The Scottish Government has reopened a loan scheme to build more affordable homes.

For six years, Allia C&C has worked with Scottish Government to distribute over £200 million of funds through loans and grants, supporting the creation of more than 6,000 affordable units and bedspaces. This included £2.8million towards the construction of 30 homes for Orkney Housing Association (OHAL).

Peter Freer, Director for Scotland at Allia C&C, said:

“This programme provides a form of unsecured finance that isn’t otherwise available in the market to enable Scottish housing associations to deliver much needed affordable homes.

“We’re delighted to continue our successful eight-year partnership with the Scottish Government with an even greater target for investment across the sector over the next four years.”

Under the Charitable Bond programme, registered housing associations can access the loans with up to £80 million available in the current financial year. The interest paid will be reinvested as grants into the social rented sector, further boosting the supply of affordable housing.