HC Deb 13 February 1933 vol 274 cc755-6

Resolution reported, That, for the purposes of any Act of the present Session to provide for the reduction of the subsidies payable to local authorities in Scotland under Section two of the Housing (Financial Provisions) Act, 1924, in certain cases, and in all other respects to bring to an end the power of the Department of Health for Scotland to grant subsidies under Sections one and three of the Housing, etc., Act, 1923, and the said Act of 1924; to enable the said Department to undertake to make contributions in certain cases towards losses sustained by local authorities under guarantees given by them for facilitating the provision of houses to be let to the working classes; and, for purposes connected with or incidental to the foresaid matters, it is expedient to authorise the payment, out of moneys provided by Parliament, of such sums as may become payable in pursuance of undertakings given by the Department of Health for Scotland, with the consent of the Treasury, under the said Act to reimburse to local authorities not more than one-half of any losses sustained by them under the terms of guarantees given to societies under paragraph (b) of Sub-section (1) of Section seventy-five of the Housing (Scotland) Act, 1925, where the advances whereof the repayment is guaranteed are made by the society for the purpose of enabling any of its members to build or acquire houses intended to be let to persons of the working classes and the Department is satisfied—

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  1. (a) that the guarantee extends only to the principal of, and interest on, the amount by which the sum to be advanced by the society exceeds the sum which would normally be advanced by them with out any such guarantee; and
  2. (b) that the liability of the local authority under the guarantee cannot be greater than two-thirds of that principal and interest."