In June 2024, Homes for Scotland (HFS) took a bold step to fill a glaring gap in our national housing data. Our landmark report, Scotland’s SME Home Builders 2024: Data Review and Industry Insights, brought together for the first time a comprehensive picture of the state of Scotland’s SME home building sector—laying bare the vital role these businesses play, the ground they build on and the pressures threatening their survival.

The findings were sobering: since 2007, the number of SME home builders in Scotland has plummeted by two-thirds. 2023 alone saw a record number of dissolutions. The warning lights are flashing—and have been for some time.

Last week, Homes for Scotland (HFS) published a report revealing a concerning decline in the small and medium enterprise (SME) home building sector. A day later, the Scottish Government released its quarterly housing statistics. Neither paint a positive picture.

With just two weeks to go until Scotland’s annual event for innovation in business, the CAN DO Innovation Summit, I’ve been reflecting on how to best support start-ups and small to medium sized enterprises (SMEs) to implement innovation to boost productivity for economic sustainability and social value.

With over 358,000 small and medium-sized enterprises (SMEs) in Scotland, accounting for over 99 percent of all private sector firms, SMEs are crucial for the economic and social success of this country.