HC Deb 15 July 1987 vol 119 cc537-8W
Mr. Adley

asked the Secretary of State for the Environment what financial inducements are available to private sector developers to generate housing investment in areas designated by his Department as stress areas or deprived inner-city areas.

Mr. Waldegrave

Urban development grant is available for private sector developments which benefit run-down urban areas. Priority is given to schemes from 57 inner area programme authorities. UDG meets the difference between the cost of a scheme and its value. So far, out of a total of 247 approved UDG schemes, 73 have been housing projects, these involve grant of £33 million and private investment of £115 million.

We have also recently introduced urban regeneration grant, under which assistance can be given direct to private sector developers with proposals for the reclamation and redevelopment of large urban sites, or for the refurbishment of very large buildings or group of buildings, for housing and other purposes.

We have enabled housing associations to combine housing association grant and private finance to develop rented housing schemes; it is hoped to draw some £70 million of private investment into such activity in the current financial year, a substantial proportion of which will be spent in inner city areas. The Local Government (No. 2) Bill will give local authorities an explicit new power to provide assistance for private rented accommodation, subject to the Secretary's of State's consent.

Estate action allocates resources to improve the environment and surroundings of run down housing estates. This helps those areas attract private skills and resources in investment in new housing and refurbishment.

We have identified, and made public, details of the thousands of acres of land owned by public bodies and currently lying idle. The land registers, on which this land is entered, are a useful source of information to private developers and my right hon. Friend has invited anyone interested in bringing any of this land back into use to ask him to use the statutory powers available to direct the owner to sell the land.

Urban development corporations and the derelict land programme may also remove obstacles to the development of new housing.