Land reform campaigners and community landowners have called for a £25 million annual fund to maintain Scotland’s “world-beating” progress towards community ownership of land and buildings.

Such is the demand for community ownership across Scotland that the Scottish Land Fund (SLF), which provides funding for the scoping and purchase of community buyouts. is heavily oversubscribed with applications this year. 

At the same time, applications to SLF have now paused as this term of the Scottish Parliament comes to an end.

The SLF, which was established in 2001 by the National Lottery’s New Opportunities Fund, was created to help rural communities take ownership of land and assets that matter to them.

Between 2015 and 2024, the fund awarded over £50m to more than 300 community organisations.

Supporters and campaigners say the astonishing success of the fund to date should be maintained and accelerated with an increase in its current annual budget.

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Such is the demand for community buyouts, it is estimated that there are about 150 projects waiting to request funding, with an estimated capital request value of £23m.

Community organisations are calling for a £15m annual budget next year, rising to £25 million by 2031.

Funding is now provided by the Scottish Government and delivered in partnership through The National Lottery Community Fund, and Highlands and Islands Enterprise.

Linsay Chalmers, Director of Communities and Operations at Community Land Scotland, the main organisation promoting and supporting community ownership of land and buildings, said: “The Scottish Land Fund has transformed Scotland’s communities. It is fantastic value for money and has a huge beneficial impact for communities, economies and the environment all over Scotland. It has given communities the tools to tackle really challenging problems like rural depopulation and urban decline – often succeeding when other approaches to regeneration have failed.”

Since 2011, over £77million has been invested into 394 rural community projects and 71 urban community projects, while 121,609 acres of land has been brought into community ownership with support from the Scottish Land Fund.

“Many hundreds of communities have benefited with essential purchase and start-up funding and development”, Ms Chalmers added.

The Isle of Gigha was purchased by its community in 2002 through the Isle of Gigha Heritage Trust (IGHT) for approximately £4 million(Image: HELP)

“These communities all over the country, have often been totally revitalised and brought to life with land projects, affordable housing, renewable energy, community facilities and biodiversity projects amongst many others– all for less  than one mile of urban tramline.”

Projects funded by SLF must be community led, controlled by local residents, and benefit a clearly defined geographic area with any income reinvested locally.

Ms Chalmers said: “It is superb value for money. The fund should now see an annual increase. The Scottish Government had originally aimed for a £20 million annual budget by 2026, so our argument for  £25 million annual target by 2031,  is  realistic and reasonable.

“We know that Scotland has one of the most unregulated land markets in Europe which is a major challenge. But Scotland’s community ownership movement is world-beating in many ways. People come from across the world to see how our communities have tackled depopulation and developed innovative community energy projects and we need to build on that success.”

Scottish Land Fund Committee Chair, Cara Gillespie, added:  “The Scottish Land Fund has been a transformative force for communities across Scotland — from the Highlands to our cities — empowering local people to take ownership of land and buildings and use them to deliver lasting social and economic benefits.

“With millions of pounds invested to date, the impact has been both wide-reaching and deeply felt. As demand continues to grow, it’s clear there is an appetite for even more ambitious community ownership.

“Continued — and enhanced — investment in the Scottish Land Fund is vital to sustain this momentum and ensure more communities have the opportunity to shape their own future.”

Amongst the successful projects supported by SLF, in 2002 the Fund supported the community buyout of the Isle of Gigha with grants and loans towards part of the £4m purchase cost.

Since the buyout, the island’s population has bucked the trend for many Highland Communities, seeing a huge rise in population – from 92 to 170 – over the last 23 years.

Three community run wind turbines help finance various enterprises including developments in a local hotel, shop, restaurant and accommodation.  

Land Reform Secretary Mairi Gougeon said: “Despite significant UK Government cuts to our capital budget in previous years, we continue to support and invest in community ownership of land and buildings.

“The SLF is an incredible success in supporting communities, with the most recent round of awards announced just weeks ago. I have seen for myself the benefits to communities from the more than £32m the Scottish Government has provided to the Scottish Land Fund since 2021. The fund nurtures and delivers projects that bring people together and provide vital resources to areas all across Scotland, particularly in our rural and island regions.”