund (SHF) Resourcing the SHIP programme also requires a significant contribution from the Council’s Strategic Housing Fund (SHF). This fund is primarily based on the revenue raised from reduced tax discounts on empty and second homes. Where local authorities have used discretionary powers and reduced the empty and second homes tax discounts, the additional revenue must be used to support affordable housing delivery in their areas. Since 2013, local authorities have had the flexibility to remove the discount and apply a levy of up to 100% on long-term empty properties, the regulations also changed in 2023 and since April 2024, a levy of 100% has been applied to second homes. These revenues are not ring-fenced, although their use to bring long-term empty properties back into use, or to support affordable housing provision, is encouraged by the Scottish Government.
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27 The SHF in Argyll and Bute is used for the following eligible expenditure: • Expenditure incurred in relation to assets formally held on the Housing Revenue Account; • Expenditure relating to the acquisition of sites for the landbank; • Expenditure related to the delivery of the Empty Homes Initiative; • Payments to enhance infrastructure where this is restricting the development of affordable housing; • Payments to registered social landlords (RSLs) to partially fund proposed projects to deliver homes in accordance with the local housing strategy. Since April 2016, the Council has provided grant funding of £12k per unit to supplement the Scottish Government grant; • Following the Council’s annual policy review of the Strategic Housing Fund in 2018, grant funding of £12k per unit is available to community organisations, who have been awarded Scottish Government support from the Rural or Island Housing funds, to deliver affordable homes. Awards greater than £12K may be awarded in certain instances to ensure the deliverability of projects with particular challenges however this will be decided on a case by case basis. The balance of this fund as of 31st March 2024 was £11.843m, of which £2.328m was already committed, with £9.515m available to help fund the SHIP programme. It is anticipated that the SHF will continue to accrue annual revenue in the order of £2m over the SHIP planning period. TABLE 4: Argyll & Bute Council Strategic Housing Fund, balance as of March 2024 Income 2023/24 Expenditure 2023/24 Balance March 2024 Committed Spend Available to support SHIP £2.718m £1.057m £11.843m £2.328m £9.515m An indicative minimum estimate of circa £14.04m would be required to support the core projects outlined in this SHIP (£12k x 1,170 units), In addition, the Council has also used its financial reserves on occasion to advance long-term loans to support RSL projects, this commitment is subject to ongoing review. c) RSL’s Private Finance Borrowing Banks and other lenders in the private sector also remain vitally important partners in the delivery of affordable housing. RSLs are required to demonstrate that sufficient borrowing capacity or reserves exist to ensure the delivery of the proposed development programme. The impact of rising interest rates on RSLs’ ability to borrow will have to be kept under review. Housing Infrastructure Fund (HIF) The Housing Infrastructure Fund supports housing development through grants and loans, with priority given to sites of strategic importance that cannot proceed or have stalled due to infrastructure requirements. Grant is available to local authorities and RSLs for works which are out with the curtilage of the affordable housing site and/or of scale and will open up larger sites for housing development. Loans are available for viable non-public sector-led sites to support infrastructure delivery. The Council’s main priority for HIF funding remains focussed on the Lorn HMA but the Council also continues to explore opportunities across the local authority area. As reported in previous
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28 SHIPs, the Scottish Government awarded a Housing Infrastructure Fund grant amounting to £2,129,247 for upgrade works to Kirk Road to enable the development of 300 new affordable homes. The Council and RSL partners will continue to propose potential projects within the SHIP that could benefit from HIF investment. Details of current projects are in the table below. TABLE 5: SHIP Projects with potential HIF requirements, as of October 2024 Project RSL Total Units Estimated HIF Requirement Glencruitten, Oban LINK 100 (tbc) £0.72m Hospital Field, Oban WHHA 25 £2.0m Dunbeg Phases 4-6 LINK 349 £2.5m Bowmore (Phase 4) ACHA 17 £0.75m Rural and Islands Housing Funds (R&IHF) The Scottish Government administers a £25 million Rural Housing Fund and a £5 million Islands Housing Fund. Both funds are aimed at increasing the supply of affordable housing of all tenures in rural Scotland and to contribute to the national affordable homes targets. The Scottish Government have confirmed that these funds will continue until end Parliamentary term March 2026. In 2021/22 a private developer accessed support from the R&IHF to renovate and bring an empty building back into use as affordable housing on the Island of Mull in conjunction with Mull and Iona Community Development Trust (MICT). This was the first example of a local private developer using the R&IHF to increase the supply of housing in the area. This innovative project won the ‘Rural Property’ category at the 2024 Scottish Land & Estates ‘Helping it Happen’ Awards. The Scottish Land Fund The Scottish Land Fund is funded by the Scottish Government and delivered in partnership with the National Lottery Community Fund and Highlands and Islands Enterprise. The SLF supports rural and urban communities with grants of up to £1 million to help communities become more resilient through ownership of land and buildings, as well as practical support to develop projects. The Scottish Land Fund (SLF) continues to provide support a range of projects including housing projects in Argyll and Bute. Whilst there has been no recent housing awards made, Tayvallich Initiative Ltd were successful in May 2023 with application for £565,608 to purchase land and will use the site to deliver affordable housing for rent, along with a number of environmental initiatives. Key Worker £25m Fund - 2023/2028 The new £25m fund to help local authorities and registered social landlords to make best use of underused or empty properties by making them available as affordable homes for key workers and others in need in rural communities is welcomed in Argyll and Bute. The Council will aim to maximise all funding opportunities and work with partners to identify projects that could deliver worker housing to sustain our communities and support economic growth.
