A new report from the regulator reveals a significant rise in lending, signalling growing investor confidence in the sector. The report analyses registered social landlords’ (RSLs’) loan portfolio returns for the period April 2024 to March 2025.

During 2024/25, both the number of RSLs securing new finance and the overall value of funding arranged increased significantly, compared to the previous year.

RSLs raised £563 million in new funding during 2024/25 through banks and capital markets, with the vast majority being used to support building new houses. Looking ahead, RSLs plan to increase borrowing by a further £1.3bn over the next five years to support future development programmes and continued investment in existing homes. The regulator’s latest report also highlights RSLs’ ability to attract new investors.

Shaun Keenan, assistant director of financial regulation, said: “Scotland’s RSLs have, in general, maintained sufficient liquidity to navigate a challenging operating environment shaped by a national housing emergency, inflationary pressures, and evolving demands on their resources.

“Our latest report underscores the continued financial resilience of RSLs, which enables ongoing investment in both new and existing homes.

“Two new lenders – Social and Sustainable Capital and Pricoa Private Capital – began lending to RSLs in 2024/25, alongside increased commitments from existing funders. This continued investment reflects strong confidence in RSLs and our regulatory framework.”