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<p>Since the reform of the Housing Revenue Account and the introduction of Self-Financing
in April 2012, a proportion of receipts are paid to Treasury in order to (a) reflect
the reduction in the amount owed by local authorities to Treasury as part of the Self-Financing
Settlement and (b) to tackle the budget deficit left by the last Administration.</p><p>
</p><p>The attached table shows those parts of the receipts arising from Right to
Buy (or equivalent) sales received in each London borough in the previous five financial
years and the first three quarters of the current financial year which have been indicated
as payable to the Treasury. Since the reinvigoration of Right to Buy in April 2012,
the 29 London stock-holding authorities have retained approximately £406 million for
the purposes of providing replacement social housing in their local areas.</p><p>
</p><p>Overall, Right to Buy increases housing investment and housing construction.
Since the Right to Buy was reinvigorated across England, £730 million in sales receipts
are being re-invested in affordable house building; levering a further £1.7 billion
of investment over the next 2 years. This means that in total, over £2.4 billion will
be raised to invest in affordable house building as a result of Right to Buy.</p><p>
</p><p>In England, council house building starts are now at a 23 year high and almost
twice as many council homes have been built in the last 4 years than from 1997 to
2009. Previously, councils were not encouraged to build new homes from sales receipts
and only 1 new council home was built for every 170 Right to Buy sales completed under
the last Administration.</p><p> </p>
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