Housing plea

Springfield boss says rent cap must be removed

Innes-Smith
Innes Smith: well-positioned to build rented homes

Springfield Properties’ chief executive Innes Smith wants the Scottish Government to remove the rent cap to enable homes to built for rent.

Mr Smith said the company is well-positioned to benefit from any resumption in the private rented sector activity.

“Thanks to our land holdings in the Highlands, we are set to benefit from the expected sharp increase in housing demand around the Inverness and Cromarty Firth Green Freeport,” he said in a trading update.

Thousands of jobs are promised in the area from recent investment in renewables projects, but more houses will be needed.

Mr Smith says Springfield expects pre-tax profit to be slightly ahead of market expectations as a result of £28 million made on land sales.

The Elgin-based company said it is on track to meet market expectations for FY 2025, with revenue remaining stable year-on-year.

Mr Smith said a key priority for the year was reducing debt and the company is cautiously optimistic about the year ahead.

“Many fundamentals that underpin homebuyer confidence are set to strengthen, including a new UK government, decreasing inflation and an anticipated interest rate reduction. Alongside this, we remain on track to deliver strong growth in FY 2025 in affordable housing, offsetting the expected small decline in our private sales.

“Looking forward, we trust that the Scottish Government will take action to address Scotland’s housing emergency, which must include the removal of the rent cap barriers to attract PRS investment north of the border.

“With one of the largest land banks in Scotland, and with a high proportion of sites already having planning in place, we are well-positioned to benefit from any resumption in PRS activity, which would represent an upside to our forecasts.

“In addition, thanks to our land holdings in the Highlands, we are set to benefit from the expected sharp increase in housing demand around the Inverness and Cromarty Firth Green Freeport.

“Accordingly, while the market currently remains subdued, we are trading in line with our expectations and are encouraged by the signs for optimism.

“In addition, with the strengthening of our balance sheet, we are well-positioned to be able to capitalise on the pent-up demand for high-quality, energy efficient housing as market conditions improve.”



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