This item was published during the term of a previous administration that ended in April 2007
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Fife suspends right to buy
08/05/2006
Ministers have accepted the case put by Fife Council for part of its local authority area to be designated as 'pressured' for the purposes of the Right to Buy.
This means that some tenants within the designated areas will have the Right to Buy their rented council or housing association house suspended for five years.
The Pressured Area option was introduced in 2001 to assist councils facing particular local pressures. In Fife's case it is the town of St Andrews and the East Neuk area south of St Andrews and east of Leven including the coastal villages of Crail, Anstruther, Pittenweem, St Monans, Elie, Earlsferry and Lower Largo.
The option helps councils to continue to offer homes for affordable rent to people on low incomes in areas where the Right to Buy could otherwise lead to serious shortages.
The suspension of Right to Buy only applies to tenancies which commenced either on or after September 30, 2002.
At a conference on Affordable Housing in Edinburgh today, Communities Minister Malcolm Chisholm said:
"Housing pressures vary across Scotland, and it is up to individual councils to consider whether it is appropriate to apply.
"Fife Council presented a convincing case in support of its application, with compelling evidence of substantial pressures on affordable housing in the designated areas.
"The Executive recognises that affordable housing is a key factor in sustaining communities, and that is why we have provided record funding of more than £400 million over the last year to fund new affordable homes across Scotland.
"This designation does not signal any change in our Right to Buy policy. The pressured area option has been available to local authorities for five years.
"Fife is the fifth council to have successfully applied, and a sixth application - from Dumfries and Galloway - is currently being considered.
"This shows that local authorities are looking carefully at affordable housing in their own areas and deciding that the pressured area option can help them. "The Executive recognises that there are strong views about Right to Buy, but we will consider whether there is a case for further changes only when we have seen the evidence that will be collected on the effect of the policy and reported to Parliament this autumn."
The first pressured area designation was granted in October 2005 to East Renfrewshire Council for the 'Eastwood' part of its area.
The following month, the second was granted to Highland Council for a large part of the Highlands. The third was granted in February 2006 to South Ayrshire Council, covering 29 letting areas. The fourth application, from Moray Council, was approved in March 2006 for three areas - Elgin, Lossiemouth and the large rural area surrounding the town of Forres.
Right to Buy changed significantly when the Housing (Scotland) Act 2001 reduced and capped discount levels, extended the qualifying period to five years and introduced the pressured area mechanism. The legislation also requires Scottish Ministers to report to Parliament by 30 September 2006 on the effect of the Right to Buy. The work for that evidence-based report is underway. Ministers have made clear that they will not consider the case for any further adjustments to the Right to Buy in advance of the report.