Nearly 325 new rural homes are set to be built across Scotland, thanks to government funding for affordable house building.

Across Scotland, land owners and community groups will share £5m to build 75 new affordable homes - exclusively for renting - in villages and communities across Scotland.

Nine rural areas across Scotland will benefit from the pilot scheme, including Aberdeenshire with 12 new homes planned, Argyll & Bute with 20 and Fife with 10.

Also, on the west coast, over 240 new affordable rural homes are being created in Oban and Lochgilphead with the help of accelerated funding from the Scottish Government's economic recovery plan.

Overall, a record £1.5bn is being invested in affordable housing across the country, over the next three years.

Visiting the two major land sites on the west coast today, Housing and Communities Minister Alex Neil said: "This funding will make a real difference to many small rural communities and provide good quality homes that people can afford. These are challenging economic times for small businesses and families in rural communities so we are doing everything we can to support them.


"This is part of our wider economic recovery plan, a blueprint to help safeguard jobs, support the construction industry and keep the economy moving. The benefits of this programme will be felt in the short term, while the long-term benefits of our investment will be felt for years to come."

Scottish Rural Property and Business Association Chairman Luke Borwick said: "Affordable housing is central to the sustainability of our rural communities, and the SRPBA has long contended that the private rented sector has a greater role to play in its provision.

"We are delighted that the Scottish Government is providing financial support to rural landowners to develop quality homes in a cost effective manner."

Successful applicants and areas to benefit from the Scottish Government's £5 million Rural Homes to Rent pilot scheme, are as follows:

Over 150 new affordable homes will be built at a new site in Dunbeg in Argyll & Bute. The Houses will be for rent, for private sale, with help for buyers through the Scottish Government's shared equity scheme on offer. The Scottish Government provided £1.5m through accelerated funding for our affordable housing building programme, to help acquire the £1.9m site.

Over 96 new homes will be built at two adjacent sites in Lochgilphead. The Scottish Government provided £800,000 to support the project costs. The project will sustain local jobs as well as offering around 10 new apprenticeships.

(GK/JM)