Tory Right-To-Buy Plan Threatens Mass Selloff of Council Homes

Two large signs stand outside a half-built block of flats. “Twenty new council homes are coming”, they announce. “All new homes offered to local residents first … High quality homes for council rent.” James Murray, executive member for housing and development at Islington council, looks up at the site and admits his signs may be telling a lie. It looks as if the speculators and landlords will be moving in instead. Local authorities in inner London believe they will have to sell every new council home they build to finance the Right to Buy extension to housing association tenants. It could, they say, be the death knell of the council home. “It looks like we will have to sell the flats when they are completed in September,” says Murray.  “Each of them would sell on the open market at £485,000. And because they are new they are within the third most expensive properties that we have. In fact, all new council homes in inner London will have to be sold off. And what incentive will we have to build again?” Read more on the Observer website.