Vol. 528 No. 3
151 Mr. Bradford asked the Minister for the Environment and Local Government if he will increase the present level of tenancy discounts available under the tenant purchase scheme; and if he will review the ten year limit on discounts under the present scheme. [30166/00]
As the Deputy will be aware, in order to assist local authority tenants purchase their homes a discount of 3% of the value of the house is allowed for each year of tenancy, up to a maximum of 30%. In addition to this, a further discount of £3,000, equivalent to the new house grant for first time purchasers, is provided. Thus, a local authority house with a market value of £100,000, would be available for purchase at £67,000 by a tenant of ten or more years' standing. By any account, this is a generous discount.
The proceeds of the sale of local authority houses to tenants are used to part fund the local authority housing programme. I consider that the terms of the present scheme strike a reasonable balance between the aspirations of existing tenants to own their own homes and the needs of those on the local authority waiting lists. While I have no proposals, at present, to amend the terms of the current scheme I will continue to keep them under review and the Deputy's suggestions will be borne in mind in this context.
