Update: Tenant Purchase Scheme, 31st July 2015

To ask the Minister for the Environment, Community and Local Government when the local authority Tenant Purchase Scheme is likely to be announced; and if he will make a statement on the matter.  

– Bernard J. Durkan.  
 

 
For WRITTEN answer on Thursday, 16th July, 2015.  
 
Ref Nos: 29567/15 and 29675/15
 
 

REPLY  

 
Minister of State for the Environment, Community and Local Government (Deputy Paudie Coffey)  

 
I propose to take Question Nos.  707  and  722  together.  
 
Part 3 of the Housing (Miscellaneous Provisions) Act 2014 provides for a new scheme for the tenant purchase of existing local authority houses along incremental purchase lines, similar to the schemes currently operating for local authority apartments and certain new local authority houses.
 
The Government’s Social Housing Strategy 2020  includes a commitment to make the Regulations necessary for the scheme’s introduction, setting out the full details involved. I expect that the new scheme will commence at the earliest possible date following the making of the Regulations which are at an advanced stage of preparation.  
 
The scheme will operate along the lines of the incremental purchase model schemes currently operating, which involve discounts for purchasers linked to household income. The discount will be applied to the purchase price of the house to be determined by the local authority in accordance with the method to be prescribed in Regulations. It is intended to relate the purchase price of the house to its market value with replacement costs also being taken into account.  
 
Full details of the scheme, including the income related discounts available to tenant purchasers, will be set out in the Regulations  .