§ Mr. Kirkwoodasked the Chancellor of the Exchequer if he will estimate the cost to the State of enabling local authorities to pay off existing housing loans by means of an interest-free loan repayable over the remaining period of the 40 years for which the Exchequer is liable for subsidies and the set-off against such charge of the savings thereby occasioned, to the taxpayer by the abolition of the housing subsidies and to the ratepayer by the removal of the burden of interest.
§ Sir J. AndersonI am not sure that I understand the hon. Member's Question, for local authority loans are, of course, only repayable in accordance with the terms on which the loans were contracted. If, however, he has in mind the release of local authority housing accounts from interest charges, the broad result, if it could be secured, would be an increase of charge to the taxpayer equal to the rate contributions now made by local authorities and to the profit which they would then enjoy from the receipt of the net produce of rentals.