To ask the Secretary of State for Communities and Local Government, what discussions he has had with housing associations on flexibility in the time allowed to spend capital receipts from Right to Buy.
25 February 2016
Under the terms of the historic voluntary agreement between the Government and the sector, the Government will compensate housing associations for the value of the Right to Buy discount. In return, housing associations will deliver at least one additional new home for each home sold nationally. They will have flexibility in relation to the tenure and location of the additional homes built. It is a mutual objective to ensure that additional homes would be delivered as quickly as possible. The aim is to deliver the new properties within two years. The historic grant portion of any receipt released by the property sale will go back into the Recycled Capital Grant Fund. Under the current rules for that Fund receipts must be spent within three years or returned to the Homes and Communities Agency.