Announced by first minister John Swinney yesterday, the executive agency will focus on a number of key areas – large-scale affordable housing projects; rural and island housing; acquiring, preparing and releasing land; enabling infrastructure work to unlock stalled sites; and closer working with the Scottish National Investment Bank to make best use of private finance.

The Scottish Federation of Housing Associations said the announcement rightly recognises social and affordable housing as central to economic growth and tackling poverty. But SFHA stressed that any reform must be backed by significantly increased public investment, noting research showing annual funding of £1.6bn is required to meet Scotland’s housing need.

Chief executive Richard Meade said the agency must work “in partnership” with housing associations and co‑operatives and remain focused on delivering secure, warm and affordable homes.

“We know from the research, that over the course of the next parliament, meeting Scotland’s housing need will require annual public investment of £1.6bn to deliver the 15,693 social and affordable homes we must build each year,” he added.

The Glasgow and West of Scotland Forum of Housing Associations (GWSF) highlighted the historic role of Scottish Homes and Communities Scotland but questioned whether the new body’s remit will be narrower.

Chair John Hamilton warned against assuming that “ramping up efficiencies” can overcome the inherent complexities of new build, from challenging sites to planning delays.

He cautioned that large-scale delivery models have “never delivered what was promised” and urged government to better support existing community-led approaches that already work.

John Hamilton said: “The former national housing agency Scottish Homes and then Communities Scotland brought a dedicated housing focus, experience and expertise built up over a substantial period, seeking to address a wide range of housing needs across communities in our cities, towns and rural areas. It seems likely that the proposed new agency may have a somewhat narrower focus.

“No-one can argue against speeding up housing delivery, but experience suggests we need to be realistic and proportionate about what the FM refers to as ‘ramping up efficiencies’. New build is a tricky business, sites can be challenging, and then you have the planners.

“Homes need to be rooted in the communities people want to live in. Housing need isn’t going to be better met just by larger providers building larger-scale developments – we’ve been there before, more than once, and efforts to achieve economies of scale have never delivered what was promised. We have existing models which work, so why not just better support these if we’re wanting to escape the housing emergency?

“And our members don’t have any issues getting private finance for social housing, so we’ll assume for now that the reported need to make greater use of private finance applies to other provision, including the suggestion of initiatives to help younger people buy or rent.”

Shelter Scotland said the agency is “exactly” what it has been calling for, arguing that slow delivery is failing the 10,000 children in temporary accommodation and tens of thousands waiting for a home.

The charity warned that the current budget trajectory leaves Scotland 20,000 homes short of its 110,000‑home target by 2032, and said the new agency must be matched with the funding required to deliver at scale.

Director Alison Watson, said: “Shelter Scotland is already working with researchers at University of Glasgow to set out what a national agency with powers to acquire land and speed up delivery should look like. We welcome the opportunity to work with Ministers, housing professionals and most importantly the people who need a home to turn that idea into a new force to help end the national housing emergency.

“Today’s announcement is a step in the right direction, but it must also be matched by the funds to build the homes we need. Last week’s Scottish budget set the ambition of building 36,000 affordable homes by 2030 – more than 20,000 short of where the Scottish Government will need to be to deliver their promise of 110,000 affordable homes by 2032. Today they have shown they are willing to do things differently, let’s hope that ambition is matched by the money needed to make it a reality.”

Homes for Scotland described the move as a “bold” and overdue intervention that could stimulate private sector confidence if commercial insight is built into the agency’s design.

The organisation said the all‑tenure approach is essential and confirmed it is ready to contribute on behalf of members who deliver the majority of new homes in Scotland.

Jane Wood, chief executive, added: “With it now approaching two years since a national housing emergency was declared, this is an important and much-needed intervention from the Scottish Government which we have long called for. We applaud the First Minister and Cabinet Secretary for Housing on this bold move which seeks to introduce simplicity, scale and speed.

“There is clearly much detail to be worked through but the impact of this announcement and the Scottish Government’s restated commitment to an all-tenure approach should not be underestimated in terms of its potential to stimulate both private sector confidence and investment.

“In order to make sure that the ambitions of the Scottish Government are achieved, it is now essential that commercial insight and all-tenure expertise feed directly into the design phase. Homes for Scotland is ready to play its full role in this on behalf of members who together deliver the vast majority of all new homes built in Scotland.”

The Scottish Property Federation said a single national body could accelerate decision‑making and unlock stalled sites through strategic land assembly and infrastructure investment.

SPF emphasised the importance of aligning the agency with the Scottish National Investment Bank to maximise both public and private capital.

SPF chair, Jonathan Guthrie, said: “The SPF has long worked across the sector to champion more effective and coordinated housing delivery, and we welcome this new intervention and structure as an important step forward. We look forward to continuing to work with ministers and officials on the detailed design and remit of More Homes Scotland, ensuring it supports a joined-up approach to planning, investment and delivery.”

RICS Scotland welcomed the announcement as consistent with its Surveying Scotland manifesto, saying better coordination across land, finance and delivery could improve outcomes across all tenures.

Robert Toomey, senior public affairs manager, RICS Scotland, said: “Bringing greater alignment across land, funding and delivery has the potential to improve outcomes across all tenures. Surveyors play a critical role in unlocking sites, assuring quality and supporting viable development, and RICS looks forward to engaging constructively to help ensure the new agency delivers homes at pace while maintaining high standards.”

Scottish Land & Estates said the agency could provide the leadership and practical expertise needed to overcome barriers to rural and island housing delivery.

With rural communities facing acute affordability pressures and depopulation, SLE welcomed the explicit commitment to prioritise these areas.

Anna Gardiner, senior policy adviser (business & property) at Scottish Land & Estates, said: “A single, national agency with a clear and dedicated focus on delivering new homes has potential to help address Scotland’s housing shortage and provide greater momentum behind new development.

“We particularly welcome the Scottish Government’s recognition that rural and island housing must be a priority, as communities across Scotland continue to face acute pressures on availability and affordability.

“Scottish Land & Estates and its members have a genuine commitment to delivering more homes in rural Scotland, and we hope that a new agency can provide the leadership, practical expertise and joined-up approach needed to help overcome the barriers that currently exist. By doing so, it has the potential not only to unlock much-needed housing, but also to make a meaningful contribution to tackling rural depopulation - an issue we have long argued requires sustained, coordinated action.”

The agency is expected to begin operating in 2027–28, becoming fully functional in 2028–29, subject to the Scottish Parliament election.