Every one of the 2.73 million housing associations households should seek the average £63,500 discount (or bung) to take up their RIGHT to buy.
The Conservative Government who claim you have this RIGHT would need to find £173.36 billion to pay off housing associations if you did!
Unlike council landlords, the housing associations get back from Government whatever RTB discount they give to their tenants. So if a HA sells a £100k property for £50k to the tenant the other £50k is paid to the HA by Government.
2.73 million lots of £63,500 would mean Government has to find £173 billion
At the moment we are told Chancellor George Osborne is struggling to find just £4.4 billion with the Tax Credit defeat. So if you do have the RIGHT to buy your housing association property then Osborne only has to find 40 times that Tax Credit defeat amount to pay you your discounts that he says is your RIGHT!
£173 billion given away out of ideology
What a wonderful idea the extension of the RIGHT to buy for housing association tenants is reader. At a stroke the Conservative Government would see the property owning democracy (aka the universal panacea that even cures cancer) would rise from 63% to 75% of the UK population!
But why not exercise that RIGHT as it is your RIGHT dear HA tenant and don’t worry about not affording it yourself as up to 3 family members can all put in together to make the RIGHT to buy stack up for your RIGHT to be sold your home.
I’m just wondering whether the UK population will play the same parlour game that we all did shortly before the last General Election? You know the one where every media article asked us to guess where the £12 billion of ‘welfare’ savings would come from.
We still have the data from that don’t we, so let’s see and below is a breakdown of the proposed £217 billion ‘welfare spend’ for 2015/16.
We could stop the state pension altogether as that would save £92.1 billion per year and of course the Housing Benefit bill would reduce by £9.3 billion as that is the amount of HB received by housing associations making £102.4 billion.
Yet that still leaves Osborne to find another £71 billion to pay for the RIGHT that all HA tenants have to but their home. So that would see Pension Credit being withdrawn ( £6.5bn) and Job Seekers Allowance (£2.4bn) and all Disability Benefits (£36.7bn ) and all Child and Working Tax Credits (£29.9bn) which when added to the removal of all HB for HA tenants and the State Pension would see a welfare cut of £176.9 billion….Well the £63,500 average bung is only an estimate after all so better be safe than sorry eh?
All of those cuts would pay for the HA tenants RIGHT to buy as we have been assured by Osborne, by Greg Clark the Communities Minister and even by Cameron himself that HA tenants do have the RIGHT to buy from their failing HA landlords no less.
Surely they are not fibbing to us are they? They can’t be as the housing associations themselves say the HA tenant has a RIGHT to buy too. That would mean that the housing associations are fibbing too wouldn’t it? As the likelihood of HA’s fibbing is preposterous it must be your RIGHT dear HA tenant!
You think this is all sarcasm don’t you reader?
It’s not and I am being deadly serious and I do advocate that all 2.73 million housing association tenants do seek to exercise their RIGHT to buy today. Every single HA tenant should do this and put in a request to their housing association landlord.
You think this is a gimmick? No, it’s not. It is simple direct action to expose what a sham the extension of the RIGHT to buy is both by Government and by Housing Associations.
It is also not a gimmick as the Government has promised that there will be a 1 for 1 replacement for every housing association property sold under the RIGHT to buy which would see Osborne scampering round for the £173 billion he would need to pay back the housing associations.
It is also a financial no brainer for the HA tenant. What a wonderful never to be missed bung this is! The Government wants to give you free of charge on average £63,500 each and you would be a fool if you did not take up this bung at any time and with house prices still going up then you really do want to move quickly so your £63,500 bung buys a higher percentage of the RTB sale price and a lower mortgage cost.
I am surprised that the UK populace who believe the UKIP statement that the EU costs us £25m per day (£9.15 billion per year) are not ranting and raving that the Conservatives want to give 19 times that amount away with nothing in return to 2.73 million housing association tenants.
I am staggered that Joe Public is not up in arms at this £173 billion giveaway to housing association tenants when that is more than the cost of the Education (£57.63bn) and National Health Service (£115.42bn) budgets combined at £173.05 billion.
I note today that the Government is actively pushing this RIGHT to buy
Thousands every week – so that is 100,000 per year – and the Government wants more and is promoting the RIGHT to buy with TV and other adverts as it says here today.
So the Government is totally convinced it can pay for this RTB bonanza and can easily find the £173 billion to pay off the housing associations so why not let’s call their bluff and actively promote that all 2.73 million housing association households make a RIGHT to buy enquiry, after all who wouldn’t want a £63,500 bung for nothing.
The Government is saying that each property sold under RTB will be replaced 1:1 in fact the housing minister Brandon Lewis has said 2 replacements for each 1 sold is possible. He also set a target of 1 million new homes this parliament and then backed down from this yet why be so sheepish my boy? The universal panacea of RTB would see an increase of 2.73 million new homes on your 2 for 1 replacement notion. You would be feted!
If each enquiry to a housing association cost the HA a meagre £50 to administer it would cost theme the same as the 1% rent cut which is seeing them make 15% of staff redundant and the Government could ensure what it terms the ‘failing’ housing associations would indeed fail as the likely admin cost would be ten times that per case and equate to a 10% per year rent cut! Still I am puzzled why the Government would want to get into bed with the housing associations it calls failing!
However given that the Government is clearly confident of finding the £173 billion out of the ether then I am sure it could turn around these failing housing associations. It’s only a matter of the uber efficient private market coming in to solve surely!
£173 billion – yes it surely is time to call the Government’s bluff and start advocating that all 2.73 million HA households sought to exercise their RIGHT to buy.