Development Funding is the housing related subsidy provided to Housing Associations, often called Registered Social Landlords (RSLs), by the Scottish Government through their Housing and Regeneration Agency, The Scottish Housing Regulator.  This subsidy enables RSLs to build or improve houses to meet the needs of the community within an area.

In September 2003, responsibility for management of the Development Funding Programme in Glasgow transferred from the Scottish Government to the City Council. 

Development Funding provides:

• Housing Association Grant (HAG) to enable Housing Associations (RSLs) to build or improve houses for social renting and low cost home ownership(LCHO). The three types of LCHO accommodation provided are Improvement for Sale, Shared Ownership and New Supply Shared Equity (formerly Homestake). 
• Grants for Rent or Ownership (GRO) to enable Housing Developers to build or improve houses for owner occupation aimed that those who wish to buy but are on lower than average incomes. Grant aided developments are usually approved in regeneration areas where owner occupation was not present previously.
• Special Needs Capital Grants (SNCG) to enable voluntary and private bodies to provide accommodation to meet the housing needs of households that have particular special needs; for example, houses suitable for physically disabled people.
• Grant to Improve the Physical and Social Environment (GPSE) to enable RSLs and the private sector to complement their housing renewal programmes with environmental improvement projects. 
• Development Funding can also be used to aid Large Scale Voluntary Transfer (LSVT) of the remaining Scottish Homes stock to RSLs and provide financial aid to Owners who participate in improvement works to former Scottish Homes estates.