§ Mr. Alex CarlileTo ask the Secretary of State for the Environment what plans he has to invest moneys raised from the sales of councils houses into expansion of the rented sector of accommodation; and if he will make a statement.
§ Mr. BaldryLocal authorities must set aside 75 per cent. of capital receipts from the sale of council houses (and 50 per cent. of most other receipts) to meet outstanding debt. They are free to use the remainder of those receipts to finance new capital investment. This arrangement has enabled a greater proportion of capital receipts to be recycled in the form of new credit approvals to those local authorities where housing needs are greatest and where best value for money may be obtained.
Housing associations are now the main providers of new social housing.