The Right to Buy
The Right to Buy
The Government is consulting on its plans to
reinvigorate the Right to Buy through increasing discounts offered
to residents. These proposals apply to Local Authority (LA)
tenants and tenants who have a ‘Preserved Right to Buy’ following
transfer from a local authority to a housing
association. Approximately 6,000 Affinity Sutton households
have a Preserved Right to Buy.
Although we are supportive of giving
our residents the opportunity to buy a home where they can
afford to do so, we are concerned that the increased discounts will
mean that homes sold cannot be replaced on a like for like basis
without detriment to our financial position.
We believe that it would be better for
government to support a major new shared ownership programme which
would both stimulate the economy and help people to
acquire an affordable home of their own.
We believe the Government’s pledge to replace
every home sold through the Right to Buy should be extended to
ensure that:
- Every sale results in a replacement home with a similar number
of bedrooms
- New homes are built where the need for affordable housing is
greatest
- Replacement homes are self-funding and do not require
additional borrowing by the housing association.
We strongly oppose recent suggestions by
the Institute of Public Policy Research amongst others that
the reinvigorated Right to Buy should be extended to include
housing association properties. Many of our properties were
provided without Government subsidy as a result of the legacy of
our founder. As an independent, charitable Housing
Association we do not believe it would be in any way appropriate to
be forced to dispose of our assets, especially at a price below
their value.