§ Mr. Sillarsasked the Secretary of State for Scotland what is the average construction cost of a SSHA four-apartment house in Ayrshire; what rate of interest is paid; what bearing this interest rate has on what would be the economic rent; and how much interest will be repaid over the lifetime of the loan charges.
§ Mr. Hugh D. BrownThe SSHA has no houses currently building in Ayrshire. The construction cost of a four-apartment local authority house in Scotland in 1975 averaged £10,770, excluding site servicing and fees. With these costs, loan charges—at the current rate of 14⅛ per cent. for SSHA borrowing from the National Loans Fund—might be around £1,700 a year, and the total interest payable over 60 years of the order of £90,000. An economic rent to cover this and management and maintenance costs might be £1,750-£1,800 a year.
164W
§ Mr. Sillarsasked the Secretary of State for Scotland what is the average construction cost of a local authority four-apartment house in 1976; and how this compares with 1975
§ Mr. Hugh D. BrownI have no later information than that given to the hon. Member for Western Isles (Mr. Stewart) on 29th June.—[Vol. 914, c.137.]
§ Mr. Sillarsasked the Secretary of State for Scotland what is the economic rent of the average local authority four-apartment house in 1976; how much of this is payment of interest; and if he will show how 1976 compares with 1974.
§ Mr. Hugh D. BrownFor a house built in 1975–76, about £22 a week, of which £21 is in respect of loan charges, at an estimated pooled rate of local authority borrowing of around 10 per cent. The corresponding figures for 1973–74 are £12 and £11. Average figures for all four-apartment houses are not available.