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Government proposes dropping one-for-one Right to Buy replacement commitment
The government has proposed scrapping its commitment to replace homes sold through the Right to Buy on a like-for-like basis and instead using a new measurement that would include those built by housing associations.
Alongside the much-anticipated Social Housing Green Paper, ministers today published a consultation on the use of receipts from Right to Buy sales.
In 2012, then-prime minister David Cameron reinvigorated the policy by increasing the discounts available to tenants wishing to buy their home.
At the time, the government pledged to replace homes sold as a result of the additional discounts on a one-for-one basis, but it began missing the commitment earlier this year.
More than 66,000 council homes have been sold under the Right to Buy since 2012, while just 17,911 replacements have been started or acquired.
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The consultation document released today – and announced after the replacements officially slipped behind in March – says the target “focuses on the effects of one policy and does not take into account government’s other efforts to increase the net supply of social and affordable housing”.
It notes there has been a total net increase of 49,000 social and affordable rented homes since 2012, taking into account all sales and additions made by councils and housing associations.
Instead of “narrowly measuring” the effects of government policy against the Right to Buy, the document suggests dropping the current target and replacing it with a “broader measurement”.
That would include all homes sold or demolished by councils and housing associations, as well as all new units built or purchased, regardless of how they are funded.
The document also proposes allowing councils to spend Right to Buy receipts on homes for shared ownership.
Currently money raised through sales can only be spent on social or affordable rent homes.
And the government is considering allowing councils to keep receipts for longer than three years and to use them to cover a greater proportion of the cost of building new social rent homes in some areas.
Councils have long argued they should be permitted to retain 100% of the Right to Buy receipts, some which is currently sent back to the Treasury. Inside Housing revealed in May that less than half of the cash raised through Right to Buy receipts was going into replacement housing.
However, the government did not propose allowing councils to keep the full receipt in its consultation.
The consultation runs until 9 October.
Social Housing Green Paper: full coverage
All our Social Housing Green Paper coverage in one place:
Green paper measures are not enough to create May’s ‘new generation’ of council homes Green paper proposals are welcome but much more is needed to support councils to build, writes John Bibby
Green paper shows ministers now see associations as trusted partners Focusing on the failure of the green paper to address supply misses the point, writes Boris Worrall
Government should focus on building on what is already strong Philippa Jones considers the Social Housing Green Paper through a slightly different lens
We need more than a week of delayed announcements bundled together Jules Birch reflects on the government’s ‘Housing Week’ announcements
The regulator should monitor how associations assist homeless people Government announcements this week are positive, but any enhanced role for the English regulator should include looking at homelessness prevention work, argues David Bogle
The regulator’s role should be limited to dealing with systemic failures Julian Ashby suggests the Housing Ombudsman Service should deal with all complaints
The green paper shows ministers are in listening mode Despite some glaring omissions, the government appears to be in listening mode and it is important the sector takes advantage, argues Emma Maier
A short history of social housing league tables Attempts to create league tables for housing associations are nothing new. Mervyn Jones looks at how they have worked in the past
League tables could prove blunt and counter-productive, sector warns Housing figures criticise government proposals to measure social landlords against performance indicators
Government ‘must decide how proactive regulator should be’ on consumer standards Ministers now face a dilemma over the regulator’s focus, sector figures say
The Green Paper: a golden opportunity missed? Melanie Rees assesses the Social Housing Green Paper against recommendations drawn up by the Chartered Institute of Housing and finds the government comes up short
Longer strategic partnerships and guranteed debt to boost social housebuilding The Social Housing Green Paper outlines key ways of boosting supply
The green paper is remarkable progress but it is still not enough The green paper suggests the government appears to be re-writing much of its policy since 2010, but more needs to be done, writes Jules Birch
Green paper marks a ‘milestone’ on resident involvement The government’s recognition residents need clear information is to be welcomed, now it up to the sector to embrace tenant involvement, writes Paul Hackett
Ministers consider stock transfer programme to community-led associations The stock transfer programme could be revived under proposals in the housing green paper
Access to housing grant could be tied to new league tables Grant could be awarded according to how well landlords meet performance indicators, the paper suggests
Ofsted-style regulation of tenant services proposed The government is considering expanding the Regulator for Social Housing’s remit to intervene over tenant services and give it a more “proactive approach to enforcement”
Government proposes dropping one-for-one Right to Buy replacement commitment A consultation paper published alongside the green paper proposes a broader measurement to replace the one-for-one pledge
A list of recent housing policy U-turns The green paper confirms yet more housing policy U-turns from the government, which has spent the past two years dropping policy ideas developed under the David Cameron government. Here is a rundown of the major changes in policy direction
Sector welcomes green paper but calls for more ‘ambitious investment’ Reaction to the proposals, from the National Housing Federation, Chartered Institute of Housing and more
Morning Briefing: reaction to green paper announcements how the media reported the proposals trailed by the government overnight
Government drops plans to force councils to sell higher-value stock The government drops plans to force councils to sell higher value homes
League tables and ‘sharper teeth’ for regulator in social housing green paper Ministers reveal some of the things in the paper ahead of its publication
Grenfell survivors: green paper does not go far enough survivors of the Grenfell Tower fire have said the measures published in the Social Housing Green Paper do not do enough to rectify issues in the social housing sector