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29 Rural Growth Deal The housing element of the Rural Growth Deal is £3m. Two projects are being taken forward, the project in Bowmore, Isle of Islay will focus on housing for sale for principal occupation, and the one in Tobermory, Isle of Mull will provide accommodation for workers. Islands Programme Funding The Council were successful in securing £700k from the Islands Programme funding to enable the delivery of the infrastructure to support the development of worker housing in Tobermory, Isle of Mull. Developer Contributions Argyll and Bute falls within the purview of two planning authorities: while the Council covers most of the mainland and islands, Loch Lomond & Trossachs National Park is the planning authority for parts of Cowal and Lomond. Both authorities have set out formal Affordable Housing Policies in their respective Local Development Plans. These policies outline mechanisms and options to secure developer contributions where there is a demonstrated need for affordable housing. The Argyll and Bute Local Development Plan 2 includes a policy on the provision of housing to meet local needs including affordable housing. This expects all new housing developments of 8 or more units to deliver a minimum of 25% of the total number of units on site as affordable housing. Given the revised and reinforced strategic vision of growth and repopulation for the whole of Argyll and Bute and the Council’s declared housing emergency, a technical note on the delivery of affordable housing (including housing for key workers) to accompany LDP 2 is being prepared with a view to getting approval late 2024/early 2025. Developer contributions can be delivered by a variety of means, including social rented housing, mid-market rented housing, payment of commuted sums and also the building of houses/apartments designed to meet the needs of first-time buyers (provided these are available at affordable levels as defined by the Council’s HNDA and with reference to the relevant local housing market). The sequential mechanisms for securing Affordable Housing via the policy are applied in the following order: ➢ on-site provision; ➢ off-site provision; ➢ commuted payment; ➢ discounted low-cost sale; ➢ affordability by design without subsidy. To date, no commuted sums have been received, and the preferred approach has been to engage with an RSL to deliver the affordable quota on site. The LLTNP policy follows a similar approach, with a requirement for 25%, 33% or 50% affordable provision on sites of 4 or more units depending on the location. Sites of up to three units in accessible rural areas may also have a policy requirement under certain circumstances. A formal policy for calculating commuted sums within the LLTNP has been derived based on Scottish
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30 Government guidance. There was one recent commuted sum within the LLTNP for an application approved in 2020. The LLTNP policy required development within the site to provide for 100% affordable housing, the project costs for the development had been provided and it was recognised that works involved in converting the existing building would mean that that resultant dwelling would not be affordable. Whilst this was a departure from the approved Housing Policy 2, due to the particular circumstances, and the benefits of restoring the traditional building, it was considered that the payment of a commuted sum towards affordable housing would be acceptable which was accepted by the applicant and secured through a Section 75 Agreement. The delivery of unsubsidised affordable housing for purchase via the Affordable Housing Policy, but without Scottish Government funding, will normally target a different client group and requires close working between Housing Services and Planning colleagues to ensure these models are in fact affordable in accordance with the LHS and SHIP priorities. Other Initiatives The Council will also continue to explore and, where appropriate, promote non-AHSP financing models such as Build-to-Rent, Low-cost Initiative for First Time Buyers (LIFT), and Open Market Shared Equity (OMSE), which may fall out with the remit of the SHIP. 6. EMPTY HOMES Supporting empty homeowners to take action to bring properties back into use remains a priority for the Council as this will help to maximise the use of existing resources to meet housing need; contribute to number of the Council’s wider strategic objectives; and provide cross-service benefits both within the Council and with external partners. The Council has an Empty Homes Officer who can support owners with a range of practical options to help them make informed choices about the best outcome for them and their property. There is financial assistance available via empty homes and grants funded from strategic Housing Fund to support owners who meet qualifying criteria. During 2023/24 the Empty Homes Officer assisted in bringing 30 empty homes back into use which was on target. Over the last 3 years, the Council’s approach has enabled owners to bring 109 vacant properties back into use against a baseline target of 30 per year. TABLE 6: Length of time a property had been empty 2021/22 to 2023/24 Length of time property had been empty No of Empty Homes 2021/22 No of Empty Homes 2022/23 No of Empty Homes 2023/24 less than a year 7 5 2 between 1-2 years 8 13 8 between 2-5 years 14 13 9 between 5-10 years 8 9 3 longer than 10 years 1 1 8 Total 38 41 30
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31 Over the last five years, according to the Council Tax Register, the number of long-term empty properties had reduced but there has been a rise this year, whilst the number of second/holiday homes and the total dwelling stock has remained relatively static with slight variations in the overall numbers. TABLE 7: Estimated Ineffective Stock Argyll and Bute 2020-2024 Council Tax Register 2020 2021 2022 2023 2024 All properties 48,285 48,166 48,570 48,971 49,348 2nd /holiday homes 2,881 2,689 2,821 2,874 2,811 Long-term empty including those subject to levy (200%) 1,363 (644) 1,230 (644) 1,135 (640) 1,263 (795) 1,451 (804) Empty & Exempt properties 1134* October 2019 913 805 881 913 Long-term empty & exempt homes as % of total 5.17% 4.45% 4% 4.38% 4.79% Empty + 2nd /holiday homes as % of total 11% 10% 10% 10% 10.5% Source: Annual April, Council Tax Register Empty Homes Officer – Key Worker HSCP / Shelter Project The Empty Homes Officer for HSCP has been in post since September 2023. This is a two-year kick starter project which has been funded by Shelter Empty Homes Partnership and HSCP. This project seeks to address the impact that the shortage of housing is having on recruitment for HSCP. The project will enable property owners to bring their long-term empty property back into use as affordable housing to be leased to new HSCP employees coming to Argyll and Bute, as well as making best use of existing assets. There are considerable challenges working with HSCP as this is a partnership of Council and NHS. The HSCP is a large organisation, it has taken time to secure and build solid connections with the correct locality and facility managers. Building a strategic approach has been key to ensure information is filtered to new employees accordingly and encouraging employees to contact HSCP Empty Homes Officer with their requirements of accommodation type. There has been a lot of proactive work carried out to address the project challenges, including: • Long term empty property owners contacted; • Second Home owners contacted in light of the double charge of Council Tax; • Contacting active Landlords advertising their properties; • Commercial Buildings investigated as possibilities of renovation; • Survey attached to HSCP recruitment with Empty Homes Officer details. Despite the challenges, there have been early successes, and several projects identified between partners for HSCP staff: ➢ Argyll Community Housing Association (ACHA) have identified a four-bedroom house in Connell. £200k Strategic Funding has been approved to enable the refurbishment to become a House Multiple Occupancy for up to four HSCP staff;
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32 ➢ Two NHS Houses on the Island of Coll (2 and 4 bed) will be brought back into use for HSCP staff requiring accommodation on the island to deliver essential health and social care services, this project is supported by £100k Strategic Funding; ➢ There is outline proposals to convert an empty NHS Dental Surgery on Isle of Islay into short term accommodation for HSCP staff. An application for Strategic Funding is in progress. ➢ Supported a new landlord on Islay with the process of transferring from a second home to leasing the property to a Mental Health Nurse. ➢ The Care Home Manger on Islay received support and housing advice on applying to Home Argyll which she successfully secured a new property. The manager was previously staying in short term accommodation. ➢ New Landlords carrying out extensive refurbishment on a flat in Dunoon were supported with Empty Homes advice and landlord registration process. The property was successfully leased to a Mental Health Nurse. The Landlords are keen to continue in supporting the HSCP Empty Homes project with future properties they purchase. Compulsory Purchase Orders (CPOs) The use of Compulsory Purchase Orders legislative powers allow Councils to acquire empty homes and land under certain circumstances and subject to specific conditions. The Scottish Government refreshed the guidance in 2018, which has refined the legal process and made it less complex and time-consuming for local authorities to submit an application to Ministers for consideration. Whilst CPO powers are considered a last resort tool, and have not been used as standard practice, it is the Council’s view that these powers do have a strategic role to play and could be used more effectively where there are no other practical solutions to address the issues of the most problematic buildings in the area. CPO powers were successfully utilised in 2019, to acquire an empty property that had no legal owner. The Council then facilitated back-to-back sale to enable the property to be brought back into use. Without legal intervention, the property would have remained empty indefinitely having a detrimental and financial impact on the other owners in the tenement. The Council are considering a further CPO in relation to a long-term empty home where the owner is deceased and the condition of the property is having an adverse impact on tenement. A CPO policy and process has been incorporated into our revised Scheme of Assistance, targeting resources to the most difficult cases where there are no alternative options to bring them back into use. 7. CHILD POVERTY AND FUEL POVERTY In line with the Child Poverty (Scotland) Act 2017, the Council, together with the Health Board, produces on an annual basis the Argyll & Bute Local Child Poverty Action Report (LCPAR). This report sets out progress against the four statutory, income-based targets, to be achieved by 2030. These targets are: • Less than 10% of children are in relative poverty • Less than 5% of children are in absolute poverty
