HC Deb 28 February 1912 vol 34 cc1509-11W
Mr. C. BATHURST

asked the President of the Local Government Board whether, in the event of a judicial decision being hereafter given to the effect that the action of county councils in throwing the sinking fund charges, in respect of statutory small holdings, upon the county rates is ultra vires the Small Holdings Act, 1908, such councils will be surcharged by the auditors of his department the amount of the above charges?

Mr. BURNS

I should prefer not to reply to the hypothetical question of the hon. Member. As I informed him in November last, I am not aware of any case of a surcharge by a district auditor on this account.

Mr. RENDALL

asked the President of the Board of Agriculture if he will state the percentage allowed by the Gloucestershire, Dorsetshire, Cambridge, and Lincoln County Councils in fixing rents to small holders for, respectively, management expenses, repairs, and contingencies; and if he will state the lowest and the highest rates of such percentages which now exist in schemes approved by the Board?

Mr. RUNCIMAN

supplied the following particulars:—

Cambridge. Ten per cent. is charged for management expenses, including repairs and contingencies, where land only is let, and from 10 per cent. to 20 per cent. where land and buildings are let, buildings being charged according to their condition.

Dorset. Management Expenses.—For this service the county council add to the rental paid by them to their lessor a sum varying from 5 per cent. to 7½ per cent., having regard to the varying circumstances in connection with each scheme, amongst which would be the difficulty of access in overlooking the land, and the varying rental values. Repairs.—Where buildings exist on the holdings, 10 per cent., the council undertaking to supply materials and from time to time themselves executing repairs. In the case of holdings where there are no buildings, the council have undertaken to provide new gates, material for repairs to fences, etc., and in these cases have added 2½ per cent. to the 5 per cent. mentioned above. Contingencies.—Two and a-half per cent.

Gloucester. Percentages charged, management five, repairs ten, insurance and contingencies two to five. The figures vary slightly in some cases, but as a general rule the percentages recommended by the Board's Commissioners in their Report for the year 1908 are adopted. In a few cases where there are no buildings on the land the 10 per cent. for repairs is reduced to 5 per cent.

Lincoln.

Parts of Holland. Average management 2 per cent., expenses 4 per cent., repairs 5 per cent., contingencies 1½ per cent.

Parts of Kesteven. As a general rule the Kesteven County Council in calculating the rents to be paid adopt the recommendation of the Board of Agriculture and Fisheries, and allow 15 per cent. for management, repairs, insurance and contingencies, of which 5 per cent. is for management and 10 per cent. for the other three items (which are always grouped together). Each set of holdings has however to be considered on its merits having regard to the price at which the land has been acquired, the condition of the buildings, and, if in a low country, subject to drainage rates, whether these are to be paid by landlord or tenant. In all cases the management is 5 per cent., but in one or two instances the balance of 10 per cent. has not been found sufficient and more has had to be put on in consequence, whilst in several considerably less than 10 per cent. has had to be arranged.

Parts of Lindsey. The percentage allowed by the Lindsey small holdings committee for management in fixing the rent for their small holdings is 5 per cent. on the gross rental. The percentage allowed for repairs and contingencies must necessarily be a variable quantity. The basis the small holdings commitee work upon is as follows: Where the holdings included in a scheme are to be let entirely as bare land 5 per cent. is allowed, unless there are any extraordinary circumstances, such as the upkeep of bridges, etc., which may necessitate a higher rate of percentage being charged. In schemes where the holdings are equipped with houses and buildings from 10 to 15 per cent. is allowed for repairs and contingencies, according to the age and extent of the equipment. Of course, where the land commands a low rental per acre a higher rate of interest has to be charged on the gross rental than is the case where a higher rent is obtainable.

It would not be possible, without very considerable labour, to give the highest and lowest percentages actually provided in any scheme, but I hope that the information above given will be sufficient for the purpose which my hon. Friend has in view.