Right to Buy discount cap reduced to £16,000 as government limits scheme

The Housing (Right to Buy) (Limit on Discount) (England) Order 2026 reduces the maximum discount available to social housing tenants exercising the Right to Buy under the Housing Act 1985 (Part V) to £16,000, down from the previous maximum of £102,400 in London and £76,900 elsewhere. The change takes effect for applications received on or after 21 November 2026.

Existing applications already in progress before that date are unaffected. The reduction follows a government review that found the scheme was depleting social housing stock without adequate replacement. The Ministry of Housing, Communities and Local Government has published a GOV.UK guidance page with the updated discount tables.

Tenants who have already occupied a qualifying property for at least three years retain eligibility, subject to the new discount cap. Citizens Advice and the Leasehold Advisory Service (LEASE) provide guidance on how the purchase process works under the revised terms.