§ Ms. Coffey
To ask the Secretary of State for the Environment if he will allow Stockport to use the capital receipts it has accumulated through sale of council houses to invest in housing.
§ Mr. Baldry
An increase in spending financed from local authorities' capital receipts would be an addition to public expenditure in just the same way as an increase financed by credit approvals to permit additional borrowing. However, by placing constraints on spending from receipts, the Government are able to issue a greater amount of credit approvals to those local authorities where housing needs are greatest and where resources can be put to best use.