§ Sir Sydney ChapmanTo ask the Secretary of State for the Environment how he intends to implement the proposals in the Housing Grants, Construction and Regeneration Bill for the establishment of a residuary body to deal with those assets, rights and liabilities remaining when the Commission for the New Towns, the urban development corporations and the housing action trusts are wound up. [29728]
§ Mr. CurryPowers to establish such a residuary body are included in the Housing Grants, Construction and Regeneration Bill. Subject to parliamentary approval of these powers, our intention is to base the new body on the Commission for the New Towns. The reformed body will be a small organisation with clearly defined targets and a limited life. It will concentrate on the disposal of the remaining new town land holdings and other assets at a rate consistent with maximising receipts by achieving full open market values, while also disengaging from the remaining liabilities.
We will discuss with CNT the details of the new arrangements. We need to look carefully at a number of issues including the implications of transferring staff and the extent to which the reformed body should carry forward the powers currently enjoyed by the commission. We will also consult other relevant parties on the detailed arrangements, including the bodies to be wound up, the local authority associations and those representing the interests of affected employees.
When my right hon. Friend the Secretary of State for the Environment announced on 27 July 1993, Official Report, column 896, that it was our intention to wind up CNT in its current form by March 1998, he said that provision would need to be made for the longer-term management and sale of those new town assets which it would not be prudent to dispose of within that time-scale and for the continuing management of any remaining liabilities. Since then, the commission has made considerable progress in disposing of its assets for their 490W full market value and in disengaging from a wide range of liabilities, on which both the board and officials are to be congratulated. We therefore now believe that it would make sense to build on their expertise and experience in order to maximise the returns to the Exchequer on the land holdings which will remain to be disposed of after 1998. In addition, although we expected each individual urban development corporation and housing action trust to dispose of its assets and liabilities before wind up, the reformed body will be able to take on any remaining responsibilities for which no other successor can be identified.