A housing charity says it is closing after more than 20 years because it has been unable to secure sufficient funding.

Rural Housing Scotland (RHS) was set up in 2001 to help communities across Scotland tackle homelessness and improve the availability of affordable housing.

The Mull-based organisation said the lack of core funding had forced it into the difficult decision to close.

The Scottish government said it had helped build thousands of affordable homes over recent years, and was committed to building more.

RHS chairwoman Wendy Reid said: “It is with heavy hearts that we are announcing the closure of Rural Housing Scotland.

“However, we are proud of the role RHS has played in shining a light on these critical issues and raising awareness among policymakers and the public.”

Landowners’ organisation Scottish Land and Estates (SLE) said it was deeply saddened by the announcement.

SLE’s Patrick Colquhoun said: “The work of Rural Housing Scotland has made a meaningful difference in supporting rural communities to secure affordable housing.

“Their innovative approaches and unwavering commitment to raising awareness of housing issues have been crucial in highlighting the challenges we face.”

Other organisations have been warning about housing challenges in rural communities.

Community Land Scotland has recently called for young people to have a legal right to live in the communities where they grew up.

It said there was an “acute” shortage of affordable properties in rural areas.

The organisation said “Right to Live” should be written into legislation and sit alongside people’s rights to food and education.

The Scottish government said it had delivered more than 10,000 affordable rural homes between April 2016 to March 2023, and had committed to building thousands more throughout Scotland.