§ Mr. CanavanTo ask the Secretary of State for Scotland which housing authorities and housing associations operate a Government-assisted financial incentive scheme to encourage tenants to buy homes in the private sector in order to release rented accommodation for other people; and if he will give details of any such schemes and the legislation under which they operate.
§ Lord James Douglas-HamiltonSection 66 of the Housing (Scotland) Act 1988 makes provision for local authorities to draw up schemes, for the approval of my right hon. and learned Friend, to offer payments to assist tenants to obtain accommodation in the private sector. This releases council housing for letting to homeless or others in housing need. There is no requirement on local authorities to draw up such schemes.
Bearsden and Milngavie district council is the first local authority in Scotland to receive approval to operate a cash incentive scheme. The council has allocated £100,000 towards the scheme which commenced on 1 September 1990 and will offer qualifying tenants up to £10,000 towards the purchase of alternative property. A further three authorities have submitted proposals to operate such schemes and these are currently under consideration.
The tenants' incentive scheme available to housing associations is operated by Scottish Homes under section 2(2) of the Housing (Scotland) Act 1988. I have asked the chairman of Scottish Homes to write direct to the hon. Member giving details of the scheme.