asked the Minister of Housing and Local Government by how much he expects local authorities to lower the level of rates as the result of the Government's economic measures.

I cannot estimate what effect the Government's economic measures will have on rates next year, but I am confident that local authorities will respond to the call to make all proper economies.

Is it not the Government's duty to create the conditions in which local authorities can try to lower the level of rates? What are the Government doing about it? Will the abolition of the surcharge, which made rates rise, allow local authorities to bring down rates by that amount?

The Local Government Bill at present before Parliament will help local authorities substantially to keep rates down. We have also made provision through the rate rebate scheme to help the less well-paid members of the community to shoulder the burden of rates, for the rate burden has been rising steadily as the years have gone by and as services have been expanded and improved.

Will my right hon. Friend agree that rates become fairer the more the burden is shifted from rates to taxation? Will not he consider increasing the extra £30 million that it is proposed to transfer from the Exchequer to local authorities next year?

The first part of my hon. Friend's supplementary question raises a rather wider issue. On the second point, I regret that the answer must be "Not at the moment".

Does the Minister agree that, in spite of the relief in the Local Government Bill, such as it is, even if he does not know everyone else knows that the rate bill next year is likely to rise by about 10 per cent., or £120 million? What does he propose to do about it? Since he asks local authorities to keep rents down, why does he not give some advice on how to keep rates down?

We have given advice of this kind, but the right hon. and learned Gentleman must be aware that it will be necessary in this year to meet the further expenditure incurred because of expanded social services provided by local authorities last year. This is the problem which the Tory Government failed to solve. I believe that we are making progress towards solving it.

asked the Minister of Housing and Local Government (1) whether he will amend the building regulations so that planning authorities have discretion to waive their requirements when applied to buildings listed as being of historic or architectural interest;

The requirements of the regulations can be relaxed in any particular case, and there is a right of appeal if the local authority refuses an application for relaxation. My right hon. Friend does not think it would be right to go further in these cases.

Will the Parliamentary Secretary keep a very close eye on it? Is he aware that some planning officers act like little Hitlers in this matter and apply regulations to the letter? Many old buildings which could be homes for people lie unused and others are ruined in the process of bringing them up to date?

I undertake that my Ministry will give all the help it can. If the hon. Gentleman has any particular case in mind and will consult us, we shall be glad to discuss the matter with him.

Will the Joint Parliamentary Secretary bring his reply to the notice of local authorities and local planning officers? I am sure that this is not known and is causing great difficulty.

Certainly.

asked the Minister of Housing and Local Government why he has refused the Grainthorpe Parish Council's request to sell £700 savings bonds and use the money towards the cost of the playing fields in the village; if he will reconsider his decision; and if he will make a statement.

Local authorities have been asked to reduce or postpone spending on projects which are not essential. My right hon. Friend would reconsider the decision if there were good reasons for acquiring playing fields now.

Is not this a small concession to ask from a Government who have increased the Civil Service by 200,000 at a cost of £200 million a year extra? Why do not the Government keep things in proportion and allow small authorities to do this necessary work?

Economy consists of watching the pennies as well as the £s. If in this particular case the parish council has a good case for doing this work now and not waiting, my right hon. Friend is very sympathetic to small authorities, but it is important to remind all local authorities that expenditure must be kept down.

asked the Minister of Housing and Local Government if he will take steps to ensure that local auth- orities do not dismiss employees merely on the ground that the refuse to join a trade union; and if he will make a statement.

There is a well established tradition, which my right hon. Friend does not propose to break, that local authorities should be left to manage their staff employment matters without interference from him. The operation of closed shop policies by employers generally, including local authorities, comes within the terms of reference of the Royal Commission on Trade Unions and Employers' Associations.

Is the Parliamentary Secretary aware that Barnsley Corporation has dismissed a little man, a part-time labourer, because the National Union of General and Municipal Workers imposed a £6 fine on him which he refused to pay? Will the Minister do something to stop this petty tyranny by local authorities and trade unions?

The hon. Gentleman quotes an individual case. Our Department has no evidence that any local authority services are in jeopardy from the operation of closed shop policies. This must be a matter that is left to people at local level, and let me remind the hon. Gentleman that they are elected locally.

Does my hon. Friend not concede that a trade union has the right to impose penalties within its own rules on members who break or defy the union's rules?

The man is not a member.

Many people in this country are willing and prepared to hold out their hands and take whatever increased wages the trade unions get for them without making the slightest contribution to the particular trade union concerned.

Would the Parliamentary Secretary take into account the Minister of Labour's known attitude towards the closed shop and not try to shuffle this off until the Royal Commission has reported, which will be a considerable time?

I am not trying to shuffle anything off. But this argument is out of proportion. One would believe that all local authorities are in a great deal of chaos because of the closed shop principle. We have no evidence of that, and this must be a matter to be decided at local level and not by the Minister.

Will my hon. Friend assure the House that he will do his best to make certain that we do not return to the days when Tory employers used to sack men for being trade unionists?

That is another side of the argument. It is not the Government's policy to interfere with local government on matters of this kind.

Will the Parliamentary Secretary at least give an assurance that it is not the Government's policy to encourage this sort of petty tyranny, and will he understand that what is at stake is not the efficiency of the local government services but the rights of individuals?

The rights of individuals and, of course, the rights of majorities must also never be ignored.

asked the Minister of Housing and Local Government if he will send a circular to major local authorities recommending them to build special toilets for disabled people.

