§ Mr. PurchaseTo ask the Deputy Prime Minister what arrangements he has made for the transfer of housing revenue account surpluses and deficits between councils who manage their homes(a) directly and (b) through an arm's length management organisation. [135197]
§ Keith HillThe arrangements are the same irrespective of whether authorities manage their own homes directly or through an arms length management organisation. Authorities' entitlement to housing revenue account subsidy for 2004–05 will be calculated in accordance with Determinations to be made after consultation. Each local authority will be required subsequently to submit subsidy claims, calculated in accordance with the Determinations and using a new internet-based system currently undergoing trials with a number of authorities. Where the claim shows that the authority is in deficit and an amount is due to it, subsidy will be paid on-account in 10 monthly instalments starting in May 2004. The amount claimed on account will be subject to audit and, if necessary, adjusted after the end of the year. Where the claim shows that an authority is in surplus, it will be required to make payments to the Office of the Deputy Prime Minister at the same intervals.