7,000 Council Homes A Year Could Be Lost If Right To Buy Funding Gap Isn't Closed

Analysis from the Chartered Institute of Housing (CIH) shows that local authorities could be left with no money to replace the homes they are forced to sell to fund the policy.The research indicates that:

• Between 2,100 and 6,800 ‘high-value’ council homes are likely to become empty and be sold each year – compared to the government’s estimate of 15,000

• Those sales would generate between £1.2 billion and £2.2 billion a year – compared to the government’s estimate of £4.5 billion

• Around 1.45 million housing association tenants would be eligible for right to buy during the first five years of the policy, with around 10 per cent (145,000) likely to take advantage

• £1.2 billion would be around half the amount needed to compensate housing associations for homes sold under the scheme – housing associations would need almost all of the higher £2.2 billion estimate, leaving virtually nothing for councils to replace the homes they have sold or for the brownfield regeneration fund.

Read more on the Housingnet website.