Will it be good for social landlords?
Former chief executive of a Scottish housing association believes a vote for independence could potentially result in greater public investment into housing as well as encourage new creative policy ideas within the country. Furthermore, a combination of benefit reforms and a greater public investment in housing could benefit many landlords in the social sector, as well as the fact that the the Scottish National party (SNP) has promised to eliminate the bedroom tax within the 1st year of independence.
Independence is also likely to result in more innovation in the housing market, as explained by Rod Hunter; ‘A yes vote could also be an opportunity for new policy thinking, in particular building on the idea of housing associations as anchor organisations, assisting with regeneration and acting as catalysts to improve neighbourhoods
Or bad for social landlords?
However, Rod Hunter, director at housing association training group Share, claimed that in the short-term very little would change for social landlords regardless of whether the referendum declares Scotland as a free state.
How will this effect private landlords?
Regardless of the referendum, a Scottish rate of income tax is set to be introduced in 2016 having been accepted by Westminster. Although this will come with benefits, it also poses uncertainties over the currency and credit rating of an independent Scotland, and to what degree the Bank of England will limit Scotland’s ability to set interest rates. All of which will be vital concerns for private landlords.
Henceforth, a combination of uncertainty over the currency and central bank of a separate Scotland, is likely to result in less investment into the private rental sector, according to James Kelly, Scottish Labour MSP for Rutherglen Shadow.
More more information on the social rental sector, click here
For more information on the private rental sector, click here
Referendum consultation – press conference, licensed by CC