§ Mr. Matthew TaylorTo ask the Secretary of State for Wales if he will list the schemes his Department operates to assist staff facing financial hardship following a transfer, showing(a) the particular criteria and rules applying to each one, including the circumstances under which any loans can be written off, (b) the total amount loaned or granted under the schemes in 1992–93 and so far in 1993–94 and (c) the number of staff assisted in 1992–93 and so far in 1993–94.
§ Mr. RedwoodAdvances of salary are made to departmental staff on permanent and compulsory transfer for direct house purchase. Such loans are advanced mostly when staff move to a higher-priced housing area or when, because of individual circumstances, they would not otherwise be able to move home. Staff must take the maximum mortgage they can afford, loans are limited to half of the annual salary of the staff concerned except those posted to London who can obtain an extra £1,000 if they would be limited to less than £9,500. Loans must be repaid within 12 years of the date of transfer with deferment of repayment not later than four years from the date of transfer. Staff must also contribute the net proceed of sale of the old property.
Loans are also subject to the following conditions:
- the advance is repayable on demand:
- if the borrower ceases to be a civil servant, the outstanding balance will be recoverable at once or if necessary be taken from any payments due to him or her, including pension benefits;
- and if completion of purchase is not made, the advance will be repaid immediately.
There were four loans approved in 1992–93 with a total value of £41,201 and two in 1993–94 with a total value of £4,715.