Preserved Right to Buy discount cap changes

Preserved Right To Buy discount caps change as of 6 April 2020 – A Reminder

If you are dealing with Preserved Right to Buy matters then you are probably already aware that the maximum discount limits are revised and apply on 6 April every year in line with the Consumer Prices Index. The figures for the year from 6 April 2020 are: £84,200 for properties outside London and £112,300 for properties in London.

For new applications received from (and including) today you will need to be careful to amend your standard form offer notices to reflect this.

The change does not have retrospective affect so any applications received prior to this date should be on the basis of the old discount rates. Accordingly you may still need to send out offer notices (section 125 notices) with the old discount rates in these circumstances. Obviously, you will not need to re-issue any existing offer notices.

There has been no change to the discount figures for Right To Acquire disposals.

Please contact Paul Skleton to disucss further pauls@sharratts-london.co.uk or 01959 568029.