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33 • Less than 5% of children are in combined low income and material deprivation • Less than 5% of children are in persistent poverty The Scottish Government’s Delivery Plan for tackling child poverty ‘Bright Start, Bright Futures’ places the tackling of child poverty at the heart of the Affordable Housing Supply Programme. Bright Start Bright Futures states: “Housing has a vital role to play in tackling child poverty; it forms not only the foundation for family life – as a safe place for children to grow and learn, and for families to come together – but it also one of the most significant costs which families must continue to meet on an ongoing basis. If families lose their home, the effects can be devastating – and cause lasting damage to children’s lives.” Research suggests that living in temporary or insecure housing negatively impacts children’s development and education, locking them into a cycle of poverty. Therefore it is vitally important to provide homeless families with children permanent accommodation. The Council and its partners have substantially reduced the number of homeless families with children in temporary housing. Table 8 shows that both the number of households and the numbers of children in temporary accommodation increased last year. TABLE 8: Number of homeless households and the number of children in temporary accommodation as at 31st March 2024 HOMELESS STATISTICS 2020/21 to 2023/24 2020 2021 2022 2023 2024 Change 2023 to 2024 Number Households with children or a pregnant woman in temporary accommodation 25 30 25 30 30 0 Number of children in temporary accommodation 55 60 45 60 50 -10 Source: Scottish Government, “Homelessness in Scotland: 2023-24”, September 2024 The numbers of homeless children or children threatened with homelessness within Argyll and Bute reduced from 2022/23 to 2023/24. The Cost of Living Crisis could have an impact on figures as wages are not keeping track with inflation resulting in families paying exorbitant amounts for food and energy. This, coupled with higher interest rates, will mean, for some, higher mortgage payments or private landlords passing on increased mortgage costs to their tenants. The consequences of energy, food, accommodation as well as many other products all costing substantially more will mean many families will be unable to finance the necessities and for some this may result in them becoming homeless. Therefore, having an adequate supply of affordable housing is more important than ever.
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34 Table 9: Number of children associated with applications assessed as homeless or threatened with homelessness Local Authority 2019-20 2020-21 2021-22 2022-23 2023-24 Change 22-23 to 23-24 Number Argyll & Bute 153 161 166 183 171 -12 Source: Scottish Government, “Homelessness in Scotland: 2023-24”, September 2024 In 2023/24, the HOMEArgyll RSLs rehoused 262 households who had at least one household member under 16 years of age which was 34% of the total lets that year. This equated to 444 children housed in 2023/24. Although housing 444 children last year was a considerable achievement, as of September 2024, there were 930 applicants over a third (30%) of the waiting list, with a household members under 16 waiting to be housed. This equates to 1,721 children currently on the housing waiting list. Some of these households (105) have been awarded the maximum 200 points and are deemed to be in extreme housing need and hence will be a priority for rehousing. However, not all families with children will receive priority assistance for rehousing, with 220 applicants with children not being awarded any housing points under the allocations policy. The Child Rights and Wellbeing Impact Assessment undertaken as part of the LHS process highlighted the negative impact on educational attainment of children living in overcrowded accommodation. As of September 2023, 470 households with children under 16 years of age on the waiting list are overcrowded. Bright Starts Bright Futures identified families with more than three children are one of the six family types at greatest risk of poverty. There were 154 applicants with children equating to 5% of HOMEArgyll waiting list who required a larger family home (4 or more bedrooms). The SHIP housing planning process will place additional focus on housing those with a need for a particular size of property in a specific location. This approach will ensure that larger family homes are delivered where they are required. This may including RSLs purchasing appropriate ‘off the shelf’ properties’. TABLE 10: Minimum number of bedrooms required by families on the HOMEArgyll waiting list HOMEARGYLL WAITING LIST SEPTEMBER 2024 1 bed 2 bed 3bed 4 bed 5 + bed TOTAL Number of Applicants (with members under 16) 3 448 331 116 32 930 as % of total 0.66% 48.01% 35.5% 12.5% 3.44% 100.0% Source: HOMEArgyll waiting list September 2024 In most households housing and energy costs are the largest financial outgoing. The SHIP not only provides access to affordable homes for families living on low incomes but it also provides energy efficient homes. In the current economic climate, energy costs are unprecedentedly high, making it more important than ever to reduce the amount of energy needed to keep a home warm.
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35 Therefore, the Council will ensure that 100% of the SHIP programme will meet the greener standards. Promoting energy efficiency and tackling fuel poverty remain strategic priorities for the LHS and key commitments for the Council; and maximising opportunities for sustainability in development remains a key principle underpinning the SHIP. As with all public bodies, this Council is also required to meet its statutory duties arising from the Climate Change (Scotland) Act 2009. The LHS and SHIP have been developed to ensure that the provision of new affordable housing complies with the Act; and that all housing activities and outputs should contribute to the overarching net zero targets and principles. The Council have developed a Local Heat Energy Efficiency Strategy (LHEES) and Delivery Plan, which will set out strategic aims and priorities for achieving net zero across the Argyll and Bute area which is currently out for consultation. 8. SPECIALIST PROVISION INCLUDING WHEELCHAIR ACCESSIBLE HOUSING The SHIP aims to address the housing needs of all the communities we serve and continues to reflect a positive approach to equalities issues in line with the policies of the Council and its partners, and the principles of diversity and inclusion in accordance with the Equality Act 2010. The HNDA (2021) provides robust evidence of accommodation and support needs across the range of protected equalities characteristics, and these have been incorporated into the SHIP priorities. The joint Argyll and Bute Health, Care & Housing Needs Assessment, completed in 2018, provided supporting evidence of the requirements for wheelchair accommodation, supported housing, and other forms of specialist provision. In 2019/20, the Council undertook further specific studies on the need and demand for specialist provision for wheelchair users, gypsy/travellers, military personnel and veterans, and persons who are autistic or have learning disabilities. The findings informed the 2021 HNDA and revised LHS, which was published in 2022. An equalities impact assessment (eqseia) was undertaken during the development of the LHS, and this informs the SHIP. All SHIP projects, seeking public subsidy from the Council or Scottish Government, are required to meet basic design and building standards (of the Housing for Varying Needs Standard as a minimum) and should incorporate adequate provision to meet any additional identified particular needs. Prioritisation of projects will give due weight to those which incorporate elements of design or additional specifications for specialist forms of housing where the local profile of need and demand indicates such a requirement. The committed and planned programme include provision for elderly and disabled residents and through the close partnership working with Health & Social Work, including Occupational Therapists (OT), the SHIP will continue to ensure the strategic aims of the LHS in this respect are carried forward. In particular, the dedicated Housing OT post which is funded in full by the Council Housing Services but working very closely with RSLs and the HSCP, co-ordinates and promotes these needs through the SHIP group. In practice, this commitment to equalities principles will ensure: • building all new affordable housing to HfVN Standards;
