The government’s proposals to sell property to housing associations have been called “rabbit brains” amid warnings that it will exacerbate the housing shortage for more than a million Britons on waiting lists for affordable accommodation.
Boris Johnson reportedly wants to give 2.5 million tenants of housing associations in England the right to buy their homes at a huge discount, echoing Margaret Thatcher’s popular ‘right to buy’ policy of the 1980s, which saw a huge part of the nation sold stocks of municipal housing.
But Labor described the plan as “desperate”, saying it was repeating a policy from David Cameron’s 2015 conservative manifesto, which failed to secure any sales.
And Shelter’s chief executive for the homeless charity said the “rabbit idea” was “the opposite of what the country needs.”
“There could be no worse time to sell off what’s left of our last really affordable social homes,” said Polly Neath.
“The cost of living crisis means more people are on the brink of homelessness than property – nearly 34,000 households in England were homeless between October and December last year, more than 8,000 of them families with children.
Ms Neath said the original buying scheme had ripped a “huge hole” in social housing stocks in England, as less than 5 per cent of homes sold had ever been replaced by new, affordable housing. .
“These semi-finished plans have been tried before and failed,” she said. “Over one million households are on the waiting list for social housing in England, and with each jumping bill, the government needs to build more social housing so that we have more, not less.
Details of the scheme were released just days before the local elections, which the Tories are believed to be heading for disappointment – and during the Purda period, when government departments were banned from publishing political announcements that could affect voting. .
An unnamed government source said Mr Johnson wanted to find ways to help “rent a generation” under the 40s who had been withdrawn from the housing market to become homeowners.
Conservatives have long viewed home ownership as a key driver for Tory voting, and party strategists are concerned about the prospect of a middle-aged generation with no share of the housing market.
“The prime minister is very excited about this,” the source told the Daily Telegraph. “It simply came to our notice then.
“In many ways, this is a direct copy of Maggie’s great idea of ’buy your own municipal apartment.’ This is “buy your own apartment in the housing association.”
But Shadow Equalization Secretary Lisa Nandi said: “This is a desperate thing from a tired government that has repackaged a 2015 plan.
“Millions of families in the private sector with low savings and facing sky-high costs and rising bills need much more ambitious plans to help them buy their own homes.
“These proposals would exacerbate the shortage of affordable housing.”
And Demos chief executive Polly Mackenzie said the proposals would disadvantage some of the younger voter groups whose support should attract Tories.
The right to buy offers huge financial benefits for those eligible for social housing, while providing nothing for those – often young professionals – who pay much higher rents with less secure private rents, she said.
“Half of the tenants are in the social sector and half in the private sector,” Ms Mackenzie said. “I can’t understand the policy – not to mention fairness – to help one group with a subsidy of up to £ 100,000, while others are offered only light aid to buy ISAs and equity loans to be repaid.
Those who have managed on their own and have never had to return to public housing get the worst deal. Extending the right to buy is a really good way to get rid of young tenants, a group that conservatives really need to stop disappointing. “
Liberal Democrat Treasury Department spokeswoman Christine Jardin said: “Instead of copying and pasting from old manifestos, Boris Johnson should help families on the edge. “Instead of talking about policies from the past, Boris Johnson should cut taxes now and ensure that every retiree can afford to heat their home.”
A government spokesman said: “We want everyone to be given the opportunity to own their own home and we keep every opportunity to increase home ownership under control.
“Recent statistics show that the annual number of first-time buyers is at a 2-year high, supported by our first-time buying aid scheme and first-time mortgage guarantee scheme to expand the availability of low-deposit mortgages.”
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