'Right to sell' powers suggested for social landlords
A property expert from Dundee has urged the government to find ways of funding registered social landlords (RSLs) to support the country's struggling house-building industry.
- By Graeme Strachan
- Published in the Courier : 22.11.10
- Published online : 22.11.10 @ 10.52am
Lindsay Darroch, head of property services at Blackadders in Dundee, said funding the RSLs would enable them to buy sites and start building social housing to assist with the further development of the property market.
The Scottish Parliament this month scrapped the right-to-buy legislation, ending one of Margaret Thatcher's flagship policies after almost three decades.
The historic move means new tenants in local authority or housing association properties will be barred from buying their homes.
Long-standing tenants living in newly built homes will also be affected. Housing minister Alex Neil said the move would help tackle Scotland's housing crisis by keeping more social housing in circulation.
Mr Darroch said, "I am a great believer in social housing and, with the current turmoil in the property market leading to an overheating of the rental market, the role of registered social landlords is now more important than ever.
"Given the lack of developments and the depreciation in the value of development sites, I would urge the government to find ways of funding the RSLs to enable them to buy sites and start building social housing to assist with the further development of the property market."
Mr Darroch was recently at a Clydesdale Bank conference on social housing, which was timed to coincide with the vote by the Scottish Parliament on the right-to-buy legislation.
He added, "During the course of the conference, an interesting statistic was highlighted: that for every £1 central government spends on social housing, the economic return is £9 — another important argument in the case for RSLs.
"Whilst I would not necessarily have abolished the right to buy, I certainly would advocate that in its place the government allows a 'right to sell' to enable RSLs to develop properties and sell some on, which would allow them to raise funds to carry on the development process.
"Again, this shows the importance of the property market in the general economic climate and the need for central and Scottish governments to take action and have a clear strategy in respect of the property market."
Image used under Creative Commons licence courtesy of Flickr user woodleywonderworks.
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