§ Mr. Pikeasked the Chancellor of the Exchequer if he will estimate the cost to the Exchequer of giving council house tenants income tax concessions on the interest rate portion of their rent on a similar basis to mortgage payers and the effect in percentage terms on rents of such a concession.
§ Mr. MooreInterest falling on local authorities' housing revenue accounts is met only in part by rent; the 449W balance is met from central Government housing subsidy, local authorities rate fund contributions, housing benefit and other income. It is therefore not possible to identify the proportion of rents attributable to interest charges. Even if it were and local authorities were required by statute to use the relief to reduce rents, the effect on individual tenants would depend on their entitlement to housing benefit.