"The continued commitment to the housing market renewal programme is crucial, although there needs to be a recognition that our transformation agenda needs even longer-term resources and support."

Steve Rumbelow, director of housing, Manchester council, thinks the devil will be in the detail

"Quality and choice is what we need to deliver in the housing market, so we must ensure that the ‘£60,000 home’ does not mark another rush to build homes, not communities.

The aspiration to tackle homelessness is laudable, but if the government is serious it needs to ensure that this aim is reflected in other key policies, not least how funding for supported housing – Supporting People – is handled.

The Homebuy proposals are interesting and should avoid the creation of marginal owner-occupation, although the devil will be in the detail.

We also need to look carefully at the impact of “equity owners” on the finances of arms’-length management organisations, the private finance initiative and stock transfers, if the decent homes baby is not to be thrown out with the bath water.”

Kate Davies, chief executive, Notting Hill Housing Group, says it’s not a great deal, but does offer extra choice

"It is not exactly right to buy is it? The Tories gave tenants half-price housing with 50% discounts. Social Homebuy promises tenants half a house at the market price and still half the rent to pay.

It is not a great deal, but like right to acquire, it does offer extra choice. It was big discounts that made right to buy a no-brainer for 1.8 million tenants who joined the ranks of home owners. They watched their equity rise and got a lump sum for rainy days.

The government wants to reduce poverty and social exclusion. It knows home ownership is key. Renters pay more each year and their money goes down the drain.

In Britain, where home ownership is the norm, renters become relatively poorer. Anyone concerned with social justice and reducing poverty must welcome new initiatives that give poorer people a chance to buy, such as the £60,000 home, a starter home or shared ownership.

But more radical solutions are needed for people on benefits; these proposals don’t offer much hope for Britain’s homeless and jobless."

Source

Housing Today