§ Mr. Loydenasked the Secretary of State for the Environment whether his Department is able to assist local authorities to acquire land for housing and other social building at reasonable prices in advance of the coming into operation of the Community Land Act.
§ Mr. OakesMy hon. Friend will appreciate that local authorities must operate within the framework of existing legislation, the effect of which is that they buy land at the best price they can216W in current market conditions. The cost of acquiring land for new housing schemes is admissible for the purposes of the new capital costs element of housing subsidy under the Housing Rents and Subsidies Act 1975. The rate of that subsidy is 66 per cent. of the annual loan charges.