Increased home sales and heightened housing optimism attributed to changes in Right to Buy policies
Headline: Cllr Tom Hunt Calls for Further Right to Buy Reforms to Boost Council Housebuilding
Cllr Tom Hunt, chair of the Local Government Association's (LGA) inclusive growth committee, has urged the government to take further steps to empower local government in delivering the needed homes. Specifically, Hunt has called on the government to remove restrictions on Right to Buy receipts and allow councils to set discounts locally.
Last year, the government introduced upgrades to the Right to Buy scheme with the aim of encouraging eligible tenants to purchase their homes and providing councils with more control over their housing strategies. Among the adjustments included lowering discount levels, axing the acquisitions cap, and offering a longer cost floor protection period.
New research from the LGA shows that there has been a surge in Right to Buy applications, with an average of 527 applications submitted per council in 2024/25. Interestingly, two-thirds of these applications were lodged in the three weeks after last year's autumn budget was announced and before discount reductions took effect.
The research also revealed that 48% of respondents reported increased optimism about council housebuilding, and just under a quarter said new projects have become viable since the reforms became available. However, 52% of councils noted budget constraints, especially within housing revenue accounts, continue to block new schemes.
In related news, a Scottish council is seeking private homes for social housing, while a developer has won an appeal to build 115 new homes in Yaxley. Despite these positive developments, the challenges faced by councils in delivering new homes remain significant.
Cllr Hunt supports the Right to Buy reforms as a positive step for councils to maintain and grow their housing stock. He believes that by removing restrictions on Right to Buy receipts and allowing councils to set discounts locally, councils will be better equipped to address the housing crisis and deliver the homes that are so desperately needed.
