§ 77. Mr. DALTONasked the Minister of Health whether he is aware that a local builder in Maidstone has erected certain houses at a cost of £600 per house, including £100 subsidy; that the purchaser of these houses has obtained a mortgage from the borough council of 90 per cent. of the purchase price, and has immediately resold them for £750, thus making a profit of £150 per house; and whether he proposes to introduce legislation to prevent financial operations of this kind?
Mr. CHAMBERLAINI am aware of the case to which the hon. Member refers. The Housing Act, 1923, already provides that the grant of assistance by a local authority may be made subject to such conditions as the local authority may with the approval of the Minister of Health impose and the local authority may before giving assistance require security to be given that the conditions will be observed. The Maidstone Town Council have, with my approval, adopted a condition, as regards future cases, limiting for a period of five years the price at which subsidised houses may be sold.
§ Mr. TAYLORWill the right hon. Gentleman consider issuing instructions to the local authorities who are granting subsidies, without proper supervision, which will show the methods adopted by other local authorities to ensure that the subsidy goes to the purchaser and not to the speculator or builder?