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

Wealthy Advisers Club unveils £297 monthly technology & training package

The Wealthy Advisers Club has launched a membership package combining mortgage and protection technology...

Curvestone AI secures place among Europe’s fastest-growing startups

Compliance technology provider Curvestone AI has been included in the 2026 Sifted 250 ranking...

Alternative strategies for buying in high-growth property areas

For first-time buyers a Lifetime ISA can be a useful way to build a...

Employers struggle to engage staff with financial wellbeing support

Only 12% of employees have used financial wellbeing support provided by their employer, despite...

Defaqto extends Matrix 360 to protection and wealth providers

Defaqto has broadened its Matrix 360 market intelligence platform to cover wealth management and...

Latest publication

Other news

Wealthy Advisers Club unveils £297 monthly technology & training package

The Wealthy Advisers Club has launched a membership package combining mortgage and protection technology...

Curvestone AI secures place among Europe’s fastest-growing startups

Compliance technology provider Curvestone AI has been included in the 2026 Sifted 250 ranking...

The two-year fix isn’t advice. It’s a diary entry

5.98%. That was the average two-year fix on 5 October, according to Moneyfacts, the...