The Local Government Association (LGA) has urged the Government to "go further" with reforms to the Right to Buy (RTB) scheme, calling for greater flexibility and control for local authorities to tailor the scheme to local needs.
Rising demand to purchase homes through RTB has compounded the challenges posed by a severe social housing shortage.
With more than 123,000 households in temporary accommodation and over 1.33 million on social housing waiting lists—including approximately 27,400 in Devon—the LGA warned: "We are facing a chronic shortage of social housing. It has become increasingly impossible for local authorities to replace homes as quickly as they are being sold under the current RTB scheme."
In its submission to the Government's consultation on RTB reform, the LGA acknowledged that some of the councils' key concerns have been addressed. However, it urged further action to ensure the scheme supports the development of good-quality, sustainable social housing.
The LGA’s proposals include:
- Giving local authorities control over discount rates.
- Exempting newly built properties from RTB in perpetuity.
- Protecting council investments in retrofitting or improving existing stock.
- Allowing councils to retain RTB receipts indefinitely to maximise the delivery of replacement homes.
The Autumn Budget announced changes to RTB discounts, which will revert to pre-2012 levels and better reflect local housing markets. However, the period between 30 October and 20 November, after the announcement, saw a surge in RTB applications by social housing tenants seeking to secure current discount rates.
Some councils reported receiving more RTB applications during these three weeks than they typically handle in a year, creating significant resourcing challenges in meeting statutory deadlines for processing applications.
The LGA has called on the Government to conduct research into the number of RTB applications received nationally during this time, how many are approved, and the resulting loss of social housing stock. The findings should inform steps to mitigate the depletion of social housing if the affordable housing crisis is to be resolved.