A prominent estate agent has called for an expansion of council house ownership rather than restricting Right to Buy schemes, as the government considers tightening access to the programme that has enabled millions to purchase their social housing.
Trevor Abrahmsohn, Director at Glentree Estates, argues that ownership changes tenant behaviour and property maintenance standards compared to long-term rental arrangements. He suggests that restrictions being proposed by the government could create what he terms a ‘permanent rental class’ rather than addressing the underlying housing shortage.
Proposed policy changes
The government is considering substantial modifications to the Right to Buy scheme, including requiring tenants to have 10 years of public sector tenancy before qualifying, reducing available discounts, and protecting new social homes from Right to Buy for 35 years. Manchester Mayor Andy Burnham is also exploring options to give regional mayors the power to suspend the scheme in their areas.
Abrahmsohn contends that Right to Buy sales, even at discounted rates, release capital that councils could reinvest in developing affordable housing. He argues this creates a cycle of property ownership and new development, rather than maintaining a static rental stock.
Housing delivery concerns
The article raises questions about the government’s progress on housing targets. Housing Minister Angela Rayner pledged to deliver 1.5 million new homes during the current electoral term, but Abrahmsohn estimates that only 50% of this target may be achieved, with construction rates slowing rather than accelerating.
The government has announced initiatives to utilise underused land owned by nationalised industries including British Rail, the NHS, and educational authorities, making these sites available for affordable housing development by councils or third-party housebuilders. This follows recent government initiatives aimed at improving housing standards and delivery.
Market implications
The debate over Right to Buy has significant implications for property investors and the broader housing market. The original scheme, introduced in the 1980s, enabled many working-class families to build equity through homeownership, creating assets that could fund retirement or assist children entering the property market.
The policy discussion comes amid ongoing debates about housing policy direction at both national and regional levels, with different political figures proposing varying approaches to addressing the social housing shortage.
The outcome of this policy debate will affect the availability of social housing, the size of the private rental sector, and opportunities for first-time buyers seeking affordable routes onto the property ladder. The balance between maintaining social housing stock and enabling homeownership remains a contentious issue in UK housing policy.
