Right To Buy scheme needs more funds to replace homes
THE government’s Right to Buy scheme in England is under threat unless councils are given more funds to replace homes sold under the programme, a report warns.
The Local Government Association (LGA) said more than 60,000 houses have been sold under the scheme in the past six years, with average prices at half the market rate, leaving local authorities with enough money to build or buy just 14,000 homes to replace them.
Research for the LGA showed that two thirds of councils in England will have no chance of replacing the same number of homes sold off under Right to Buy in five years’ time without “significant” restructuring of the scheme.
Around 12,224 houses were sold under the scheme last year, but the study showed that by 2023, councils would be able to replace those homes with just 2,000 new builds.