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Following the changes to the right to buy (and applicable to the preserved right to buy) on 21 July 2014), the following increase to the maximum discount has taken place:
|Change||When in force?||Comment|
Cash discount increasing to £77,900 outside of London and within London to £103,900
|6 April 2015||
Increase to take place on 6th April each year in accordance with CPI
Unlike the discount increase last July, this will not affect ongoing applications. The new maximum discount will only be available to those tenants who submit their application on or after 6 April 2015.
The Deregulation Bill has now become law meaning that from 26 May 2015, tenants will have a right to buy/preserved right to buy/right to acquire after 3 years rather than the current 5 years.
This change in rules does not change the discount structure. Tenants who have for a right to buy/preserved right to buy and have a qualifying period of between 3 and 5 years will be entitled to the standard discount amount (35% for houses and 50% for flats) whereas tenants with over 5 years qualifying period will be entitled to an increased discount in the usual way.
Tenants who have the right to acquire and have a qualifying period of between 3 and 5 years will receive the set discount for the area in which the property is located.
For more information
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