§ 58. Mr. Tebbit
asked the Secretary of State for the Environment how many council houses have been sold from 30th June to 31st December, 1970; and what was the corresponding figure for the six months prior to that period.
§ Mr. Fidler
asked the Secretary of State for the Environment if local authorities which sell council houses will be allowed to keep all the money which accrues from their sale for use at their own discretion, no part of such money being returned to the Treasury.
§ Mr. Channon
For all but a very small proportion of subsidised council houses the Exchequer receives no part of the proceeds in the event of a sale. But the annual deficiency basis on which subsidies under the Housing Acts of 1919 and 1923 are calculated requires a reassessment of subsidy if houses are sold. The sale proceeds are deemed to be used in reduction of the debt outstanding on the housing scheme, and the effect after making good the loss of the rent income assumed for the purpose of the calculation is some reduction in the deficiency and consequently in the subsidy on the scheme. The whole system of Government subsidies for rented accommodation is at present under review, and I would not propose to make alterations in respect of these few houses until the review is complete.