Issue - meetings
Right to Buy: re-investing receipts in new affordable rented homes
Meeting: 16/07/2012 - Executive (Item 8)
8 Right to Buy: re-investing receipts in new affordable rented homes PDF 141 KB
This report sets out the proposed approach to be taken in response to changes to the Right to Buy (RTB) implemented with effect from 2nd April 2012 and in particular the new rules on reinvestment of the proceeds of RTB sales, which are intended to support one-for-one replacement of all homes sold.
Decision:
(i) that the Director of Regeneration and Major projects to be granted delegated authority to enter into agreement with the Department of Communities and Local Government to retain Right to Buy receipts pursuant to section 11(6) of the Local Government Act 2003;
(ii) that the Director of Regeneration and Major projects to be granted delegated authority to make Right to Buy receipts available to Registered Providers of Social Housing under a competitive bidding process to deliver replacement low cost rented accommodation in accordance with the Council’s Contract Standing Orders.
Minutes:
The report from the Director of Regeneration and Major Projects set out the proposed approach to be taken in response to changes to the Right to Buy (RTB) implemented with effect from 2 April 2012 and in particular the new rules on reinvestment of the proceeds of RTB sales, which were intended to support one-for-one replacement of all homes sold. Councillor Long (Lead Member, Housing) advised that the discount cap had been extended across England, representing a 400%+ increase in the cap applicable in most of London. Tenants had been notified resulting in many enquiries. The report set out new arrangements for use of RTB capital receipts which included repayment of HRA debt.
RESOLVED:-
(i) that authority be delegated to the Director of Regeneration and Major projects to enter into agreement with the Department of Communities and Local Government to retain Right to Buy receipts pursuant to section 11(6) of the Local Government Act 2003;
(ii) that authority be delegated to the Director of Regeneration and Major projects to make Right to Buy receipts available to Registered Providers of Social Housing under a competitive bidding process to deliver replacement low cost rented accommodation in accordance with the Council’s Contract Standing Orders.