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Salmond in bid to boost housing | Salmond in bid to boost housing |
(about 12 hours later) | |
First Minister Alex Salmond has announced plans to increase the budget for building affordable homes. | First Minister Alex Salmond has announced plans to increase the budget for building affordable homes. |
He unveiled the plans ahead of giving the Donald Dewar lecture at the Edinburgh Book Festival on how Scotland will address global challenges. | He unveiled the plans ahead of giving the Donald Dewar lecture at the Edinburgh Book Festival on how Scotland will address global challenges. |
Mr Salmond said that up to £100m could be brought forward to be spent this year and next rather than 2010-11. | Mr Salmond said that up to £100m could be brought forward to be spent this year and next rather than 2010-11. |
The Labour Party branded the move a U-turn and said it had consistently called for these "cuts" to be reversed. | |
Housing Associations had lobbied the government to release money to deal with the crisis in house building. | Housing Associations had lobbied the government to release money to deal with the crisis in house building. |
Mr Salmond said that about £60m would come from the Affordable Housing Investment Programme. | Mr Salmond said that about £60m would come from the Affordable Housing Investment Programme. |
A further £40m may be brought forward from local authorities. | A further £40m may be brought forward from local authorities. |
The Scottish Federation of Housing Associations said the move would give the construction industry and the affordable housing sector a boost. | The Scottish Federation of Housing Associations said the move would give the construction industry and the affordable housing sector a boost. |
However, they said it would not solve the problems of either. | However, they said it would not solve the problems of either. |
We will not simply sit back and wait for conditions to get better Alex Salmond | We will not simply sit back and wait for conditions to get better Alex Salmond |
Mr Salmond said: "The global economic downturn is affecting economies across the world, and clearly Scotland cannot be fully insulated from its effects. | Mr Salmond said: "The global economic downturn is affecting economies across the world, and clearly Scotland cannot be fully insulated from its effects. |
"But there are two reasons why the economic outlook for Scotland is positive. | "But there are two reasons why the economic outlook for Scotland is positive. |
"First, the Scottish economy continues to show encouraging signs of resilience. Second, Scotland has a Government that, despite its limited economic powers, will take decisive action to strengthen our performance and prospects. | "First, the Scottish economy continues to show encouraging signs of resilience. Second, Scotland has a Government that, despite its limited economic powers, will take decisive action to strengthen our performance and prospects. |
"We will not simply sit back and wait for conditions to get better." | "We will not simply sit back and wait for conditions to get better." |
But Labour enterprise spokeswoman Elaine Murray said: "Alex Salmond has perhaps recognised the folly of his proposal to cut housing association budgets by £90m, but nobody should be fooled that this announcement means extra funding. | |
"Labour has consistently called for these cuts to be reversed. The SNP's U-turn after sustained pressure is a first step, but it does not go far enough. | |
"House builders are reporting that 15,000 workers have already been laid off as a result of the credit crunch. We need imaginative solutions to help the industry in these difficult times." | |
The full programme outlined in the Donald Dewar lecture included plans for new criteria for housing associations to buy unsold stock or land. | The full programme outlined in the Donald Dewar lecture included plans for new criteria for housing associations to buy unsold stock or land. |
The government wants to speed up the investment of £180m already committed from European funds to stimulate the Scottish economy. | The government wants to speed up the investment of £180m already committed from European funds to stimulate the Scottish economy. |
A review of the system of developer contributions is to be postponed to avoid placing new burdens on development. | A review of the system of developer contributions is to be postponed to avoid placing new burdens on development. |
And Mr Salmond said he hoped to reap the benefits of the Homecoming events, designed to bring Scots from across the world back to the country for celebrations in 2009. | And Mr Salmond said he hoped to reap the benefits of the Homecoming events, designed to bring Scots from across the world back to the country for celebrations in 2009. |