Labour’s candidate in South Dorset has slammed proposals by the government to extend right-to-buy to Housing Association properties as “a failure of ideas and of values”.
Under Conservative proposals, tenants of Housing Associations could be given an option to buy their home at a discount of up to 40% – but critics, including the National Housing Federation, say the policy will see a sudden drop in the nation’s stock of affordable housing.
Local Labour candidate, Simon Bowkett, has previously worked in housing, and formerly sat on the board of a local Housing Association. He said,
“This announcement just beggars belief. We have seen this government preside over the lowest levels of peacetime housebuilding since the 1920s, more and more people forced into renting in the private sector, and now we are told that the one area of the housing market that does offer long-term, secure and affordable tenancies to local families is to be sold off.
When the Tories last launched a right-to-buy policy aimed at council homes, it led to over one third falling into the hands of private, for-profit landlords. This policy is a failure of ideas and of values from an out-of-touch party that has no strategy to address our national housing crisis.
“Affordable housing in South Dorset is one of my key priorities for this election, and the Labour Party has a better plan. Everyone should be able to live in a secure home, whether they rent or buy. We will make sure that at least 200,000 homes a year get built by 2020 – almost double the current level. It is only by building more homes that people’s aspiration for home ownership will be fulfilled.”
“For the 20% of households locally that rent privately, we will legislate to make three-year tenancies the norm, with a ceiling on excessive rent rises. A ban on unfair letting agent fees will save renters over £600. We will drive standards up by creating a national register of private landlords.”
The National Housing Federation today also criticised the Conservative plans.
Ruth Davison, Director of Policy and External Affairs at the National Housing Federation said,
“While extending Right to Buy will see some people being able to buy their own home with help from the taxpayer, these are people already living in good secure homes on some of the country’s cheapest rents. 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. To use public assets to gift over £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. Beyond questions of fairness, the public simply don’t buy that it will help people struggling with their housing costs. Just 16% think extending Right to Buy to housing associations is good way to tackle the affordability crisis, in comparison to 46% who want the Government to give more public money to housing associations and councils to build more affordable homes that will benefit more people.
“Housing associations are private social enterprises that exist for the benefit of the community, who already build homes of all types – for sale, private and social rent and shared ownership. As well as depriving future generations of decent affordable housing, the Conservative party are planning to raise £17.5 billion over the life of the next parliament from the sale of high value properties to fund the discount – no paltry sum in times of austerity and figure that could grow into the tens of billions as more become eligible. This £17.5 billion is enough to finance nearly one million new shared ownership homes open to everyone, not just the lucky few already well housed in secure social homes.”
