HC Deb 16 April 1975 vol 890 cc435-6
19. Mr. Norman Lamont

asked the Secretary of State for the Environment what discussions he has had with the Greater London Council through the Housing Action Group on its policy of municipalisation of privately rented property.

Mr. Kaufman

None, Sir, but I am in frequent and direct touch with the Greater London Council about its housing policies, including municipalisation.

Mr. Lamont

Does the Minister recall that yesterday the Chancellor of the Exchequer laid great emphasis on the control of local government spending? Surely the municipalisation programme is not intended to make the local authorities into property investors. Surely it is unjustifiable that the Greater London Council should spend over £1 million in buying up properties in my constituency which to a large extent are already fully occupied. Is the expenditure of £1 million justified in respect of a mere 40 or so vacant tenancies? Surely that is an abuse of public money.

Mr. Kaufman

The hon. Gentleman referred in the House last month to a case which disturbed him, but although my hon. Friend the Minister for Housing and Construction asked him to send details none has yet been received.

Mr. Lamont

The Minister has had them.

Mr. Kaufman

Hon. Members should consider with great care the reason why they are opposed to municipalisation—whether for public expenditure reasons or for one of the reasons given by an estate agent who, referring to the hon. Gentleman's constituency and to Greater London Council purchases there, said: No private house owner likes council tenants next door and the village and hill set will loathe it. It's real Snobsville there.

Mr. Lamont

Is not the Minister aware that when the Minister for Housing and Construction asked me to supply details, I did so? I wrote a letter to the Minister and delivered it personally to his office.

Mr. Kaufman

The hon. Gentleman is always welcome at my office to discuss these matters. [Interruption.] If he will allow me to reply, he will receive a full and handsome withdrawal. I cannot give it if he will not allow me to open my mouth. I have no information about that letter being received, which is why I specifically asked the hon. Gentleman for further information. I shall be happy to study any such letter, but I hope that the evidence he has given and the reasons for it are more valid than I have seen from him so far.

Mr. Rossi

Dill the Minister advise the House whether the £50 million cuts mentioned in public expenditure yesterday, and which we are told do not relate to new local authority house building, relate to cuts in municipalisation?

Mr. Kaufman

We have not yet decided where they should fall. When we do so, the House will be informed.

Mrs. Knight

Will the hon. Gentleman look into the practice of enabling local authorities to buy rented houses by compulsory purchase order at a price which is most unfair because it is based not on market value but on the low, pegged rents received by the owners?

Mr. Kaufman

Compulsory purchase orders are all considered on their merits. I cannot comment on any individual case, but if the hon. Lady has a case which is troubling her and which has been decided I shall be happy to discuss it with her. Otherwise I should be invading my right hon. Friend's semi-judicial function.

Mr. Lamont

In view of the most unsatisfactory answer to my Question, I beg to give notice that I shall seek to raise the matter on the Adjournment at the earliest possible moment.