HC Deb 03 March 1970 vol 797 c236
3. Mr. Pardoe

asked the Minister of Housing and Local Government what was the average rate of interest, after the payment of the Government subsidy, paid by all local authorities in England and Wales on money borrowed for council housebuilding in 1969.

Mr. Freeson

Under the Housing Subsidies Act 1967 the average rate of interest on council house building in 1969 was, in effect, 4 per cent. Additional subsidies for high building and expensive sites were also paid in many cases.

Mr. Pardoe

I thank the Minister for his reply. In view of the extremely high interest rates, does he realise that many councils are having to pay rates substantially higher than 4 per cent?

Mr. Freeson

I am afraid the hon. Gentleman has, again, not checked his facts correctly. I said, in effect, that all new house building in 1969 was held at a level of 4 per cent. by way of the subsidy system which we are now operating.