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36 • implementing design solutions which help to meet the needs of disabled and infirm households; • assessing and seeking to resolve the needs and aspirations of households with community care needs in partnership; • developing communities with a good mix of households; • allocating housing via HOME Argyll and national RSL partners who have strong commitments to equal opportunities; and • providing affordable housing in rural areas which enables young and old people to remain within their communities. The recently completed Eton Avenue development in Dunoon is an excellent ‘good practice example’ of regeneration and partnership working for those with particular needs. The collaborative approach and the detailed design achieved was due to the involvement Council funded Housing OT post at the early design stage, and throughout, to ensure that tenant’s individual anticipatory needs were taken into account and embedded in the design. The outcomes of this housing regeneration project extend far beyond the capital spend on the construction of four new houses. By integrating, the anticipatory needs of the tenants into the design and build, via consultation at an early stage, a wide range of health and social benefits were also delivered. The feedback from the tenant’s record that this project has been transformational for them. "Moving into our new house at Eton Ave in Dunoon has been "life changing", our previous home was unsuitable as it was over two levels and I could not manage the stairs. Our new house is on the one level and I can get around easily, and can get in and out of the front door using my scooter. I can reach all of the appliances in the kitchen and can now use the shower facilities independently. I can enjoy the garden and the location is excellent, close to all local amenities. My family and I love our new home" (New tenant Eton Avenue) Pictures: Eton Avenue, Dunoon Housing for Varying Needs (HfVNs) is a Design Guide published in two volumes (Parts 1 and 2). The standards outlined in the guide have been used as the basis for housing developments seeking grant funding support. The standards are intended to ensure that the housing is accessible, adaptable for different needs and over its lifetime represents good value for money. They are based on the principle that the design of a property should not hinder a person’s ability to live as independently as possible and should recognise the needs of people as they age, become less able or whose mobility, dexterity, cognitive function, hearing or sight is impaired. The idea of designing all housing to accommodate the needs of less able people is known as “barrier free” design and this is reflected in the core guidance of the design guide. The guide also recognises that barrier free design in itself is not a substitute for homes designed specifically for people with particular needs so it identifies additional features that should be included to address these needs. Before After Scotland’s Housing Awards 2024 We are delighted that the Eton Avenue project has been shortlisted for two categories at CIH Awards 2024 – ‘Working in Partnership’ and ‘Excellence in regeneration and sustainability’
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37 The Sottish Government consulted on the HfVNs in 2023, with an aim to improve housing accessibility through the review of the design guide and by introducing a Scottish Accessible Homes Standard in updates to building standards and guidance. Analysis of the HOMEArgyll Common Housing Register in September 2024 suggests that 26% of applicants could benefit from some form of specialist provision such as amenity, sheltered, or wheelchair housing (this will include an element of double counting as applicants can select more than one type of housing). Three percent (89) applicants requested wheelchair accessible accommodation; although 69 of these applicants also selected some other form of accommodation, including general needs/ mainstream housing. Only 20 applicants only selected wheelchair housing. Applicants requesting wheelchair provision required homes with the following number of bedrooms: • 48 (54%) of wheelchair applicants required a 1 bedrooms • 28 (31%) of wheelchair applicants required 2 bedrooms • 9 (10%) of wheelchair applicants required 3 bedrooms • 4 (5%) of wheelchair applicants required 4+ bedrooms The Health, Care & Housing Needs Assessment (2018) identified the following key points:- ➢ Over 1,300 people in Argyll and Bute have wheelchairs on issue ➢ Around 350 wheelchairs are issued each year to people in Argyll & Bute ➢ The majority of wheelchairs issued are manual chairs ➢ 55% of people with wheelchairs are aged 75+ ➢ Up to 280 people a year may be new wheelchair users ➢ There could be 240 additional people needing wheelchairs by 2027 ➢ The most common reason for a wheelchair is cerebrovascular disease (stroke) but the main reasons for wheelchair vary by age with Cerebral palsy being the most common reason in people under 25. Correlating the data sources may suggest that a majority of wheelchair users are satisfactorily housed or do not aspire to social rented properties. However, some wheelchair users who could benefit from specialist provision in the social rented sector may not apply due to lack of awareness or misperceptions regarding the suitability and availability of stock. This was identified as a key area for further research and analysis, and in 2019/20 an in-house study completed jointly by the Council’s strategy team and the Housing OT. A key finding of this study, collated with national research, is that wheelchair users and those who might benefit from wheelchair accommodation are not a homogenous group and a variety of housing solutions are required. Solutions such as aids and adaptations or support services will have a crucial role to play. The SHIP will continue to require a target of 10% of the new build programme to provide some form of specialist provision (to include retirement housing, amenity housing, and other specially adapted properties). Within that, half (i.e. 5% of the total new builds) should be built to the fully wheelchair habitable standard as defined in the relevant Section of the current HfVN standards guidance. In 2023/24 there were a total of 19 affordable homes designed for particular needs delivered within the SHIP programme, amounting to 27% of the year’s total, which exceeds the annual target of
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38 10% overall (5% wheelchair and 5% other models of specialist provision, excluding adaptations to existing stock). The new build units included 12 wheelchair accessible homes (17% of total) and 7 adapted/amenity/older person units (10%). As far as possible, the wheelchair housing targets will also be encouraged within the private sector, across all tenures, on all developments where this would be appropriate. The SHIP Officers Group and the Strategic Housing Forum approved this policy with immediate effect in 2020. RSL partners also continue to explore with the HSCP requirements for extra care provision and possible new housing models for people being housed in the community, which is in accordance with the HSCP aspiration to enable those with additional needs to live as independently as possible. The Council will strive to incorporate housing models which promote independent living within the SHIP programme as it rolls forward. 9. GYPSY/TRAVELLER SITES Argyll and Bute Council continues to support the Scottish Government’s commitment to improve the lives of our Gypsy/Traveller communities; and to prioritise joint working with ACHA who own and manage the two official, Travelling Person sites in Argyll and Bute and other stakeholders to drive forward positive improvements for this client group. The Council allocates ACHA an annual grant from the Strategic Housing Fund as a contribution towards the operation and maintenance of the two Travelling Persons Sites at Bayview near Oban, and Duncholgan near Lochgilphead. A Minute of Agreement set up at the point of stock transfer in 2006 set the sum at £30k plus annual indexation. Recent Council investment in the official sites is detailed below: TABLE 11: ACHA Gypsy/Traveller Sites – Annual Council Funding Year 2019/20 2020/21 2021/22 2022/23 2023/24 5 year Total Grant £28,939 £29,338 £31,639 £35,881 £37,644 £163,441 As part of the comprehensive refresh of the Housing Need and Demand Assessment for Argyll and Bute, the Council carried out a dedicated study to assess the accommodation and support needs of Gypsy/ Travellers in the area. This included an assessment of any “bricks and mortar” mainstream accommodation that may be required. The study has involved extensive primary engagement with Gypsy/Travellers and their representatives; and this work has informed the development of the latest LHS for Argyll and Bute. Gypsy/Traveller Working Group In 2019 the Scottish Government and the Convention of Scottish Local Authorities (COSLA) published the first ‘Improving the Lives of Scotland’s Gypsy/Travellers’ Strategy. This was updated in September 2024 when the ‘Improving the Lives of Scotland’s Gypsy/Travellers 2: Action Plan 2024-2026’ was launched.. One of the key aims of the strategy is for the Gypsy/Travellers community to ‘have a seat at the table, are listened to, and have a say in the decisions that affect their lives’.
