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 further information please contact Emma Holmes on emma.holmes@anthonycollins.com or 0121 214 3704
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