Protection for Homebuyers
The following is an extract from the speech by the Under-Secretary of State for Housing, Communities and Local Government, the hon. Member for South Derbyshire (Mrs Wheeler) in the Westminster Hall debate on protection for homebuyers on 13 December 2018.
The hon. Member for Ellesmere Port and Neston (Justin Madders) mentioned the £10 ground rent. For a peppercorn to exist there must be a consideration of exchange of money. We are concerned that peppercorn could be open to abuse and therefore we have considered that an amount should be specified in statute. We have chosen £10 because that is the annual amount used for right to buys.
[Official Report, 13 December 2018, Vol. 651, c. 204WH.]
Letter of correction from the Under-Secretary of State for Housing, Communities and Local Government, the hon. Member for South Derbyshire (Mrs Wheeler):
An error has been identified in the response I gave to the hon. Member for Ellesmere Port and Neston (Justin Madders).
The correct response should have been:
The hon. Member for Ellesmere Port and Neston (Justin Madders) mentioned the £10 ground rent. For a peppercorn to exist there must be a consideration, which can include an exchange of money. We are concerned that peppercorn could be open to abuse and therefore we have considered that an amount should be specified in statute. We have chosen £10 because that is the annual amount used for right to buys.