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39 The Housing Service established a Gypsy/Traveller Working Group (GTWG) in 2022 as the Forum which aims to make this happen in Argyll and Bute. The Terms of Reference of the GTWG include: • Understanding the accommodation needs and preferences of Gypsy/Travellers to inform future provision; • Work with Gypsy/Traveller communities to raise awareness of rights and entitlements; • Ensure that our public services are responsive to Gypsy/Travellers needs and preferences; • Provide leadership to tackle racism and discrimination; • Strengthen community development and engagement; • Work with Gypsy/Travellers to improve their involvement in national and local decision-making. The GTWG has been instrumental in improving partnership working, co-ordinating action, and facilitating engagement with the community. Gypsy/Traveller Site Upgrades The 2021 Capital Funding to enable Gypsy/Traveller site improvements across Scotland was oversubscribed and ACHA were unsuccessful with their bid. However, ACHA secured £108k from the Capital Fund to make interim improvements to both official sites that were completed in 2022/23. To develop longer-term plans for the future of both the sites in Argyll, ACHA engaged consultants to work with the community. A number of consultation sessions have been held and outline plans for the upgrade of the sites have been developed in conjunction with the community to ensure that these meet their housing needs. In August 2024, it was announced that funding for Gypsy/Traveller accommodation will be able to be accessed under the Affordable Housing Supply Programme (or a successor housing programme) in the next Parliament from 2026-27 onwards. We therefore anticipate that the upgrade of the two sites in Argyll and Bute can be taken forward from Year 2 of this SHIP. The residents of the sites are being regularly updated on the timeline for investment to take forward upgrades required. 10. HOMELESSNESS/ RAPID REHOUSING TRANSITION PLANS & RAPID REHOUSING TRANSITION PLANS Scottish Ministers made an ongoing commitment to end homelessness in Scotland and consequently set up a national Homelessness and Rough Sleeping Action Group (HARSAG) to bring forward recommendations to address this. A key proposal was that each local authority should develop a Rapid Rehousing Transition Plan (RRTP) by December 2018, covering a 5-year period, or longer if required, to enable the implementation of this new approach. The RRTP maximises prevention and sets out the Council’s approach to minimise the time a household remains homeless and to ensure that they can access appropriate suitable accommodation as soon as possible.
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40 Local Rapid Rehousing Transition Plans should be reflected in the LHS and also be fully integrated into Health & Social Care Partnership strategic plans. The Argyll and Bute RRTP has consequently been included in the current Housing Contribution Statement to ensure it forms part of the planning framework. This SHIP’s strategic housing priorities are aligned and consistent with the proposed RRTP priorities and outcomes. A crucial objective is to facilitate and deliver more affordable housing via the SHIP. Argyll and Bute Council continues to liaise with RSL partners and other key stakeholders to develop and implement the RRTP. and will aim to ensure that homelessness remains a critical factor in the SHIP process. This includes homelessness as one criterion for assessing need, prioritising projects, and awarding grants from the Strategic Housing Fund. SHIP projects are expected to contribute directly or indirectly to alleviating homelessness across Argyll and Bute. The performance of developing social landlords in respect of the proportion of allocations to homeless households and time taken to rehouse these clients will continue to be material considerations in SHIP programming decisions and resource allocation moving forward. RRTP funding was made available for a five-year period (2019 to 2024) and has since been extended for a further year to 31st March 2025. The main projects funded in 2023/24 include: 1. Rent Arrears Prevention Funding – assists households who are at risk of homelessness due to rent arrears. Payments are made direct to the landlord to prevent eviction action. Signposting to appropriate support services and Welfare Rights Team is offered to enable the household to sustain their tenancy. 85 households were assisted to remain in their tenancies during 2023/24. 2. Mental Health Addictions Practitioner - engages with Housing First cases and some of our more complex cases across the local authority area. 3. Decoration Project – many homeless households are on low incomes and often cannot afford to decorate their properties or bring them up to a standard where they take ownership of their house, see it as their home and therefore a greater chance of sustaining their tenancy. 4. Housing First –Aims to give the most chaotic and vulnerable homeless households housing with appropriate support provided to ensure tenancy sustainment and achieve positive outcomes. There are currently 12 Housing First cases. Of these, 8 have live housing association tenancies. 5. Flexible Emergency Fund – £1k provided to contract housing support providers to assist households at the point of crisis. 6. Starter Packs – £5k funding to local organisations that supply household starter packs to people presenting as homeless. The packs contain various essential items e.g. bedding, kettles, cutlery, crockery and toiletries.
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41 11. BUYBACKS, SECOND-HAND ACQUISITIONS AND OFF SHELF Argyll and Bute Council agreed a statement (Annex 1) with the Scottish Government in 2022, which would provide a streamlined approach for acquiring second-hand stock where the acquisition and work costs do not exceed £75k of ASHP grant. This approach helps to increase the supply of affordable housing especially for priority property types and sizes in areas of high demand. The AHSP funding will also enable the purchase of existing properties for people with particular needs, or to meet specific demands. Buy-backs To help address the challenges in the housing market, in 2023 the Council created a scheme to promote the option for ‘buy back’ of properties to increase the supply of social housing stock. In conjunction with our RSL partners / SHIP Group we agreed for a statement to go on the Council’s website to promote the Buy Back Initiative. Subject to funding, a property may be considered if it meets the following criteria. • There is demand for the type and size of property in that area; • The combined cost of buying the property and bringing it up to letting standards would represent value for money; • Priority will be given to purchasing properties which would enable an RSL to take complete, or majority, ownership of blocks of flats making communal repairs much easier to complete; • Properties, where a tenant would have to leave the property to enable a sale will not be considered. The Council monitor the enquiries received, with the details passed directly to the appropriate RSLs for consideration and follow up with the owner if they have an interest in acquiring. If a suitable property is identified, the Scottish Government will be approached directly for any units that RSLs are interested in acquiring to discuss potential benchmark subsidy level for acquisition. During 2023/24, there was fifty-six enquiries from private owners received. The range of enquiries has varied from commercial units, one-bedroom flats, to large detached properties. Thirteen buy- back properties were acquired during 2023/24 and a number of others being progressed in 2024/25. This SHIP has programmed acquisition of 10 properties annually for the next five years. Off-the-shelf purchases While it is expected that the majority of homes will be delivered through the SHIP occasionally, the most appropriate approach to meeting particular needs may be best satisfied by an ‘off the shelf’ purchase from developers. These will be considered on a case-by-case basis. Other opportunities In addition to the buy-back initiative, to help to maintain viable, sustainable communities, the Council are exploring the possibility of buying properties on the open market for resale with title burdens which require primary occupancy.
