HC Deb 02 July 1980 vol 987 cc1519-20
14. Mr. Eastham

asked the Secretary of State for the Environment what evidence his Department has of owner-occupiers applying to council housing departments for rehousing as a result of inability to meet increased mortgage repayments caused by high interest rates.

Mr. Stanley

The only evidence we have is from statistics supplied by local authorities of homeless households accepted by them under the Housing (Homeless Persons) Act 1977. In 1978 about 3,300 and in 1979 about 2,700 households in England were accepted as homeless because of mortgage default or inability to pay for owner-occupied accommodation.

Mr. Eastham

In view of the Government's phoney election campaign about home ownership, may I ask whether the Minister is aware that the city of Manchester is now being confronted with owner-occupiers applying to be considered for council houses at the rate of 60 per month? That can be repeated in many other cities as a consequence of the high mortgage interest rates. In view of the hon. Gentleman's policy, what does he intend to do about this matter?

Mr. Stanley

I think that the city of Manchester could solve the problem simply by selling council houses, which would enable the many tenants in Manchester who want to buy to have the opportunity of getting a mortgage. It would also enable the city of Manchester to add to its HIP allocation and to increase the availability of local authority mortgages in the next financial year.

Mr. Robert Atkins

Bearing in mind how many members of the Labour Party, Labour councillors, and probably some Labour Members of Parliament, want to buy their own council houses, what does my hon. Friend intend to do about those Labour-controlled councils, such as Preston, which regrettably are putting a stop on the sale of council houses?

Mr. Stanley

I am glad to tell my hon. Friend that I hope that within a matter of weeks the right to buy legislation will receive the Royal Assent.