The government has confirmed it will bring forward further reforms to the Right to Buy scheme, signalling a renewed effort to protect and rebuild council housing while maintaining a responsible pathway to homeownership for long‑standing tenants.
Right to Buy allows eligible council tenants in England to purchase their home at a discounted price. However, ministers have said changes are needed to address the long‑term loss of social housing and ensure councils can retain and replace homes sold through the scheme.
In 2025, the government published its response to a public consultation on overhauling Right to Buy. That response set out measures designed to give councils greater confidence to replenish housing stock while preventing excessive loss of new and existing social homes.
The newly confirmed reforms build on this work and reflect further policy development since the consultation closed.
Ministers have confirmed that forthcoming reforms will include extending the minimum eligibility period before tenants can apply to buy.
Under the proposals, tenants would need to have lived in social housing for ten years, up from the current three‑year requirement. The government says this change ensures Right to Buy remains targeted at long‑standing tenants, rather than newer occupants.
The way discounts are calculated will also change. Discounts would start at 5 per cent of the property value, increasing by 1 per cent for every additional year of tenancy, up to a maximum of 15 per cent or the regional cash cap, whichever is lower.
A further reform will introduce a 35‑year exemption for new builds, meaning newly constructed social homes cannot be sold under Right to Buy for 35 years after completion.
Since publishing its consultation response, the government has continued to explore stronger fraud prevention measures.
This includes addressing cases where vulnerable tenants may be pressured into buying by third parties, and reviewing how Right to Buy operates in rural areas, where replacement housing can be particularly difficult to deliver.
Ministers highlighted reforms already introduced to give councils greater financial confidence to accelerate delivery of new social housing.
Maximum cash discounts have been reduced to between £16,000 and £38,000, depending on location. Councils can now retain 100 per cent of receipts from Right to Buy sales and combine these with grant funding to build or buy replacement homes.
The cost floor protection has also been strengthened, extending the period from 15 to 30 years. This allows councils to limit discounts so that homes are not sold for less than the amount invested in building, maintaining, and improving them. Further reforms to the cost floor are still under consideration.
Gavin Smart, CEO of the Chartered Institute of Housing, said:
“CIH welcomes the government’s continued focus on reforming Right to Buy and the clear recognition that change is needed to better protect and rebuild our social housing. The measures confirmed today are a positive step towards addressing the long-standing imbalance between homes sold and those replaced.
“We also welcome the further work on fraud prevention and the scheme’s impact in rural areas, both of which are crucial to ensuring Right to Buy operates fairly and sustainably.”
The government has confirmed that the new changes will be introduced when Parliamentary time allows.
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