33. The Earl of Dalkeithasked the Secretary of State for Scotland how many local authorities will forfeit a proportion of their Exchequer equalisation grant during the current financial year on account of an insufficient rent income; and what is the total amount involved.
§ Dr. Dickson MabonNo firm estimate can be given for the financial year just beginning, as rent levels may change. For 1964–65, deductions totalling about £530,000 have been or will be made from 60 local authorities.
The Earl of DalkeithOn the indications which are available at present, would not the hon. Gentleman agree that existing Government measures to encourage local authorities to charge more realistic and appropriate rents have had only limited success? Is he satisfied that the present legislation gives him sufficient power to take the necessary 609 action to relieve home owners of the intolerable burden of subsidising the occupants of local authority houses?
§ Dr. MabonThe answer to the second part of the hon. Gentleman's supplementary question is "Yes". But, in regard to the first part, I make it clear that the intention of the last Government, in the 1963 Act, to which my Answer is relevant, was not in relation to deductions of grant to force local councils to raise rents. The clear purpose of the last Government was to restrict the calls on the Exchequer. What the hon. Gentleman now suggests may have been the other interpretation, but then we can only take the professed aims of the previous Government in trying to find out what they meant by the 1963 Act.