Charitable Bonds Investment Reaches Half a Billion
Additional investment of £24 million through an innovative programme to deliver affordable homes across Scotland will see total funding in the scheme reach half a billion pounds.
Started in 2014, the Charitable Bonds scheme provides loans to housing associations to build properties for social rent, while also generating additional funds for the Scottish Government’s affordable housing budget.
So far, the programme has supported the delivery of more than 4,000 new homes through direct loans to Registered Social Landlords. This has generated a further £146 million to support the delivery of 1,300 social rented homes.
Social Justice Secretary Shirley-Anne Somerville confirmed that additional investment will support the issuing of new bonds to three housing associations.
Link Group, Kingdom Housing Association and Wheatley Group will be provided with loan finance to build around 175 homes while generating additional funds for future projects.
We need to use all the tools available to deliver more new affordable homes and help tackle the housing emergency. The Charitable Bonds programme has successfully supplemented investment in our affordable housing budget while also allowing social landlords to access additional borrowing to build much needed new homes.
SOCIAL JUSTICE SECRETARY, SHIRLEY-ANNE SOMERVILLE
Taking our investment to more than £500 million demonstrates our commitment to continue that success and see more affordable homes built – building on the 4,000 already delivered through this scheme.
We will also continue to support the delivery of social homes through the £768 million investment in affordable housing over the next financial year which will enable the delivery of at least 8,000 more homes, as set out in the Scottish Government’s Budget – an increase of more than £200 million.
The Scottish Government is committed to tackling the housing emergency – and while there is more to do, there is real progress being delivered.
We’ve built over 133,000 affordable homes across Scotland-leading the way in the UK. And we’re not stopping there.
— The SNP (@theSNP) February 26, 2025
We’re committed to delivering 110,000 more by 2032, with the majority for social rent, ensuring warm, safe, and affordable housing for those who need it most. pic.twitter.com/RiNspACubd
It’s never been more crucial that we deliver many more secure, warm and affordable homes. The Charitable Bonds scheme is an important part of doing so, and it’s great to see SFHA members receiving these funds to deliver the homes we desperately need.
SALLY THOMAS, SCOTTISH FEDERATION OF HOUSING ASSOCIATIONS CEO
Social homes make lives and places better. As we move forward, working our way out of the housing emergency, continuing, consistent and multi-year government investment in our social homes will be essential – not only to provide the homes we need but also to tackle poverty and help us create a fairer Scotland.