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42 12. WORKER ACCOMMODATION The remote geography of Argyll and Bute means that many communities are isolated and require a degree of self-provision in terms of local services. At a local level, employment opportunities are often interlinked and contribute to the general cohesion of the community, for example a fish farm may rely on local transport providers, but in turn be relied upon by local hospitality and food providers. Such is the fragility of these situations that a reduced capacity caused by a lack of staff anywhere in this chain can impact on the wider range of services and sustainability of communities. The definition of key workers can vary and if often determined by individual local authorities based on local priorities. To reflect the fact that housing workers of all types can affect the local economy, and especially in light of the evidence given by the pandemic of how important, all workers are. It is proposed in Argyll and Bute to use the term ‘worker housing’ to capture the important role all workers have in sustaining communities and the economy in the widest possible context. Worker housing is a key issue and increasing the supply of housing options to retain and grow Argyll & Bute's working age population is being prioritised. The lack of housing is frequently cited by employers as one of the main difficulties in attracting and retaining staff, and it is important to address this within the LHS and SHIP. As referred to in Section 2, Argyll and Bute Council have declared a housing emergency and have been undertaking wider engagement with local households and employers. To help inform how the workforce housing shortages should be tackled, we issued a survey to local businesses to understand how a lack of housing is affecting employee recruitment, retention, and business growth; and to obtain feedback on what local employers think needs to happen to increase housing options and choice for working age households across the area. The survey findings will help inform future priority areas and tenure types to increase the supply of worker housing. The Council are continually exploring opportunities to increase supply of worker accommodation to support businesses and the local economy. There are already some specific projects being taken forward. This includes a new Empty Homes Officer post in conjunction with Shelter and Health and Social Care Partnership to bring properties back into use for HSCP staff (see Section 8). Using a Council owned property for the provision of worker accommodation on Isle of Mull in partnership with Mull and Iona Community Trust; and proposals for the development of worker housing in Mull via Rural Growth Deal. We are working within the Council and with our RSL and community group partners to identify suitable projects to utilise the £25m Scottish Government funding, including potential of repurposing of two buildings in Oban. 13. UPDATE FROM THE PREVIOUS SHIP SHIP 2019/20 to 2023/24: Building on the 446 units completed between 2019/20 and 2022/23, there were a further 70 units completed in 2023/24; bringing the five-year cumulative total to 516 affordable homes.
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43 The 70 completions during 2023/24 are below our ambitious annual affordable housing target of 215. Given the extremely challenging conditions over the last few years, resulting from the pandemic and the resultant supply chain issues this is still a positive outcome. This equates to 33% of the annual affordable Housing Supply Target outlined in the LHS. TABLE 12: LHS 2022-2027 Housing Supply Targets (HST) During 2023/24 two of the local RSLs contributed to the total programme. Link delivered 66 units at Dunbeg with ACHA completing 4 units at Eton Avenue in Dunoon. A number of other completions programmed for completion during 2023/24 remain on site having met delays that are contributing to the housing emergency in Argyll and Bute, such as supply chain issues and transport difficulties. In terms of tenure, 54 units (77%) were for social rent, 11 (16%) were new supply shared equity (NSSE) and 5 (7%) were for mid-market rent (MMR). Whilst the majority on units were for general needs housing (51), there were 7 amenity units and 12 wheelchair/specialist units delivered. TABLE 13: SHIP Completions 2023/24 14. THE REVISED PROGRAMME The current year, 2024/25, is covered by the Strategic Local Programme Agreement (SLPA) between the Council, the Scottish Government, and the developing RSLs, and the previous SHIP (approved in 2023); while this new SHIP will commence from 2025/26. The programme is subject to ongoing change as either barriers to progress or windfall opportunities arise. Consequently, the following tables summarise all proposals at the time of producing SHIP document, including those Argyll & Bute 2022/23 - 2026/27 2027/28 - 2031/32 2022/23 - 2031/32 Annual Target Total Annual Target Total 10 Year total Total HST 290 1,450 33 165 1,615 Affordable Housing 215 1,075 13 65 1,140 Private Market Housing 75 375 20 100 475 Project Housing Market Area (HMA) Developer Tenure Type of provision Number units Dunbeg Phase 3 Lorn LINK/ WHHA Social rent x 50, NSSE x 11 & MMR x 5 51 x General; 8 x Specialist/Wheelchair 7 x Amenity 66 Eton Avenue, Dunoon Cowal ACHA Social rent 4 x Specialist/ wheelchair 4 TOTAL 70
