The government is to give £200 million to the Housing Corporation to buy developers’ hard-to-shift homes in a bid to prop up the struggling housing market. Prime minister Gordon Brown announced the measure in a speech setting out his government’s legislative programme. Housing minister Caroline Flint suggested the move would not require changes to the law. ‘Some of the things we are talking about don’t necessarily involve legislation,’ she said. ‘Allowing the Housing Corporation to buy some properties for social rent is one way in which we are trying to support the housing market at the moment.’ She added that the corporation would use the cash to buy properties which had already been built. ‘Along with the money we are using to build new homes we think there is scope to purchase some new build houses as well,’ she said. The prime minister also announced a shared equity scheme that will be open to a wider range of prospective buyers, and more rights for tenants. He said social housing tenants would be given a stronger voice, but that there would be a crack down on poor behaviour.

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14 May 2008
© Inside Housing