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

Family Building Society expands borrowing capacity with revised affordability model

Family Building Society has increased borrowing power for owner occupier mortgages by up to...

LeadCrowd launches discounted lead marketplace for brokers

LeadCrowd has expanded its platform with the launch of a new marketplace selling discounted...

Vickers Young joins Stonebridge as firm pursues long-term expansion

Mortgage and protection firm Vickers Young has joined the Stonebridge network as it accelerates...

Finova warns specialist buy-to-let demand risks being held back by gaps in lender support

New analysis from Finova suggests that, despite strong margins and lower perceived risk, specialist...

AMI Protection Viewpoint 2025: Reigniting the protection journey

Making protection relevant and keeping customers engaged is a vital part of the advice...

Latest publication

Other news

Family Building Society expands borrowing capacity with revised affordability model

Family Building Society has increased borrowing power for owner occupier mortgages by up to...

LeadCrowd launches discounted lead marketplace for brokers

LeadCrowd has expanded its platform with the launch of a new marketplace selling discounted...

Vickers Young joins Stonebridge as firm pursues long-term expansion

Mortgage and protection firm Vickers Young has joined the Stonebridge network as it accelerates...