Community ownership has been a significant feature of Scotland’s land reform agenda since the introduction of the first community rights to buy under the Land Reform (Scotland) Act of 2003.
According to an assessment published by the Scottish Government in 2025, there has been a steady growth in assets being managed by communities, with 853 assets in the hands of 503 distinct community groups, covering 2.7% of Scotland’s total land area. Against this backdrop, the Scottish Land Commission’s ‘Next Steps for Community Ownership in Scotland’ report examines whether the current framework can support further growth of community ownership and sets recommendations as to how community ownership can be made more accessible and sustainable.
The proposals set out in the report may have implications for how landowners engage with prospective community purchasers since the broad suggestions therein support strengthening the support available to communities seeking to acquire land and assets.
Financial Challenges
Whilst there remains clear interest in community ownership, the report identifies funding as a key barrier restricting further acquisitions by communities.
The Scottish Government’s 2021-22 Programme for Government, committed to doubling the Scottish Land Fund – the primary source of funding available to support community acquisition of land and buildings – from £10 million to £20 million by 2026 however, despite this pledge, the fund was reduced in 2024.
The Commission argue that demand from communities to acquire land now outstrips available support and that whilst funding such as the Scottish Land Fund currently supports the initial acquisition of an asset, many community projects struggle to remain viable long term due to a lack of post-acquisition funding. In addition, the Scottish Land Fund operates on a yearly cycle, which leaves communities threatened with a loss of their funding should a sale not be completed within the allotted community right to buy timescales, particularly for larger, more complicated projects.
In response to this, the Scottish Land Commission has outlined a few measures that could be taken to resolve these issues. The Commission’s recommendations extend beyond simply increasing the Scottish Land Fund budget. It advocates a review of current and potential post-acquisition funding opportunities, and the exploration of alternative finance models, including greater flexibility to support strategic or high-value purchases where funding caps may be restrictive. These measures could include a role for the Scottish National Investment Bank. Furthermore, the Commission is of the opinion that the yearly cycle of the Scottish Land Fund should be replaced with multi-year funding which would ease the constraints placed upon larger community projects.
Administration, Ownership Structures, and Support
The report also identifies significant procedural barriers to community ownership. Stakeholders repeatedly cited the complex and lengthy mechanisms in place for community acquisition, which can be difficult for volunteer-led organisations to navigate, as discouraging engagement with the process. Furthermore, stakeholders suggested that the Community Right to Buy mechanism can, in some cases, overcomplicate transactions that may otherwise be achieved through direct communication with landowners. This process has contributed to an overreliance upon the Scottish Land Fund. The report suggests that many community organisations lack the expertise and organisational capacity required to access alternative forms of finance. Combined with funding pressures, this reliance on volunteers often limits access to legal advice and professional expertise, a challenge further compounded by inconsistent support from public bodies. The consequences range from dealing with better resourced and advised communities, to difficulties identifying appropriate funding, and operational models.
In response, the Commission make a series of recommendations and emphasise the importance of stronger support networks, clearer communication regarding acquisition opportunities and greater access to specialist advice at the earliest stages of a project. This could be achieved through expanding long-term funding given to supporting organisations such as Highlands and Islands Enterprise, thereby improving available support for community acquisition and project development. These measures would help make Community Right to Buy more accessible, whilst improving awareness of alternative project structures and streams of funding. Significantly, the report challenged the assumption that outright ownership is the only means of developing communities. Stakeholders highlighted the potential benefits of alternative ways that communities may occupy land such as long-term leases and management agreements, which can provide a similar control over local assets, but without the financial commitments and risks associated with outright ownership, and lack of post-acquisition funding. The Commission was receptive to these views and suggested a review of support and funding for alternatives to ownership however, the issues around potential security of tenure these forms of tenure may create are not explored within the report.
Conclusion
The central message of the report is that whilst demand for community ownership in Scotland, grows and support from the public for it increases, reform to address issues surrounding communities’ current access to funding, acquisition processes and specialist support require reform. Whilst the Commission’s recommendations are primarily directed at government and public bodies, they are of relevance to private landowners who may see increased engagement with prospective community purchasers, particularly in relation to larger, more high-value projects if greater funding and support is provided to communities. The implementation of these recommendations would signal a clear policy commitment to expanding community ownership in Scotland.
This report from the Scottish Land Commission is also not taking place in a vacuum and the potential impact of the findings should be considered in conjunction with the evolving land reform agenda. Part 1 of the Land Reform Act as passed are intended to provide communities with earlier notice of proposed sales, giving them more time to consider whether acquisition is a viable option. Together, these measures may make community ownership a more realistic prospect.
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