§ Mr. Frank Allaunasked the Minister of Housing and Local Government (1) if he will reduce the burden borne by local authorities in the period during which they pay the full market interest rate on housing loans before the 4 per cent. rate begins to operate; and if he will estimate the extra sum this costs on an average-priced council dwelling;
(2) if he will consider granting 4 per cent. loans on new council houses not from the time when the first rents begin to be received, as at present, but 18 months to two years earlier, when expenditure begins; and if he will estimate the approximate national cost to the Government.
§ Mr. FreesonTo make the present subsidies for new dwellings payable when the dwelling is started, instead of on completion, would cost at least £40 million a year extra and increase the average subsidy per new dwelling by well over £200. We could not in present circumstances contemplate such a large increase in housing subsidies.