HC Deb 04 March 1926 vol 192 cc1625-6W

asked the Minister of Health if he is aware that a number of local authorities making grants under the Small Dwellings Acquisition Act have recently increased the amount of interest charged upon the loans from 5 per cent. to 5¼ per cent.; and if he can give any information as to why this has become necessary?


The rate of interest to be charged by local authorities on loans advanced by them under the Small Dwellings Acquisition Acts was increased by Order made on 28th January, 1926, from 5 per cent. to 5¼ per cent. consequent on the rate of interest charged on advances from the Local Loans Fund being raised from 4¾ per cent. to 5 per cent. as from 1st January. If any local authority can satisfy me that having regard to the terms at which they can borrow for the purpose they can properly lend at a lower rate than 5¼ per cent. I am prepared to make a special Order authorising a lower rate as respects that authority.