Tory Right to Buy plan could cost taxpayers £20bn

Published on

The Conservative Party manifesto will be launched today, with a headline pledge of extending Right to Buy to housing association tenants.

The extension of the flagship Thatcherite policy is expected to see housing association tenants qualify for a discount on buying a housing association property that will be capped at just over £102,700 in the capital and £77,000 for the rest of England.

However, Ruth Davison, director of policy for the National Housing Federation, told Radio 4’s Today programme that the organisation had previously researched such a move and come up with a conservative cost of £5.8bn, as housing associations would have to be fully recompensed for any shortfall. However, she added that briefings in today’s newspapers said it could cost £20bn of taxpayers’ money.

“It won’t help the millions of people in private rented homes who are desperate to buy but have no hope of doing so, nor the three million adult children living with their parents because they can’t afford to rent or buy,” Davison told the Guardian.

“To use their taxes to gift as much as £100,000 to someone already living in a good quality home is deeply unfair. Little wonder then that 60% of the public believe that it would be unfair for social housing tenants to get a discount to buy their home while private renters do not.”

COMMENT ON MORTGAGE SOUP

We want to hear from you!
Leave a comment and get the conversation started.
You need to register to post, so please login or sign up below.

Latest articles

Second charge mortgage lending volumes dip for first time in more than a year

New business volumes in the second charge mortgage market fell by 1% in May,...

Building Societies Association signs Mortgage Industry Mental Health Charter

The Building Societies Association has become the latest organisation to sign the Mortgage Industry...

Sprive urges first-time buyers to plan ahead as Leeds launches 2% deposit mortgage

Sprive has welcomed Leeds Building Society's new 98% loan-to-value mortgage but says borrowers should...

Leeds launches 98% LTV mortgage aimed at widening access for first-time buyers

Leeds Building Society has introduced a new 98% loan-to-value mortgage designed to help more...

Uinsure secures exclusive Lloyds Bank General Insurance panel deal for advisers

Uinsure has added Lloyds Bank General Insurance to its home insurance panel in an...

Latest publication

Other news

Second charge mortgage lending volumes dip for first time in more than a year

New business volumes in the second charge mortgage market fell by 1% in May,...

Building Societies Association signs Mortgage Industry Mental Health Charter

The Building Societies Association has become the latest organisation to sign the Mortgage Industry...

Will we look back at Q2 as the most stable quarter of 2026?

The first half of 2026 has reminded us how quickly sentiment can change within...