Labour plans further Right to Buy restrictions in England

England will be exempted from the right to buy the newly constructed social housing for 35 years, there is a plan to carry forward the policy under the government’s schemes.

Social tenants will also have to stay in their properties for a longer time before qualification for the plan, which allows them to buy at a discount.

Housing Minister Matthew Penicuk said it would help local authorities to “protect the very essential social housing stock” and build new houses on a scale.

But conservatives “attacked the aspiration” to the latest plans.

In 1980, the right to buy the Thaccher government became a signature policy and initially credited for the increasing rates of home ownership.

But in recent years, the policy has been blamed for reducing council housing stocks, constant governments failed to change the properties sold under the scheme, often at a significant discount.

It was terminated in Scotland in 2014, with Wales in 2018.

Since coming to power last year, Labor has reduced the same in England, but has surpassed the policy as part of comprehensive plans to promote affordable housing.

In November budget, this Reduced maximum discount Available to tenants between £ 16,000- £ 38,000, £ 102,400 to £ 136,400.

It has now confirmed that new social homes will be exempted from the plan for 35 years – earlier this year for more than 10 to 30 years suggested in a policy paper before two months of consultation.

The government said the long term will ensure that the councils should not lose in the houses, before they can recover the cost from making them – it is at least 30 years keeping in mind the “peback period” on most new developments.

It has also announced new discount rates to sit with the cash caps announced in the budget.

Under the schemes, the discount will start at 5% of the value of a property, below 35% for homes and 50% for current flats.

So far, social tenants will still be able to increase this exemption by 1% every year, they remain in their property, but only a new maximum of 15% of the house value or new cash cap, whichever is low.

The tenants will also have to stay in their properties before qualifying for at least ten years, currently for three years.

The government says that changes will require change in law, “when parliamentary time allows”.

The government has also confirmed that it will not increase the right to buy the tenants of the Housing Association – an idea Was suggested earlier Boris was dropped by Johnson in 2022 by his MPs.

The move was welcomed by the National Housing Federation, which represents housing associations, stating that the local authority stock was “unstable” in stock.

The steps to further restrict the right to buy are likely to be welcomed by the local government association, which earlier warned that the houses sold were being “rapidly impossible” to the councils instead of the sold houses.

it Was pushing The 15-year-old qualifying period, and more flexibility to determine its minimum discount for the councils, including the option of not giving any initial discounts to new tenants.

However, Conservative Shadow Housing Secretary Kevin Hallinrek accused Labor “accused of backing families who work hard and want their future stake”.

He said, “For decades, millions of people have helped to take their first step on the housing ladder. Now, this government is making it more difficult than ever.”