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Exclusive: 7% rise in former Right to Buy homes now rented privately

The number of former council homes being let privately has soared to more than 40%, new Inside Housing research has revealed.

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Former Right to Buy homes in the private rented sector now at more than 40% #ukhousing

Exclusive research shows rise in sold council homes now being rented privately #ukhousing

Growth of ‘right to buy to let’ continues as more than 40% of ex-council stock now PRS #ukhousing

Exclusive: 7% rise in former Right to Buy homes now rented privately

Freedom of Information Act request responses from 111 councils – two-thirds of all stock-holding town halls in England – show 40.2% of former Right to Buy flats are now being sublet.

This is a 7% rise from the 37.6% recorded last time Inside Housing carried out this research in 2015 – a rate of growth which would see more than half of all former Right to Buy homes rented privately by 2026.


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Eamon McGoldrick, managing director of the National Federation of ALMOs, said true subletting figures could be “at least” 5% higher than shown by the data.

He said: “Leaseholders are allowed to sublet but some of them don’t actually inform the council that they’re doing it, possibly because they think it will be an issue.

“So there will be another number on top of this figure that haven’t given the freeholder an away address.”

The councils have sold a total of 180,260 leasehold properties under the Right to Buy since its introduction in 1980, with 72,454 now registered with an ‘away address’, indicating subletting.

John Bibby, chief executive of the Association of Retained Council Housing, said the figures were not surprising.

“The government has promised a root-and-branch green paper on social housing and it will be interesting to see if that includes Right to Buy and its impact,” he said.

 

Subletting of Right to Buy homes (England)

Local authority Leaseholds sold under RTB Registered with away address RTB homes sub-let since 2012 % of homes sub-let
Milton Keynes UA 1609 1140 11 70.85%
Bolsover 116 75 64.66%
Brighton & Hove UA 2871 1556 414 54.20%
Canterbury 354 190 4 53.67%
Cheshire West & Chester 317 170 3 53.63%
Stevenage 1408 751 122 53.34%
Nuneaton & Bedworth 448 233 52.01%
Norwich 2964 1436 50 48.45%
Winchester 371 178 8 47.98%
Eastleigh 34 16 0 47.06%
Kingston upton Thames 1515 711 19 46.93%
Ipswich 371 174 6 46.90%
Newham 7125 3324 120 46.65%
Stoke-on-Trent UA 374 174 7 46.52%
Blackpool UA 395 183 46.33%
Dacorum 1779 824 46.32%
Welwyn Hatfield 1282 592 196 46.18%
Southampton UA 1923 886 46.07%
Northampton 881 405 8 45.97%
Harlow 2499 1144 13 45.78%
Ashfield 194 88 30 45.36%
Chesterfield 240 108 12 45.00%
Oadby & Wigston 69 31 0 44.93%
Mansfield 273 122 19 44.69%
Barrow-in-Furness 213 95 2 44.60%
Ealing 4716 2099 41 44.51%
Sedgemoor 113 50 8 44.25%
Lewes 263 116 19 44.11%
Bassetlaw 168 74 44.05%
Ashford 266 117 6 43.98%
Redbridge 2474 1086 33 43.90%
Lincoln 319 139 3 43.57%
Cambridge 1162 506 43.55%
York UA 527 229 17 43.45%
Portsmouth UA 2007 867 22 43.20%
Cannock Chase 272 117 2 43.01%
Gravesham 434 186 44 42.86%
Tendring 402 172 2 42.79%
Barking & Dagenham 3495 1488 413 42.58%
Wandsworth 15970 6752 28 42.28%
Exeter 1006 425 22 42.25%
Newcastle upon Tyne 1700 717 31 42.18%
Swindon UA 496 209 42.14%
Camden 8378 3530 39 42.13%
Eastbourne 667 280 26 42.98%
Islington 8059 3378 93 41.92%
Oxford 678 282 4 41.59%
Hillingdon 3266 1355 34 41.49%
Southend of Sea UA 612 253 7 41.34%
Birmingham 5081 2087 41.07%
Warwick 591 241 3 40.78%
City of London 932 380 5 40.77%
Wolverhampton 2232 905 291 40.55%
Runnymede 150 60 0 40.00%
Sheffield 2488 995 46 39.99%
Hammersmith & Fulham 4710 1883 39.98
Poole UA 582 232 58 39.86%
Waveney 113 45 6 39.82%
Epping Forest 1047 414 138 39.54%
Crawley 1609 631 39.22%
Kirklees 1006 394 9 39.17%
East Riding of Yorkshire 228 89 3 39.04%
Colchester 1054 411 58 38.99%
Haringey 4969 1925 60 38.74%
Southwark 12539 4857 38.74%
Northumberland 257 99 0 38.52%
Havering 2503 963 34 38.47%
Cheltenham 477 183 5 38.36%
Rotherham 534 202 13 37.83%
Waltham Forest 2123 802 42 37.78%
Westminster 8988 3363 37.42%
Tamworth 420 157 2 37.38%
Adur 511 190 7 37.18%
Gateshead 887 327 6 36.87%
Dover 459 169 36.82%
South Tyneside 765 280 8 36.60%
Dartford 456 166 9 36.40%
South Cambridgeshire 123 43 13 34.96%
Broxtowe 281 98 0 34.88%
Scarborough 66 23 0 34.85%
Woking 406 141 34.73%
Bournemouth UA 517 179 58 34.62%
Kingston upon Hull UA 468 162 34.62%
Hounslow 3026 1038 34.30%
Lambeth 9479 3235 47 34.13%
West Lancashire 415 141 33 33.98%
Doncaster 260 88 21 33.85%
Greenwich 4736 1602 72 33.83%
Guildford 512 173 12 33.79%
Lewisham 557 188 33.75%
Stroud 163 55 1 33.74%
Melton 30 10 1 33.33%
Kettering 261 86 1 32.95%
North East Derbyshire 80 26 11 32.50%
Rugby 62 20 0 32.26%
Fareham 456 141 0 30.92%
Oldham 13 4 0 30.77%
Mid Suffolk 40 12 1 30.00%
Wealden 197 57 4 28.93%
Harrogate 195 56 2 28.72%
Darlington UA 77 22 28.57%
Wokingham UA 187 51 27.27%
Sutton 1502 400 12 26.63%
New Forest 132 35 10 26.52%
Barnsley 363 94 1 25.90%
Tower Hamlets 9538 2541 82 26.64%
South Holland 71 17 1 23.94%
East Devon 184 41 13 22.28%
Central Bedfordshire 345 72 12 20.87%
Tandridge 629 107 36 17.01%
Babergh 103 13 1 12.62%
TOTALS 180260 72454 3186 40.19%

Click here to read the full analysis

 

Milton Keynes is the ‘right to buy to let’ capital, with 70.9% of flats sold through Right to Buy now in the PRS.

Another six councils – Bolsover, Brighton & Hove, Canterbury, Cheshire West and Chester, Stevenage, and Nuneaton & Bedworth – have leasehold subletting levels of more than 50%.

The average private rented sector rent is £88 per week in England, while private rents are £210. In London, this gap grows from £108 for council rents to £359 for private rents.

The data comes as Welsh Assembly members voted through a bill to abolish the Right to Buy in Wales on Tuesday.

Data provided by eight of the 11 stock-retaining councils in Wales, not included in the figures above, shows that 42.3% of flats sold under the Right to Buy are currently sublet, with Swansea the worst affected.

Scotland scrapped the Right to Buy in July 2016. In England however, the government still plans to extend the policy to housing association tenants, with a pilot planned for next year.

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