§ Sir H. NIELDasked (1) the Chancellor of the Exchequer whether he is aware that the county council of Middlesex, relying on Government announcements and the circulars issued by the Ministry of Health, are making every effort to give assistance, both under the Small Dwellings Acquisition Acts and the Housing Acts, to persons wishing to acquire houses for their own occupation, and in pursuance of such efforts have recently applied to the Public Works Loan Board for a loan to enable them to finance applicants under the said Acts, and have been informed that, while the Board were willing to make advances to the county council for applications under the Small Dwellings Acquisition Acts, they were not lending money to county councils to enable them to make advances for the like purpose under Section 5 of The Housing Act, 1923; whether this reply was made with the authority of the Treasury, and, if so, what is the reason for such a departure from the Government's declared policy;
(2) the Financial Secretary to the Treasury whether he is aware that the Public Works Loan Board, while advancing money to the councils of boroughs and urban districts to enable them to finance persons buying houses under the Housing Act of 1923, declines to afford like facilities to county councils; and whether he will issue instructions to the Public Works Loan Board to advance the required loans to county councils equally with the lesser authorities to enable them to carry out their duties without imposing hardship on persons building or acquiring houses which an increased rate of interest inflicts?
Mr. GUINNESSThe Public Works Loan Board are exercising their powers of lending subject to Regulations which the Treasury have requested them to observe. The Regulations enable loans to be made under the Small Dwellings64W Acquisition Acts to county councils, but do not cover loans to county councils under the Housing Acts. The resources of the Board are limited, and the Regulations are purposely framed to assist the smaller authorities which cannot borrow so readily in the open market as county councils. The Middlesex County Council should be able to borrow directly in the market without competing with the smaller local authorities for advances from the Local Loans Fund.