HC Deb 01 March 1976 vol 906 cc414-5W
Mr. Cartwright

asked the Secretary of State for the Environment how many local authorities are currently operating loan schemes for house purchase; and how many of these are now charging more than 11 per cent, interest to existing borrowers.

Mr. Armstrong

There are at present 394 local authorities in England who have approval to operate loan schemes for house purchase, but a few of these have suspended their schemes for the time being. Local authorities are not required to notify my Department of the interest rates they are charging, but I am aware of 112 councils who rates are currently in excess of 11 per cent.

Mrs. Ann Taylor

asked the Secretary of State for the Environment (1) what is the average level of a mortgage granted by a local authority;

(2) what is the average level of a mortgage granted by the building societies;

(3) how many applications for mortgages from local authorities are turned down;

(4) what was the total amount of loans in mortgages by local authorities in each of the last 10 years; and to how many people these loans were made;

(5) what is the average waiting period from the time of an application for a mortgage from a local authority to the time of the granting of that mortgage;

(6) what is the average repayment period for a mortgage granted by a local authority;

(7) if he has any statistics to show how many loans have been made by local authorities for the purchase of houses (a) without bathrooms, (b) without an entrance hall, (c) without any front garden but opening directly on to the street and (d) over 60 years old.

Mr. Armstrong

English and Welsh local authorities reported advancing £636 million to 102,000 private persons for house purchase in 1975.

In addition, they lent £26 million to private owners for conversions, improvements and other work on housing and £127 million to housing associations. Corresponding figures for 1966 to 1969 and 1970 to 1974 appear in Housing Statistics No. 24 and Housing and Construction Statistics No. 15. Copies are available in the Library.

The average local authority advance for house purchase in 1975 was about £6,250, which is estimated to be nearly 90 per cent. of the average price. Corresponding figures for advances by building societies are £7,400 and 62 per cent.

For local authority advances to private purchasers, it is estimated that the average repayment period was 24 years and that rather more than 60 per cent. were on housing built before 1919.

I regret that the other information is not available.