§ Mr. Frank Allaunasked the Secretary of State for the Environment what breakdown he has assumed in local authorities' 1981–82 housing investment programme expenditure between direct local authority investment spending on the one hand and loans and grants to private owners and housing associations on the other, in order to estimate the notional deficits on housing revenue accounts for rate support grant purposes.
§ Mr. KingIn determining for rate support grant purposes the aggregate rate fund contribution to Housing Revenue Accounts (HRA's), which in turn determines the aggregate of grant related expenditure for housing, it was assumed that some 70 per cent. of gross capital expenditure on housing would be on items giving rise to expenditure on the HRA, and that virtually the whole of the remainder would be on grants and loans. I should emphasise that these are only notional assumptions for the purposes of the RSG calculations; local authorities are of course free to determine the allocation of their approved totals for themselves.