HC Deb 01 February 1978 vol 943 c211W
Mr. Alison

asked the Secretary of State for the Environment what level of specific assistance will be forthcoming for local authorities who have been given a notional allocation under the measures proposed for supporting the construction industry when such authorities proceed to actual expenditure.

Mr. Freeson

Where a local authority is entitled under existing legislation to specific grant for a certain kind of construction work, payment will be made at the prescribed level for any additional appropriate expenditure incurred under the recent construction packages. Additional local authority housing construction expenditure will attract the new capital costs element of housing subsidy. Finally, since other local authority loan charges are relevant expenditure for rate support grant purposes, local authorities will on average receive in 1978–79 61 per cent. towards the cost of servicing any additional non-housing loans.