Authorities Free To Cut Land Prices

The government has made it easier for local authorities to sell land and homes to private developers at less than market value. A change to the Local Government Act 1988 in 2005 meant local authorities no longer had to apply to the government to sell a plot at less than market value to a housing association, although other conditions still applied. Further changes to the act have now been introduced that loosen the restrictions further for councils that wish to sell housing land to housing associations, or to private developers. The homes on the land will be stock the council is unable to rent out, which are not up to the decent homes standard, and that the council believes are not financially viable to refurbish itself. The buyer of the land must bring the homes up to the decent homes standard or new homes must be built to replace them for use in three years. Read more on Inside Housing.