§ Mr. John Browneasked the Secretary of State for the Environment what is his policy towards the payment of revenue deficit grant to housing associations.
§ Mr. StanleyAs I made clear last September, the Government wish to see revenue deficit grant (RDG) phased out. I recognise that many associations are already taking steps to reduce their RDG requirement and I am aware of the special circumstances of certain individual associations that are now heavily dependent on RDG. Nevertheless we attach great importance to the phasing out of RDG as rapidly as is practical. In order to make a realistic assessment of the time scale in which individual associations can eliminate their dependence on RDG the Department is writing to all of the 473 associations now receiving RDG asking for their forward projections of estimated income and expenditure up to the year in which RDG payments should cease to be necessary.