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44 projects, which are expected to complete in 2024/25 and for which funding has already been drawn down. The status of many future projects, particularly in the later years, remains provisional and purely indicative at this stage; some may not proceed, or complete, within the timescale. However, there is also scope for additional proposals to be brought forward or included in the programme. Further details of the programme and individual projects are outlined in the electronic reports recorded on the Scottish Government’s Housing and Regeneration Programme (HARP) system. TABLE 14: SHIP Projects Completions/Anticipated Completions in 2024/25 If this programme is successfully delivered in full within the planning period (plus completions in 2024/25), it could provide over 1,243 new affordable homes across Argyll and Bute by March 2030. Projects on islands account for 25% of properties to be developed by the SHIP, the rural mainland accounts for 12% of the programme; while 31% of units are in the key strategic settlements of Oban and Dunbeg; 11% in Helensburgh; with 15% in the other main towns of Dunoon, Campbeltown and Lochgilphead. Acquisitions will account for another 6%. There is an expectation that the majority of these units will be built to allow for future adaptation to meet changing needs over time. In addition approximately 10% (i.e. 124 units, if the programme is delivered in full) should be purpose-designed to medium or high dependency standards with potentially 62 of those units (5% of the total) being fully wheelchair accessible. In addition to this core programme, a number of other potential proposals are being developed for further consideration in later years of the SHIP, subject to robust assessments of need and demand, site assembly or acquisition, and available funding. Some of these projects therefore remain notional at this stage or are subject to development constraints that require to be addressed/ mitigated before they can proceed. These projects are also dependent on clarification of local need or potential demand to support growth and recovery agendas; and will be considered in future updates of the SHIP. Project address Developer Units Anticipated /Completion Date Jeannie Deans, Helensburgh Dunbritton HA 12 June 2024 Lochgilphead Baddens, Riverside Drive Fyne Homes 6 Nov 2024 Wilkie Houses, Rothesay Fyne Homes 8 March 2025 Imeraval Phase 4 Islay WHHA 20 July 2024 Port Appin Phase 1 WHHA 6 August 2024 Buyback Acquisitions ACHA 20 March 2025 Buyback Acquisitions Fyne Homes 1 March 2025 Argyll & Bute 2024/25 Total Completions (est.) 73 March 2025
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45 The Council will also continue to actively explore other sites and projects out with the core SHIP funding programme, as outlined in previous sections of this plan, where these are consistent with LDP policy/housing land provisions and align with high quality fit-for-purpose assessments of local housing need and demand. TABLE 15: SHIP Core Programme - Potential Completions by March 2030 Project Address Developer Units Anticipated Completion Bowmore Phase 4 ACHA 17 Year 1 (25/26) Dalintober ACHA 32 Year 1 (25/26) East Clyde Street ACHA 14 Year 1 (25/26) Various Acquistions ACHA 50 Year 1/5 (25/30) Carsaig (Tayvallich) ACHA 2 Year 2 (26/27) Inveraray ACHA 20 Year 2 (26/27) Glen Machrie Phase 1 ACHA 30 Year 2 (26/27) Tarbert Police Station ACHA 1 Year 2 (26/27) Tighcargaman, Port Ellen ACHA 60 Year 2 (26/27) Tiree ACHA 10 Year 2 (26/27) Dunchologan Gypsy/Travellers Site ACHA 7 Year 2 (26/27) Bay View Gypsy Travellers Site ACHA 4 Year 2 (26/27) Alexander Street, Phase 1 ACHA 35 Year 3 (27/28) Tarbert Phase 1 ACHA 20 Year 3 (27/28) Alexander Street, Phase 2 ACHA 35 Year 4 (28/29) Tarbert Phase 2 ACHA 10 Year 4 (28/29) Dunoon ACHA 16 Year 5 (29/30) Grant Street, Helensburgh DUNBRITTON HA 14 Year 1 (25/26) Cardross DUNBRITTON HA 30 Year 1 (25/26) 18th Tee, Helensburgh Golf Club DUNBRITTON HA 16 Year 3 (27/28) Helensburgh Golf Club DUNBRITTON HA 45 Year 4 (28/29) Succoth Phase 2, Arrochar DUNBRITTON HA 12 Year 5 (29/30) Ballochgoy FYNE HOMES 8 Year 1 (25/26) Inveraray Phase 1 FYNE HOMES 16 Year 1 (25/26) Baddens Phase 10 FYNE HOMES 14 Year 2 (26/27) Rothesay Academy Phase 1 FYNE HOMES 30 Year 3 (27/28) Lochgilphead Phase 6 - LDP2 Site FYNE HOMES 55 Year 3 (27/28) Inveraray Phase 2 FYNE HOMES 10 Year 4 (28/29) Rothesay Academy Phase 2 FYNE HOMES 35 Year 5 (29/30) Tighnabruaich Phase 2 FYNE HOMES 10 Year 5 (29/30) Luss LINK GROUP 8 Year 4 (28/29) Dunbeg phase 4 LINK GROUP 349 Year 5 (29/30) Imeraval Ph 5 WHHA 20 Year 1 (25/26) Colonsay WHHA 5 Year 1 (25/26) Dalmally Ph 1 WHHA 8 Year 1 (25/26) Shillinghill Ph 3 WHHA 10 Year 1 (25/26)
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46 Port Appin Ph 2 WHHA 6 Year 2 (26/27) Baliscate, Tobermory WHHA 12 Year 2 (26/27) Port Charlotte Ph 2 WHHA 17 Year 2 (26/27) Campbell St WHHA 4 Year 2 (26/27) Lochawe Phase Ph 1 WHHA 16 Year 3 (27/28) Salen, Isle of Mull WHHA 8 Year 4 (28/29) Craignure WHHA 12 Year 4 (28/29) Dalmally ph2 WHHA 6 Year 5 (29/30) WHHA – Old Hospital Site Ph 1 WHHA 25 Year 5 (29/30) WHHA - Bunessan Ph 2 WHHA 6 Year 5 (29/30) 1170 1 NB. Timescales are indicative and subject to change; and will be monitored regularly. Some projects could also revise their final number of units. RSLs have also identified future opportunities, which they will continue to develop. These projects could be included in the later years of the SHIP. For example, ACHA is exploring options for sites in Appin, Campbeltown, Dunoon, Lochgilphead, Inveraray, Coll, and on Mull such as Dervaig and Ulva, as well as further development sites on Islay. WHHA are considering sites in Oban town centre, and options for Kilchrenan, as well as Craignure. Dunbritton are keen to deliver more units in the Helensburgh area and exploring site opportunities. LINK Group continue to scope options for development sites in Oban including Glencruitten. Fyne Homes are looking at a site in Dunoon and options for Cairndow Phase 2. In addition, the Council are working with Trust Housing Association to deliver improvements to their existing stock in Strachur which will meet identified need and demand in the area. Finally, a number of community-led projects or private developments with associated affordable requirements, may be delivered out with the core SHIP programme and should deliver synergies with the SHIP. Several community projects are progressing, and while small in scale these community-based projects deliver substantial impacts at the local level, and help to ensure the viability and sustainability of fragile communities. Support for community groups including sharing good practice is facilitated via the Community Housing Network. The following table summarises the work being undertaken by our Community Housing Network partners on rural and island projects out with the core SHIP programme.
