HC Deb 10 January 1989 vol 144 cc552-4W
Mr. Sillars

To ask the Secretary of State for Scotland if he will list the groups with which the Scottish Special Housing Association has discussed or intends to discuss the transfer of housing stock in each district council area of Scotland.

Lord James Douglas-Hamilton

[holding answer 20 December 1988]: A number of general inquiries have been addressed to the Scottish Special Housing Association about the transfer of ownership or management of parts of its housing stock. Such inquiries are commercial in confidence. Until such interested parties declare they are interested publicly it would be improper and inappropriate for the SSHA or the Government to announce them. Most inquiries are from existing housing associations mainly interested in small numbers and in particular parts, of the SSHA housing stock in their areas.

Two firm proposals for the purchase of housing stock already have been made public. The SSHA has confirmed that a proposal by a group of senior SSHA managers, advised by Price Waterhouse, to purchase up to 25,000 houses in SSHA's south region and Fife region is not acceptable in its present form. A separate proposal by Grampian Homes Ltd. to purchase up to 3,600 houses in the district council areas of Aberdeen, Banff and Buchan, Gordon, Kincardine and Deeside and Moray which includes proposals to establish ownership corporations and housing associations, is still under consideration and it will be for Scottish Homes to respond to this proposal after 1 April 1989.

Mr. Sillars

To ask the Secretary of State for Scotland on what authority the Scottish Special Housing Association has entered into discussions for the transfer of housing stock and tenants to other landlords; what involvement his office has had in this; what safeguards for tenants he has demanded of the Scottish Special Housing Association; and what is his general policy on stock transfer ahead of 1 April 1989.

Lord James Douglas-Hamilton

[holding answer 20 December 1988]: Public sector landlords, including the Scottish Special Housing Association, have always had the legal right to make voluntary disposals of houses to other landlords, subject to the Secretary of State's consent. A number of inquiries have been made about the transfer of SSHA houses, but the Scottish Office has not given its approval to any proposals for the voluntary sale of SSHA stock. It has been made clear to such inquirers that the diversification of housing tenure is one of the Government's objectives and that the Government welcome appropriate moves to reduce the dominant public sector share of the housing stock in particular localities. However inquirers have been told that they must submit any proposals to the SSHA.

I have also made it clear to SSHA that it must follow the guidelines issued recently to local authorities on the handling of such voluntary sales or the Secretary of State would not be prepared to consent to any disposals. In particular, the Secretary of State would need to be satisfied prior to any possible sale that there had been proper arrangements for consultations with tenants. The Secretary of State would also wish to consider carefully the value for money of any proposal put forward by SSHA or Scottish Homes and all relevant matters affecting the interests of tenants. More detailed guidance on the particular factors relevant to proposed sales of SSHA, or in future Scottish Homes, stock is being prepared by the Scottish Development Department.

I have concluded, with the agreement of the SSHA, that it should be for Scottish Homes to respond formally to proposals for voluntary transfers of stock after 1 April 1989. Scottish Homes will of course be required to consult tenants if it wishes to proceed with a proposal, and depending on the outcome, would then have to seek the Secretary of State's consent and satisfy the Secretary of State that the interests of tenants were safeguarded.