Key Points
- Edinburgh City Council proposes £1.6 billion investment for affordable homes over five years as part of draft budget strategy.
- Councillors unanimously refused a hyperscale data centre proposal at the former Royal site in South Gyle due to environmental concerns.
- Plans lodged for 60 new student flats on a gap site in Slateford.
- Projected 5% council tax increase and addition of two new council tax bands from April 2028.
- Event planned to oppose new data centres in Edinburgh over climate, water usage, noise and diesel pollution impacts.
Edinburgh (Edinburgh Daily News) February 18, 2026 – City leaders have outlined ambitious housing investments and faced key planning decisions this week, amid budget pressures and environmental debates.
The draft budget strategy places housing at its core, with a proposed £1.6 billion for affordable homes over the next five years, described as one of the largest interventions by a local authority in modern times. Council Leader Jane Meagher highlighted priorities including homelessness support, vulnerable families and health services, alongside one of the lowest proposed council tax rises in Scotland.
What major planning applications were lodged this week?
Planning applications submitted to Edinburgh City Council’s planning department include proposals for 60 new student flats on a gap site in Slateford, as reported by Edinburgh Live. The full list of applications lodged up to this week is detailed by The Edinburgh Reporter, covering various developments across the city.
As reported by Lee Dalgetty of Edinburgh Live, the Slateford plans target student accommodation needs on underused land.
Why was the South Gyle data centre rejected?
Edinburgh councillors voted unanimously in early February 2026 to refuse a hyperscale data centre at the former Royal site in South Gyle, testing green claims against planning realities, according to the Cockburn Association. The decision underscores concerns over climate impact, despite developer assurances.
What opposition exists to new data centres?
An event on 5 March, organised by APRS and Global Justice Now, calls to stop new hyperscale data centres in Edinburgh and Scotland due to their effects on climate, water usage, noise and diesel pollution, as noted in The Edinburgh Minute.
How will council finances affect planning?
A projected 5% council tax increase is anticipated, with two new council tax bands set to be added from April 2028, according to Midlothian View. These measures accompany budget plans prioritising prevention and poverty reduction, to be considered at the council meeting on 26 February.
Council spending aims to protect frontline services while addressing housing emergencies and social care gaps, with most fees and charges proposed to freeze for 12 months.
