The Scottish Government's Planning, Architecture and Regeneration Directorate has published a blog summarising the work which the Stalled Sites Short Life Working Group has been doing to help accelerate the delivery of homes in support of the national housing emergency. The blog highlights the Progress Report which was issued to Scottish Ministers in March, but is only now available on request by emailing DirectorPAR@gov.scot
The Group, which brings together the Scottish Government, Heads of Planning Scotland, Homes for Scotland, Scottish Property Federation and Scottish Federation of Housing Associations, was established to gather and review evidence on stalled housing sites and to work together to identify priority actions required to enable delivery of more homes.
For the purposes of the work a "stalled site" was defined as "a site which has planning permission but is not being built out". The Group then compiled a master list of 114 self-selected stalled sites across Scotland, covering 20,000 homes, which were considered to be representative of the range of challenges being experienced in housing development delivery.
The sites were categorised by key stages in the planning process from pre-application to completion and the list was refined further after investigation to focus on sites which together could deliver 11,000 units.
Ten strategic themes and actions thereunder were identified by the Group in January 2025 and the Progress Report summarises the actions and issues under each strategic theme and summarises the progress which has been made under each theme.
Affordable housing provision
The Group acknowledged that the reduction of affordable housing funding has had consequential impacts on market homes delivery. Where funding cannot be prioritised, it is expected that local authorities consider other flexible approaches to support delivery, such as unsubsidised low cost home ownership, off-site provision or commuted sums. Heads of Planning Scotland (HoPS) are to meet with Head of Housing to consider joint working across planning and housing systems to ensure that policy and practice is being appropriately applied. The More Homes Division in Scottish Government is to continue to lead on active engagement between local authorities and registered social landlords.
Flooding
Flooding was identified as an area of significant concern with sites either not being supported by NPF4 policy 22 or data gaps impacting on decision-making. The Report trails the publication of further advice on Policy 22 which has now been published in the latest Chief Planner's letter.
Specialist expertise
Status updates from each planning authority identified a number of areas where a specific resource within the authority was limited or not available, impacting on the timeframes for decisions. The Report highlights that discussions are ongoing on the National Planning Hub, including investigation of routes through which specialist expertise can be procured and made available to support authorities.
Market interest/viability
The Group identified that a range of sites are not progressing due to a current lack of developer interest for reasons including low market interest, limited supply chains and additional costs in more rural locations. The impact of developer contributions and site remediation costs impact on land values making landowners reluctant to sell the land. The Group raised these issues with the Housing Investment Taskforce Stalled Sites Sub Group to inform the Taskforce's recommendations and also with Scottish Futures Trust and the Scottish National Investment Bank for them to identify how they can support solutions on viability issues and market/investor interest. A CPD session to promote a proactive approach to delivery by planning authorities is being organised by the National Planning Improvement Lead.
Drainage
Drainage issues centre around financial viability, Scottish Water's definition of a greenfield site and the acceptability of approving further surface water into the drainage system. The Scottish Government team brought in Scottish Water who will connect with Homes for Scotland on guidance relating to connections and exceptions.
Transport, including road and rail
To unlock sites stalled for transport reasons, Transport Scotland identified the road infrastructure required and discussions continue over the extent to which flexible approaches could help to unlock significant sites. Transport Scotland will input into the work currently being done to update the circular on planning obligations.
Substantial variation in the approach and rates for roads bonds was also highlighted, with the particular impact the bonds have on SME housebuilders. HoPS are to connect with their Heads of Transport equivalent, SCOTS, and Scottish Government officials will bring the detail of the stalled sites work to their attention for input.
Education
The challenges around scale and timing of costs, sensitivities of school catchments reviews and possible delays were identified. The Scottish Government will consider a specific site in Fife in the first instance and are engaging with infrastructure and housing officials on financial guaranteed and the Housing Infrastructure Fund respectively. These discussions will also feed into the review of the Planning Obligations Circular.
Revenue costs
The Group discussed the longer-term revenue challenges which authorities face in taking an ambitious approach to more new homes as expected by NPF4, be that school provision, open space, roads, health or open space. There is a risk of funding gaps as capital costs increase and local authority budgets decrease and risk appetite varies between authorities. Scottish Government is preparing an issues paper, but it is identified, surprisingly perhaps, as a longer-term issue and not a priority.
Brownfield
To help unlock brownfield sites, Scottish Government will continue to engage with regeneration officials to influence considerations on the future of Shared Prosperity Funding.
Brokerage for specific sites and clusters of sites
Site specific brokerage has been offered by Scottish Government to 7 planning authorities covering 10 sites and is currently proceeding on sites in Fife, West Lothian, West Dunbartonshire and Aberdeenshire.
So what's next?
The Report anticipates ongoing progress at site level as well as strategic actions which will benefit multiple sites and the work will inform priorities for the National Planning Hub. The Group will:
- Continue to meet on a monthly basis or as required
- Progress brokerage with the authorities and developers who have agreed
- Progress the strategic actions with Scottish Government and key stakeholders
- Ensure the National Planning Hub builds on the Group's work to provide direct support and expertise to help improve performance
Key areas for future focus by the Group include:
- Strengthening place leadership to attract and drive delivery
- Identifying alternative approaches to funding and finance and pursuing investment options to facilitate delivery
- Further developing stakeholder roles and competence in enabling delivery
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