Call to re-introduce croft house loans

07 October 2009

Peter Peacock is calling for croft house loans scheme to be re-introduced.

The North MSP made the call during a Holyrood debate on rural housing.

The debate followed a detailed report by the Rural Affairs Committee of Parliament into rural housing which unanimously recommended the scheme be re-introduced.

Mr Peacock said: "The rural affairs committee of parliament unanimously recommended that the croft house loans be restored, but the government is refusing to act on that recommendation.

"It is hugely disappointing that the Scottish government arenít heeding the advice of the Committee on this issue.

"They have received little support for their crofting proposals which sought to promote more private borrowing for house building and to spend large sums of cash on a new registration system to allow that to happen, but they are ignoring the suggestions of parliament.

"The £1.5m for the register they propose could be used to set up the new loans fund."

Mr Peacock added : "This is not the only issue of vital importance to rural housing to arise in this debate.

"I am also disappointed at the lack of government action over the cut in funding to Housing Associations. "That cut together with changes to the rules governing their finances is making their lives much more difficult and will have the effect of slowing down rural house development.

"The supply of rural housing remains a real challenge which, if not tackled more effectively will continue to hold back economic development.

"I am calling for a range of new measures to be taken to better support the most pressured areas where locals were finding it difficult to compete to meet the prices incomers are able to pay."

 

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