§ Mr. Wellbeloved
asked the Minister of Housing and Local Government (1) whether he is aware of the growing public concern at the high cost per unit of housing to be provided by the Greater London Council at Thamesmead; whether he is satisfied that the resultant rents will be in accordance with Government policy; and if he will make a statement;
(2) what is the amount of Government grant that will be made to the Greater London Council in respect of stage I of that Council's housing development at Thamesmead; and if he will make a statement.
§ Mr. MacColl
The amount of housing subsidy for Stage I of Thamesmead has yet to be settled. It will be based on the actual cost of building the dwellings and will be paid under the Housing Subsidies Act, 1967, the broad effect of which is to reduce the effective borrowing rate on approved expenditure for new local authority housing to 4 per cent. The contract for this stage was signed before the housing cost yardstick was brought into operation. My right hon. Friend has taken no decision yet on Stage II.