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Local Authority Housing

Volume 643: debated on Tuesday 27 June 1961

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asked the Minister of Housing and Local Government and Minister for Welsh Affairs how many local government authorities have ceased building houses for general need; and what effect he estimates current land prices are having on rents and general rates.

Authorities do not have to tell me when they cease building for a particular purpose, but at the end of March, out of 1,469 housing authorities, 296 had no houses either under construction or in approved tenders. This figure was almost exactly the same as a year earlier. Land prices account for only a small part of the total cost of a house. Their effect upon rents or rates will depend upon the way in which individual authorities decide to meet their housing costs. Where local authorities find it necessary to build on expensive land, a special subsidy is payable on sites costing more than £4,000 an acre as developed.