Jeremy Hunt plans to “gift” land to 1.5 million young people in a bid to revive the home-buying revolution.
The Tory leadership contender believes his scheme, dubbed “Right To Own”, could inspire a surge of Conservative support from young people.
“Margaret Thatcher got 1.5 million council tenants onto the housing ladder through her right-to-buy scheme,” Mr Hunt said.
“I have an equally ambitious scheme called Right To Own which will help 1.5 million young people get on the housing ladder, people who can’t afford a mortgage or a deposit.”
The aim is to target the windfall profits usually made by a property developer when they get planning permission for building homes, which can boost the value of a site by up to 10 times.
Under Mr Hunt’s scheme, councils and Homes England would be encouraged to own land and get planning permission themselves.
After the sites increase in value, a portion would be sold at top price to cover the costs of the scheme, with the land left over used for starter homes sold at affordable prices to young people, or sold profitably to raise funds for help with deposits.
Mr Hunt was meeting farmers in the West Country today ahead of a hustings in Exeter.
Rival Boris Johnson was meeting party members in Devon, the West Midlands and North Wales.
He is lining up Home Secretary Sajid Javid to fill the role of Chancellor if he forms a government, insiders have claimed. The pair spoke by telephone at the weekend and while Team Johnson insist no job offer was made, they did not deny that they had a discussion.
Mr Johnson has also picked his former chief of staff at City Hall, Sir Edward Lister, to organise the “transition” to 10 Downing Street.
Sir Eddie, a former Wandsworth council leader, will work with Health Secretary Matt Hancock and Hertfordshire MP Oliver Dowden to appoint key personnel and map out a “first 100 days” in office grid.
