Lewis (pictured), MP for Great Yarmouth, said he will defend the right of any homeowner to have the same right as any other to benefit from equity uplift in their properties.
“If someone can never realise more than 80% of the value of their property, they lose the ability to move upwards in the housing market. This risks stagnation, rather than mobility. I want to incentivise young people and families to move onwards and upwards, and our model will enable families to do just that,” he said.
The minister’s comments came in response to a suggested amendment to the Housing and Planning Bill proposed by shadow housing minister Roberta Blackman-Woods, MP for Durham, who asked that the discount applied to the properties remains permanently.
This would mean that owners could only let or sell their property at the same discount for which they bought their property.
Discussing the points of the amendment, Blackman-Woods argued that a majority of respondents to the consultation on starter homes were for a permanent discount. This included 75% of local authorities, 100% of lenders and 50% of developers, she said.
The amendment was ultimately left out of the Bill, with 194 MPs voting for and 301 MPs voting against its inclusion.
However, Lewis confirmed there will be restrictions put in place, and that it is likely to be a period of five years before a starter home can be sold and let at open market value.