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47 TABLE 16: PROPOSED/POTENTIAL COMMUNITY-LED HOUSING PROJECTS ARGYLL AND BUTE - COMMUNITY LED HOUSING PROJECTS COMMUNITY GROUP PROJECT AREA NOTES ON PROJECT STAGE TOTAL UNITS (if relevant) Colonsay Community Development Scalasaig, Isle of Colonsay Houses scheduled for final completion in Autumn 2024. Allocation in progress 9 + 3 self build plots Luing Community Isle of Luing Detailed housing proposals prepared and to be submitted in Local Place Plan. Community Council engaging with second home owners encouraging them to sell or rent their properties – one home already transferred to rental market. Actively looking at open market acquisition. 12 Mull and Iona Community Trust Worker Accommodation House purchased with rural housing burden for key worker on the island 1 Worker Accommodation Tobermory Supporting A & B Council in the provision of worker accommodation in Tobermory. Works onsite. 12 Fishnish affordable housing Deep peat at potential Salen site made this project financially unfeasible. 3 South West Mull and Iona Development Ardmeanach View Bunessan Working with WHHA towards demonstrating Feasibility 6 Bunessan Village Exploring feasibility of site, funding for site purchase 5 or 6 Hebridean Trust Tiree Council funding to support bringing two properties back into use. 2 Tiree Community Development Tiree RIHF monies in place, site investigations are ongoing. 12 Isle of Gigha Heritage Trust Ardminish Units due for completion autumn 2024 5 Coll Community Housing Group Arinagour This group have engaged with the Council Housing Service regarding the provision of affordable housing. Land has been offered for this purpose. North West Mull Isle of Ulva Post Construction Management / Infrastructure Upgrade Tayvallich Initiative Tayvallich Progressing with application for rural housing body status. Draft approval in place pending clarification from Scottish Ministers. Community consultation on housing needs has been carried out
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48 Archie's Land, Tayvallich Procurement process agreed with developer CHT and a tender for an architect has been released. 10 15. MONITORING, REVIEW AND IMPACT ASSESSMENTS The SHIP will continue to be appraised on an annual basis by the Scottish Government. The affordable housing outcomes are monitored regularly by the Council’s Housing Management Team; local authority Members via the corporate performance management system; the overarching Community Planning Partnership via the ABOIP framework; and partners on the Strategic Housing Forum; as well as the boards and committees of the individual SHIP partners. In addition, as appropriate, wider stakeholder involvement will be sought via consultation with local communities, private developers and relevant particular interest groups. All pertinent feedback will help to inform the ongoing development and regular revisions of the SHIP. The Council has also been exploring potential mechanisms for establishing a wider evaluation framework to capture the broader social return on investment and economic impacts of the SHIP programme, as well as the basic cost effectiveness and value for money of specific projects. Working with RSL partners, the Council is keen to implement a formal evaluation procedure which will capture evidence on the wide range of strategic benefits that the SHIP actually delivers, beyond monitoring the basic number of completions. In 2021/22, the Council undertook a number of impact assessments during the LHS process. The SHIP is an investment plan which sits underneath the LHS and sets out how the LHS objectives can be delivered. Therefore, these impact assessments also inform the SHIP. The impact assessments can be found on the Council’s website. • Equality and Socio-Economic Impact Assessment lhs_eqseia_sept_2021.pdf (argyll- bute.gov.uk) • Child Rights and Wellbeing Impact Assessment childrens_rights_and_wellbeing_impact_acccessment_stage_abc_lhs_jan_2022.pdf (argyll- bute.gov.uk) • Health Impact Assessment APPENDIX 4: Template for scoping workshop reports (argyll- bute.gov.uk) • Islands and Communities Impact Assessment lhs_island_communities_impact_assessment.pdf (argyll-bute.gov.uk) In future, the Council will monitor and assess the impact of the SHIP and the LHS in terms of the aforementioned impact assessments and in line with the principles of the Fairer Scotland Duty. Any relevant findings from such assessments will be reflected in the SHIP and future updates of the LHS and other associated plans, policies and strategies.
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49 Strategic Environmental Assessment (SEA) As the “Responsible Authority” under the terms of the Environmental (Scotland) Act 2005, the Council has previously determined that the LHS (and by association it’s ancillary component, the SHIP) does not require a full SEA. sea_pre_screening_report_october_2021.pdf (argyll- bute.gov.uk) The primary document in relation to land use planning is the Local Development Plan which is subject to a full SEA and which will ultimately cover all housing projects set out in the SHIP. CONCLUSION The Argyll and Bute Strategic Housing Investment Plan for 2025/26 to 2029/30 sets out an ambitious but realistic programme for the delivery of 1,170 new affordable homes. The majority would be built to lifetime standards, allowing for future adaptation to meet changing needs over time; and around 10% will be purpose-designed for specialist needs, with half of those i.e., 5% of the total being fully wheelchair accessible. The programme reflects a strong commitment to Argyll and Bute’s economic growth agenda, and will directly support the sustainability, of fragile rural and island communities. The earlier years of the SHIP align with the LHS housing supply targets, published in 2022, of 215 new affordable homes per year; the later years are below the target. Several additional potential projects have also been suggested and are at an early stage of development. These projects are likely to be considerations in later years, although if needs are identified during the annual review of the programme, then these projects could be brought forward. In addition, the Council and partners continue to seek new opportunities which could raise the number of units in the later years of the SHIP to align with the 5 year LHS target of 1075 affordable units. The LHS targets take account of the Council’s ambitious strategic objectives as well as the potential increased demand for social housing arising from the current economic crisis and other worldwide events. The anticipated impacts of the Rural Growth Deal and other local and national resources and strategic imperatives for repopulation, recovery and growth; and therefore the scale of the proposed programme is likely to be more in line with actual requirements as well as our aspirational goals for Argyll and Bute. This SHIP clearly and directly aligns with the LHS and Argyll and Bute Outcome Improvement Plan (ABOIP) outcomes. It and sets out a core programme which is feasible to deliver; highlights the contribution of the Council, developers and other partners; evidences the support and facilitation role of the local authority; outlines the extensive stakeholder engagement underpinning the planning and delivery of the programme; and explicitly reflects the central importance of equality issues for all partners.
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50 Appendix 1 - Individual Open Market Purchases Statement January 2022 Scottish Government affordable housing supply guidance states:- “It is expected that the majority of homes delivered through the Programme will be new build units that are delivered either directly by grant applicants or through ‘off the shelf’ purchases from developers. However, where it can be demonstrated that the use of grant to acquire ‘second hand’ stock that is for sale on the open market is the most appropriate method of meeting housing need in a particular area, subsidy may be available to fund this, subject to agreement between the Council and the Scottish Government. Funding may also be made available to remodel/ rehabilitate existing properties where this is considered a strategic priority”. Argyll and Bute Council will consider a limited number of individual, second hand open market purchases if the following criteria are met: • There is a need for the size and type of housing in the town/settlement, (this will be determined by the current housing need and demand assessment) • Land availability and infrastructure issues are a barrier to delivering the affordable housing target in the area through new build development • The purchase will not result in homelessness • The purchase price must reflect the condition of the property. Second hand open market purchases will be prioritised as follows: 1. Where the purchase will assist the RSL to meet general housing need as identified in the HNDA and agreed with Argyll and Bute Council. 2. Where the purchase will assist the RSL to meet particular housing need as agreed with Argyll and Bute Council. 3. Where the purchase will bring an empty property back into occupation 4. Priority will be given to acquiring properties that are in good/reasonable condition. Each property will require a valuation and condition survey completed by the District Valuer or other RICS Chartered Surveyor. Vendors must pay their own costs. Applicants should note the following:- • Grant requested must be the minimum level of grant required to deliver the project. • Grant requested should exclude costs for any works normally funded by the Association’s capital maintenance/cyclical programme. • Streamlined submissions for acquisition only, the maximum Scottish Government grant will be up to £50,000 or 50% of the acquisition value, whichever is the lower. • Streamlined submissions for acquisition and works, grant will be up to £75,000 maximum for each property. This will encompass the purchase price and any works required to the property. • Where grant required for acquisition and works cost is higher than £75,000 a full value for money appraisal will be required and acquisitions should not be completed before confirmation of Scottish Government and Council agreement on the level of costs.
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51 APPENDIX 2 - SHIP DEVELOPMENTS ACROSS ARGYLL & BUTE: Projects in the Core Programme 2025-2030
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52 Appendix 3 – SSEN Argyll Strategy substation and overhead line locations
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53 THIS DOCUMENT IS AVAILABLE ON THE COUNCIL WEBSITE AT: Local Housing Strategy and Housing Need and Demand Assessment This document can be made available in other formats on request. Contact: LHS Team Argyll & Bute Council Telephone: 01546 604785 01369 708672 Email: localhousingstrategy@argyll-bute.gov.uk