Reeves to slash Right To Buy discount on Wednesday 

Reeves to slash Right To Buy discount on Wednesday 


Todays other news

Rachel Reeves is to slash the Right To Buy discount given to those purchasing their council house in Wednesday’s Budget. 

The move is part of a wider housing package that has been hailed by the deputy prime minister Angela Rayer, who used the right to buy scheme to buy her Stockport house in 2007. 

She later turned a £48,500 profit on the house, when she sold it in 2015.

Further details are due to be set out in the Budget, but it’s thought the discount available could be cut from a maximum 70% to 25%.

Rayner says the move will help “deliver a social and affordable housing boom, supporting millions of people up and down the country into a safe, affordable and decent home they can be proud of.”

Councils will also be able to keep 100 per cent of the receipts from sales of council houses in a bid to “scale-up delivery” of new social housing.

Reeves will also announce a £500mboost to deliver thousands of new affordable homes in her statement on Wednesday.

The Chancellor comments: “We need to fix the housing crisis in this country. It’s created a generation locked out of the property market, torn apart communities and put the brakes on economic growth.”

Right to Buy discounts will be cut and there will be a consultation on a new long-term rent settlement for social housing.

Polly Neate, chief executive of housing charity Shelter, says: “This boost in funding is a welcome step towards tackling the housing emergency. To get a grip on rocketing homelessness the vast majority of this funding needs to be focused on social rent.

“For decades we’ve lost more social homes than we’ve built, causing private rents to soar to record highs and the homeless accommodation bill to hit the billions. Families across the country have paid the price with over 151,000 children homeless, often living out of suitcases in grotty one-bed hostels and spending sleepless nights worried if they will ever find a secure home.

“If the Government is to reach its target of building 1.5m homes, it must now use the spring spending review to deliver 90,000 social homes per year for 10 years. Not only will these pay for themselves through new jobs and savings for the NHS and benefits bill, they’ll finally end homelessness for good.”

On top of this, the government is confirming £128m of funding to deliver the following projects which will deliver new homes at complex brownfield sites:

  • Confirmation of a £56m investment at Liverpool Central Docks which is expected to deliver 2,000 homes in North Liverpool, along with office, retail, leisure, and hotel facilities;

  • A £25 million investment in a joint venture to establish a new fund with Muse Places Limited and Pension Insurance Corporation to deliver 3,000 energy-efficient new homes across the country, with a target of 100% of these being affordable;

  • The confirmation of £47m to local authorities to tackle pollution in our rivers, which has halted housebuilding in highly polluted areas. This funding could support the delivery of an estimated 28,000 homes that cannot be built currently due to these restrictions.

Share this article ...

Join the conversation: Login and have your say

Want to comment on this story? Our focus is on providing a platform for you to share your insights and views and we welcome contributions. All comments are screened using specialist software and may be reviewed by our editorial team before publication. Letting Agent Today reserves the right to edit, withhold or delete comments that violate our guidelines, including those that harass, degrade, or intimidate others. Users who post such content may be banned from commenting.
By commenting, you agree to our Commenting Terms of Use.
Recommended for you
Related Articles
Controversial legislation is being considered by the Scottish Parliament...
The data comes from flat sharing service SpareRoom...
The new figures come from PropTech firm Goodlord...
Mixed signals suggest a confusing and volatile year ahead for...
The Welsh Government is backing the call for a 'compensation'...
There will be a greater emphasis on digitisation....
A consultation document is being released today....
Recommended for you
Latest Features
The targets are high cost and must be met by...
A council wants to find out how it is doing...
Thirdfort says the move will strengthen its offer to the...
Sponsored Content
Tenants want a place they can call home—somewhere comfortable, safe,...
Letting agencies face the dual challenge of keeping both landlords...

Send to a friend

In order to send this article to a friend you must first login. Click on the button below to login or sign up.

No one likes pop-ups ...
But while you're here