in the know

Right to Buy homes made £2.8m in profit ‘in weeks’..

A total of 139 former council tenants bought their homes under Right to Buy and resold them within one month, the BBC found.

Those resold homes created a £2.8m collective profit.

Opponents of the scheme said too many people had profited from a policy that had “much bigger social ambitions”.

Supporters said Right to Buy helped people climb the housing ladder and secure their families’ financial futures.

The former tenants were allowed to buy their homes at prices below the market rate.

However, those who sell within five years of purchasing, should have to pay back some or all of the discount they received.

Repaid discounts, which are calculated on a sliding scale depending how long the purchaser kept their home, were not included in data the BBC obtained on 92,000 sales across the UK.

The Chartered Institute of Housing (CIH) said it was “shocking to see the extent of the profit margin in black and white”.

It called for Right to Buy to be suspended in England. In January it was halted in Wales, as it was in Scotland in 2016.

Housing commentator Henry Pryor said: “Far too many… simply profited from a scheme that had much bigger social ambitions.”

https://www.bbc.co.uk/news/uk-47443183