§ Mr. McMahon
asked the Secretary of State for the Environment, in view of the fact the council house rents are the main source of income to local authorities, if he will consider special financial assistance to local authorities in the event of the majority of housing stock being sold to the occupiers.
§ Mr. Stanley
The hon. Member will wish to take account of the fact that, though rent payment ceases and324W housing subsidy is reduced if a council dwelling is sold, the authority receives instead payment from the purchaser. This may be a capital payment if the purchase is privately financed; or payments of capital and interest if the purchaser has taken a local authority mortgage. In addition, the local authority will no longer have liability for maintenance, repair and management expenses in respect of the dwelling concerned.