delete The Housing (Right to Buy) (Priority of Charges) (No. 2) Order 1997
This Order specifies eight approved lending institutions (mortgage companies) that are authorized to provide mortgages for the Right to Buy scheme under section 156 of the Housing Act 1985. The regulation establishes which private mortgage lenders have priority status when properties have both local authority charges and mortgage charges in the Right to Buy context.
This regulation creates a government-approved cartel of eight mortgage lenders permitted to participate in the Right to Buy scheme, restricting competition and limiting choice for council tenants seeking mortgages. There is no legitimate public interest reason why any qualified mortgage lender should be barred from serving Right to Buy customers. Such approval requirements typically reflect regulatory capture by incumbent firms rather than consumer protection. Removing this barrier would increase competition, lower mortgage costs for Right to Buy participants, and allow more lenders to serve this market segment. The Right to Buy framework should be open to all qualified lenders, not limited to a government-curated list.