Houses in Edinburgh from above

Record year of delivery as Edinburgh exceeds affordable housing target

The City of Edinburgh Council has exceeded its annual affordable housing target, delivering its highest number of completions on record and increasing investment to address the city’s growing housing pressures.

In the 2025/26 financial year, a total of 1,473 affordable homes were completed or purchased by the council and its housing association partners, surpassing the target of 1,368 homes.

The milestone marks the largest number of completions in a single year since the Affordable Housing Supply Programme began.

Alongside the record number of completed homes, the programme continues to build momentum.

During the same period:

  • 994 homes were approved for construction
  • Work began on 1,004 new sites

This pipeline reflects a sustained effort to increase housing supply across the city, with delivery taking place at scale through a mix of new build and acquisition schemes.

Edinburgh also recorded its highest ever level of investment in affordable housing during the past year.

Almost £74 million was spent in 2025/26, significantly exceeding the previous record of £55 million in a single financial year since the programme started in 2007.

Council leaders say the increased funding is essential to tackling housing pressures and supporting people in need of secure, affordable homes.

The strong performance comes ahead of an even larger long‑term commitment.

In February 2026, the council approved a record £1.6 billion investment in affordable housing and improved temporary accommodation as part of its budget.

The funding is aimed at addressing the city’s declared housing emergency, with a focus on significantly increasing supply and reducing reliance on temporary accommodation.

The programme includes a range of delivery approaches beyond traditional grant‑funded housing.

Recent activity includes:

  • 170 housing approvals
  • 140 site starts
  • 329 completions

These were delivered through schemes requiring little or no grant funding, including:

  • The Scottish Government’s Open Market Shared Equity (OMSE) scheme
  • Low‑cost home ownership initiatives
  • Mid‑market rent developments
  • Private sector Build to Rent (BTR) projects

This mix of approaches is designed to maximise delivery and provide housing options for a wider range of residents.

In addition to new‑build schemes, the council has also focused on property acquisition as a key element of its strategy.

Using £28.685 million from the National Acquisition Programme, the council purchased 341 homes during 2025/26.

These homes are being used to alleviate pressure on temporary accommodation, helping to reduce reliance on hotels and emergency housing and provide more stable living arrangements for families and individuals.

Housing, Homelessness and Fair Work Convener at the City of Edinburgh Council, Cllr Tim Pogson, said:

“These figures are extremely encouraging, and demonstrate the progress being made towards meeting the huge demand for housing in Edinburgh.

“An enormous amount of planning and collaboration goes into delivering homes on this scale, so I’d like to thank officers and partners for coming together to achieve this.

“Of course, the Capital is still under significant pressure, with many living with housing need. However, I’m confident that with smart investment and partnership working we’ll continue to make real inroads into tackling these issues.”

Edinburgh affordable housing QUOTE

By exceeding annual targets and investing at record levels, the council aims to accelerate progress in addressing both short‑term housing needs and long‑term supply challenges.

With the pipeline of projects growing and substantial funding now committed, the council is expecting continued expansion of affordable housing delivery over the coming years.

The significant increase in completions, supported by major ongoing investment, positions Edinburgh to make meaningful progress in tackling housing inequality and improving access to affordable homes across the city.

 

Image credit: iStock

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