§ 18. Mr. Costain
asked the Minister of Housing and Local Government what are the conditions which local authorities must establish before he will relax the restriction on their lending for house purchase; and to which local authorities this exemption has been granted.
§ Mr. Crossman
Local authorities were informed in a circular dated 16th August that they should as far as possible restrict advances during the current financial year to the average of the past three years; and that, apart from firm commitments at the date of the statement by the Chancellor of the Exchequer on 27th July, loan sanction to cover lending beyond this would be given only where there were special reasons. A number of authorities, including Oldham, have succeeded in showing special reasons.