The Tories appear to have performed a U-turn on their controversial extension of Right to Buy to social housing tenants.
Just 18 months ago, then housing minister Kris Hopkins wrote to a Liberal Democrat MP, Tessa Munt, saying that “the Government does not consider that it would be reasonable to require housing associations to sell properties at a discount”.
He went on to say that any extension of discounts under schemes such as Right to Buy or Right to Acquire “would only be possible through upfront central government subsidy, potentially incurring high liability for the public purse”.
Hopkins also warned in his letter of October 2013 that if housing association were forced to “consistently sell off their stock at less than market value, [they] might find it difficult to borrow which could impact adversely on their repair and maintenance programmes and affect the future provision of affordable housing”.
Hopkins has now tried to offer an interpretation of what he said, denying a U-turn.
He said: “In my letter 18 months ago I said we would look at expanding home ownership through extending Right to Buy – and in our manifesto we’ve committed to helping millions achieve the aspiration of owning their own home through exactly that scheme.
“Our sensible, affordable commitment will give opportunities to millions and ensure that housing associations are compensated at the same time.”
Liberal Democrat housing spokesperson and former minister for communities Stephen Williams said: “It beggars belief that the Conservatives have made these plans the centrepiece of their manifesto despite knowing the damage they would have on communities.
“They are so transfixed by Margaret Thatcher’s failed 1980s ideology they are prepared to sacrifice their economic credibility and deepen Britain’s housing crisis.”
The Tories have made it a manifesto commitment that social housing tenants who have been in their homes for three years can buy at a 35% discount.
The party also says that every home sold will be replaced on a one for one basis.
But the proposals have provoked uproar in all parts of the housing industry.
I’ve lived in my town for 3 years, does this mean the government will offer me 35% off of any house I choose? I’ve worked since leaving school, paid NI and taxes throughout (none of this cash work lark here!) or do I only qualify for that pathetic £3,000 ISA because of my work attitude?
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