HC Deb 14 November 1990 vol 180 cc169-70W
Mr. Dunnachie

To ask the Secretary of State for Scotland if his Department has considered the numbers of completions and applications achieved under the rents-to-mortgages scheme in its first year as against the target set by Scottish Homes; and if he will make a statement.

Lord James Douglas-Hamilton

The pilot rents-to mortgages scheme was introduced in October 1989 and has been monitored carefully by Scottish Homes and the Scottish Development Department. At end October 1990 over 1,400 inquiries had been received and 82 sales had been completed, with a further 100 applications in the pipeline. I expect that over 200 sales will have been completed by March 1991.

This position is comparable with the early stages of the right-to-buy scheme. In 1979 under the voluntary arrangements then operating the Scottish Special Housing Association sold only 10 houses to sitting tenants but by 1980 there were more than 1,400 sales. We expect the rents-to-mortgages take-up also to show a marked increase in future.

Mr. Dunnachie

To ask the Secretary of State for Scotland on what grounds it is proposed to exclude from participation in the rents-to-mortgages scheme council tenants in receipt of housing benefit.

Lord James Douglas-Hamilton

Home ownership carries with it substantial responsibilities and it would be wrong to encourage tenants to take on financial commitments under the pilot rents-to-mortgages scheme which they then may be unable to meet properly.