HC Deb 18 May 1977 vol 932 cc443-5
Mr. Sainsbury

asked the Secretary of State for the Environment whether he will increase the eligible cost limits for improvement grants.

Mr. Freeson

I have no plans for an immediate general increase in eligibile cost limits for improvement grants, but I shall consider increasing the limits in particular areas to enable essential rehabilitation to proceed. I shall consider, too, the case for increases in the rateable value limits in areas where rateable values are particularly high.

Mr. Sainsbury

Is the right hon, Gentleman aware that his answer will be profoundly disappointing to many thousands of occupiers of older properties? Is he aware that it is more than two and a half years since the limits were increased and that during that time of Socialist Government the cost of living and the cost of building have increased by more than half? Does he realise that his refusal to increase the eligible limits must be damaging the programme of rehabilitation?

Mr. Freeson

I do not think that the hon. Gentleman was listening to my answer. He must have come prepared with a supplementary question to an answer that he did not get. I said that we had no immediate plans for a general increase, but in the meantime I shall be prepared to consider increasing the limits in particular areas to enable essential rehabilitation to proceed and to consider the case for increases in rateable value limits in areas where those values are particularly high. I should have thought that that was a helpful answer. We shall consider the general question at another time.

Mr. Heffer

Is my right hon. Friend aware that his answer will be very welcome, particularly if, as I hope he will ensure, it is applied to Liverpool? Is he aware that I hope that it will be implemented at the earliest possible opportunity in areas such as Liverpool, because it will help the many thousands of construction workers who are now unemployed? Will he consider a limit of more than 75 per cent. in some cases and up to 90 per cent-in special cases? I realise that there would then have to be arrangements about rents.

Mr. Freeson

I should clarify one point made by my hon. Friend. I shall consider applications from Liverpool and elsewhere along the lines that I have indicated, but my answer related not to the percentage of grant aid but to actual cash limits. Grant aid is already running at 75 per cent. in housing action areas and 60 per cent. in general improvement areas. As to future developments and the possibility of assisting repair work and the installation of amenities, I should prefer to await the outcome of our Housing Policy Review, because this matter is being looked at in the review.

Mr. Evelyn King

Why did the right hon. Gentleman's answer refer only to particular areas? Do these particular areas include Dorset? If not, why not? Is the right hon. Gentleman aware that we are getting increasingly suspicious of references to "particular areas", because rural areas are always left out when that phrase is used?

Mr. Freeson

The answer to the hon. Gentleman is incorporated in my original reply. I said that I shall consider the possibility of increasing the limits in particular areas to enable essential rehabilitation to proceed. That related to the original question about the costs incurred in those areas being somewhat higher—and sometimes sharply higher—than elsewhere. Similarly, rateable values are much higher in some areas than in others. We are prepared to look at individual applications, but we are not making a list of areas. We are awaiting applications and we shall consider them.

Mr. Rossi

As this is a matter of great interest to the House and great anxiety outside, can the right hon. Gentleman indicate when he will be able to make a positive statement on the limits to which he has referred? Will he stop coming to the House every six months and saying that another six months are required before the housing policy review can be completed?

Mr. Freeson

The hon. Gentleman has got the import of my answer a little wrong. I said that we shall be prepared to consider applications along the lines indicated in my original reply. It is not a question of my coming here to make a statement listing a number of authorities that will be included. Individual requests will come to us and we shall have to look at them carefully because we are operating under tight public expenditure constraints. We shall receive the applications and, on the basis of the information given to us, we shall make our judgments. Some people will be disappointed, but I hope that we shall be able to help others.

Mr. Sainsbury

In view of the unsatisfactory nature of that reply, I beg to give notice that I shall seek to raise the matter on the Adjournment at the earliest opportunity.