Closing of Right to Buy Loophole Will Benefit Rural Housing

An amendment to the Housing and Regeneration Bill could free up the log-jam of land being made available for affordable housing in rural areas – according to the CLA, the rural economy experts.

CLA president, Henry Aubrey-Fletcher says the amendment – which will abolish the right of people living in shared equity homes to "staircase" – could encourage landowners to make more land available for affordable housing schemes.

"We have been asking the Government to make these amendments for some time. If a landowner gives land for an affordable housing scheme, he wants to be certain that those houses will remain affordable throughout the life of the building. CLA members have been reluctant to offer land for shared-equity housing schemes while the legislation allowed an occupant to staircase 100% of the equity - in practice, take the house into the open-market. This legislation will close that loophole so its great news for rural communities."

The CLA President said that landowners had a genuine interest in getting local people onto the first step of the housing ladder through shared equity schemes – but on the condition that the housing remained affordable in perpetuity.

"A diversified countryside with a strong economic base needs people to fill the jobs created in rural areas and working age people need housing they can afford. We have always been enthusiastic about shared equity schemes but if the housing simply disappears into the market never to be replaced there is no incentive to provide it in the first instance – so this is welcome news indeed."