The second phase of Brent Council’s Right to Buy Receipts Programme is set to be discussed by Cabinet on 27 June 2016, with the council set to approve an investment of £60m in new homes.
If approved, the plans will see the Council invest proceeds from the sale of council houses to provide new affordable housing, with total investment of at least £60million expected over the next three years. This will include new rented homes provided by external partners, as well as council-led building projects.
Retained Right to Buy receipts can be used to fund up to 30 per cent of the total cost of providing replacement affordable rented homes, with the balance (at least 70 per cent) either coming from council borrowing or private investment from external partners.
Brent has retained around £19.3m in Right to Buy receipts up until the end of March 2016 and this is expected to grow as more tenants buy their homes under the government’s Right to Buy scheme. The money has to be spent within three years of being received.
Cllr Harbi Farah, Brent Council’s Cabinet Member for Housing, said: “This proposal will help us maximise Brent’s opportunities to provide replacement affordable homes and will minimise the risk of unspent amounts being paid to the government.
“Our residents in Brent deserve affordable housing to live in and we are committed to providing it through this scheme.”