§ 27. Mr. Manuelasked the Secretary of Slate for Scotland what was the average price per acre paid by Scottish local authorities for land for housing development in 1950, 1957 and 1962.
§ Mr. NobleI regret that this information is not available. Local authorities are not obliged to report to me the price they pay for housing land.
§ Mr. ManuelNevertheless, is the right hon. Gentleman aware of the announcement in the Glasgow Herald of 4th July that his Scottish Development Depart- 1234 ment proposes that housing land prices be increased for new town development from between about £120 and £150 to £900 to £1,500? Will not this aggravate the problem, already increasingly difficult for local authorities, of providing housing in new towns? By what right has he given his Department authorisation to make this proposal?
§ Mr. NobleI think that the hon. Member has misread the article in the Glasgow Herald. It did not refer to housing land.
§ Mr. BrewisHas my right hon. Friend any evidence that land prices are hindering local authorities in their housing programmes?
§ Mr. NobleI have no evidence of that because in Scotland when local authorities have to build on expensive land they may be assisted by the expensive site subsidy which we introduced in the Housing (Scotland) Act, 1962.
§ Mr. RossIf the purchase of this land was not for housing, will the right hon. Gentleman tell us what the purpose was? Did that purpose justify the addition to the original price?
§ Mr. NobleThe addition is not for houses but for other things such as factories or schools. In this case it is only fair that the development charges, which the development corporation has undertaken, should be taken into account in the setting of land values whatever use there may be.
§ 28. Mr. Manuelasked the Secretary of State for Scotland what were the total capital expenditure and the total interest charges paid by Scottish local authorities for the provision of municipal houses in 1950–57 and 1962.
§ Mr. ManuelThe Secretary of State's answers get briefer and briefer and contain less and less information. Is he aware that because of the Government's stingy and mean policy, because of their increased interest charges and cutting of housing subsidies, Scottish local authorities are undoubtedly getting into a complete morass of debt and that this in itself will curb the building of more 1235 houses in future? Will he not do something to ease this financial position for the local authorities and make it easier for them to provide houses?
§ Mr. NobleI never expected to hear an hon. Member complaining about Answers being short. The fact of the matter is that local authorities are building about 26,000 houses this year compared with 21,000 last—these are figures for the end of March—and, as I explained in the debate last week, the view of the Government is that if subsidies are to be given they should be given openly as subsidies and not by means of an unduly low interest rate.
§ Sir J. GilmourWill my right hon. Friend say whether, judged by the number of houses being started, interest rates are in fact hindering house building?
§ The available figures relating to expenditure of Scottish local authorities on municipal housing are as follows:
| Year | Total capital expenditure | Total interest paid |
| £ millions | £ millions | |
| 1949–50 | 31.9 | Not available |
| 1950–51 | 33.3 | Not available |
| 1951–52 | 40.7 | 7.3 |
| 1952–53 | 48.7 | 8.6 |
| 1953–54 | 52.8 | 11.2 |
| 1954–55 | 47.7 | 12.7 |
| 1955–56 | 44.1 | 15.1 |
| 1956–57 | 42.3 | 17.9 |
| 1961–62 | 38.3 | 29.2 |
| The 1961–62 figures are provisional. |