HC Deb 21 December 1999 vol 341 c533W
Mrs. Lait

To ask the Secretary of State for the Environment, Transport and the Regions if he plans to include provisions relating to public sector leaseholders in his legislation to reform leasehold law. [103584]

Mr. Mullin

Many of the proposed reforms which my hon. Friend the Minister for Housing and Planning, announced on 20 December 1999,Official Report, column 345W, would apply to both public and private sector leaseholders. The proposals to require landlords to consult leaseholders on proposed improvements, and to allow leaseholders to challenge the cost of these at leasehold valuation tribunals would be of particular benefit to public sector leaseholders.

We are also announcing this week two further measures to help public sector leaseholders with high service charges. We will extend the existing Directions requiring local authorities to reduce service charges to include works carried out under the Private Finance Initiative. We will consult local authorities on a proposal to allow them to charge lower interest rates on service charge debts. At present they have to charge a rate set by my Department, but several authorities have informed us they could charge lower rates and still cover their costs.

These are in addition to other measures that we have already taken to help leaseholders of social landlords. They include issuing directions requiring landlords to reduce charges for some Government funded works which exceed £10,000 per leaseholder in any five year period, and providing financial assistance to social landlords to help them reduce charges or buy back flats which leaseholders want to sell.

Mrs. Lait

To ask the Secretary of State for the Environment, Transport and the Regions if the Leasehold Advisory Service is able to advise public sector leaseholders; and if it employs anyone with specific knowledge of public sector leaseholders' issue. [103585]

Mr. Mullin

The Leasehold Advisory Service is able to and does provide advice to public sector leaseholders. Two of its staff have considerable experience of the particular problems faced by public sector leaseholders.

Mrs. Lait

To ask the Secretary of State for the Environment, Transport and the Regions what guidance he has given to local authorities concerning the funding of advice services for private sector leaseholders only. [103586]

Mr. Mullin

This Department has issued no specific guidance to local authorities concerning the funding of advice services for leaseholders. However, local authorities are well placed to decide local priorities for spending, and are accountable to the local electorate for their decisions.

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