Proposed community led housing scheme welcomed by councillors
A funding pot worth £200,000 in total could be made available to organisations for community led housing projects as part of a new pilot scheme
TWO hundred thousand pounds brought in from increased council tax rates on second homes could be made available for a new community led housing funding scheme.
Community led housing is described as local people solving local housing problems, creating long-term affordable homes.
A number of local community development organisations in Shetland have already been exploring community led housing, with North Yell Development Council for example buying its first property last year.
Northmavine Community Development Company also has hopes to build housing in Urafirth.
Shetland Islands Council (SIC) is proposing the new funding scheme to bridge an apparent gap in other national grant schemes caused by the capital cost of house building in Shetland.
Approval for the £200,000 funding scheme is now going through various SIC committees, with the final green light expected to come at a meeting of the full council on 1 July.
The scheme would be open to organisations like community groups, charities or social enterprises for capital costs.
It could be used for the provision of affordable new build homes, renovation or restoration of empty properties and conversion of commercial or non-domestic buildings.
The scheme would be able to provide a grant of up to £50,000 per project, with only one grant able to be awarded per organisation.
Access would be dependent, amongst other things, on a prior successful application to the Scottish Government’s rural and islands housing fund and/or the Scottish Land Fund.
The Shetland Community Benefit Fund, which distributes money from SSE’s Viking wind farm, is also currently funding consultants who can provide organisations information on community led housing.
The proposed pilot scheme was given a warm welcome by members of the SIC’s development committee on Wednesday.
The SIC’s community planning team leader Emma Perring said community led housing can be a means to support relatively low numbers of homes in more remote areas – something which may not be possible of other organisations.
She confirmed that if the pilot is a success then it could be made permanent.
SIC leader Emma Macdonald said it was “really positive” for Shetland.
“We know the housing is one of our biggest challenges, we know that we need to find solutions,” she said.
“And we also know that our rural communities need to be part of that solution.”
Stephen Leask also said he was sure that the development company in Bressay, which is located in his ward, would be “delighted” by the scheme given they are interested in housing.
“I feel that this is a very worthwhile scheme,” he added.
Leask’s ward colleague Gary Robinson said he has already informed interested parties about the report going to councillors – with a “warm welcome” coming back in return.
He also said it was significant that the Shetland Community Benefit Fund is supporting community led housing through the consultants.
The report to councillors highlighted how Orkney Islands Council (OIC) established its own scheme in 2021 using Covid funding which was designed to support community led housing.
In February the OIC agreed that £200,000 be set aside from the 100 per cent council tax surcharge on second homes to finance the scheme.
At this time, the fund has continued to six projects in Orkney.
Shetland Central member Davie Sandison said following in Orkney’s footsteps was the “right way to go”.
Closing off the discussion was development committee chair Dennis Leask, who said it was a “superb” project while praising Perring’s work on the topic.
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