§ Mr. Freemanasked the Secretary of State for the Environment if he will advise the Housing Corporation in determining grants for 1985–86 to charitable housing associations that the corporation should make an allocation of funds without taking into account the possibility of private finance for part of a project.
§ Sir George YoungThe allocation of funds to individual housing associations within the Housing Corporation's approved development programme is a matter for the corporation. The basis of the allocation is principally an assessment of housing need.
§ Mr. Freemanasked the Secretary of State for the Environment what is the policy and practice for the Housing Corporation on granting a second mortgage to secure its advances for the construction or conversion of new housing association buildings for the elderly leaving a first mortgage for the providers of private sector finance.
§ Sir George YoungThe Housing Corporation normally obtains a first charge for its loans to housing associations in order to ensure the security of these public funds, but it will consider exceptions to this rule in appropriate circumstances where private finance is being offered.
§ Mr. Freemanasked the Secretary of State for the Environment what discussions he has had recently with building societies about funding capital schemes in partnership with the Housing Corporation for private housing associations which are developing projects to care for the elderly.
§ Sir George YoungNone of this particular subject, but proposals for the use of building society finance for housing association schemes, including projects for the elderly, have been put forward by the housing Corporation's private finance working party and are being considered by my Department.