HC Deb 10 June 1958 vol 589 cc6-7
7. Captain Corfield

asked the Minister of Housing and Local Government and Minister for Welsh Affairs if he is aware that cases have occurred in which local authorities have compulsorily acquired property for the sum of £1 and have thereafter installed tenants at rents of as much as 15s. per week; and whether he will take these cases into account in the course of his current study of the problems arising from compulsory purchase.

Mr. H. Brooke

I am not aware of any such case. The normal practice is for local authorities to continue collecting from the tenant, until he can be rehoused, the rent previously payable. That is what happened in the particular case which I think my hon. and gallant Friend has in mind and about which I have written to him.

Captain Corfield

Does my right hon. Friend think it justifiable for a local authority, having paid a maximum of £3 for a site, then to exact some £28 in rent and a further £9 10s. in rates? If he does, can he say on what possible grounds the rent and rates could be right if the purchase price is right? And if the rent and rates are right, on what possible grounds can the purchase price be right?

Mr. Brooke

My hon. Friend's Question suggested that the local authorities have installed new tenants. I know of no such case, and the case to which I think my hon. Friend is referring is one where the local authority was not able immediately to rehouse the tenant after it had acquired the property. I understand that the local authority concerned, if my hon. Friend and I are thinking of the same case, is going into its policy in the matter to see whether it can in fact be improved.