A recent circular on access to public bulidings for the disabled included advice on the design of cloakroom accommodation. We are very anxious to do all we can to help the disabled. The Department raises the matter with local authoriies seeking loan sanction for public conveniences whenever it appears that provision for disabled persons could reasonably be made.

Would my hon. Friend agree, however, that it is time further pressure was brought in this respect? Is he aware that in many parts of the country there are no toilet facilities which these people can use, and that it is now essential that local authorities should provide some services for them?

I do not think that the circular has yet had its full effect, but my right hon. Friend is in touch with his right hon. Friend the Minister of Health and is watching the position.

Would my hon. Friend agree that while the circular is most useful there is a serious problem about existing public conveniences, particularly in central London? Most public conveniences are underground and their access is by difficult steps. Could my hon. Friend try to encourage the use of ramps, the widening of doors and so on in existing public conveniences to help these people?

I think that local authorities are well aware of the problem, and where they can reasonably make conversions they do so.

asked the Minister of Housing and Local Government what action he will take to facilitate the implementation of the recommendations by Professor Buchanan in the South Hampshire Study.

I am now considering the preliminary views, which I have recently received, of the local authorities which joined with my predecessor in commissioning this report, together with those of the South East and South West Economic Planning Councils.

Will not a new form of local or regional Government be essential to see this plan through? What lead does my right hon. Friend's Ministry intend to give in this respect?

I had better not prejudge the recommendations of the Royal Commission on Local Government or, indeed, future proposals for the organisation of economic planning councils. I have been to see the eastern part of the area in which my hon. Friend is interested in order to complete the review which was started by my predecessor at the western end of the area.

asked the Minister of Housing and Local Government what steps he proposes to take to help those local authorities which have had a large increase in population over the last 10 years and where larger increases are planned for the next 10 years.

Substantial assistance is given under the new towns and town development legislation, and my right hon. Friend is not so far convinced that any additional assistance would be warranted.

Is the hon. Gentleman aware that in areas such as North-East Essex which have had almost the equivalent of a new town, we are most anxious about being given a loan sanction for new sewerage facilities, for example, and, although we realise the need for economy, we want the Minister to look into the matter sympathetically?

My right hon. Friend gives special attention to loan sanctions in areas of development.

asked the Minister of Housing and Local Government in view of the fact that the Royal Commission on Local Government will not now report until the winter of 1968, what steps he is taking to alleviate the rate burden, particularly in seaside areas with little industry.

I invite the attention of the hon. Member to the help given by provisions of the Rating Act, 1966, and the Local Government Bill.

As the rate increase is likely to be anything up to 10 per cent. next year, will the Minister say now that any increase above the almost zero norm of the First Secretary of State will be referred at once to the Prices and Incomes Board? Why should we have one law for the rent payer and another for the ratepayer?

It is impossible to judge individual cases of that kind. The hon. Gentleman should bear in mind that all areas which have below average rate resources per head of population receive substantial financial help from the Government. For example, Harwich is receiving help to the extent of about one-third of its expenditure and Brightlingsea to the extent of about 40 per cent., so the hon. Gentleman has no real ground of complaint whatever.

Does not the Minister recognise that in their election pledges the Government said that they would transfer the larger part of teachers' salaries to the Exchequer? Does he realise that, if they had given the relief they promised, there would be no question next Year of these rate increases of 10 percent.?

:larger part is borne by the Exchequer.

What about the promised transfer of more?

Will the Minister consider raising the relief limits under the Rating Act in view of the exceptional circumstances which will prevail next spring?

Not at this stage of the legislation.

asked the Minister of Housing and Local Government what steps he will take, by legislation or otherwise, to prevent local authorities from selling public land and property.

I am considering whether the conditions of the general consent, which permits local authorities to sell council houses, need any modification. I have no proposals for preventing local authorities from selling other land and property.

Is my right hon. Friend aware that some Tory councils, with a rather shortsighted attitude, are selling property which belongs to the community as a whole and from which the community as a whole would benefit over generations?

There are two parts to this problem. First, as regards council houses, the decision must depend upon local circumstances. There may be no objection to councils selling council houses to tenants or to people on their waiting lists, but it must not be done at the expense of people on the waiting list. As regards other assets, I very much hope that local authorities will consider very carefully before deciding to dispose of assets which have been created through the foresight of their predecessors.

We very much welcome what the Minister has just said, but will he make a distinction between the selling of existing council houses and the building of houses by local authorities for sale to persons on the waiting lists?

I appreciate that.

asked the Minister of Housing and Local Government whether he will seek to enlarge the terms of reference of the Royal Commission on Local Government so as to enable them to consider the growing practice of a number of borough councils within the Greater London area to set up policy committees specifically excluding representatives of the minority group from their deliberations.

No, Sir. I understand that Sir John Maud's Committee on Management in Local Government are considering the working of the committee system, including no doubt the practice to which the hon. Member refers.

Will the right hon. Gentleman not at least strongly condemn this deplorable practice, now adopted by the Labour-controlled Camden and Lewisham Borough Councils, which means that in those two boroughs Conservative councillors are being deliberately excluded from the policy-making of councils to which they have been democratically elected?

I must resist the hon. Gentleman's invitation for me to be too grandmotherly in my approach to local authorities. The law allows them to set up whatever committees they wish and to decide the conditions under which they are to operate. I see no reason to take any action in anticipation of the report which Sir John Maud will no doubt present.

In view of the housing shortage in Bromley, does not my right hon. Friend think that the hon. Member for Bromley (Mr. Hunt) would be better concerned with his own affairs?

Does not the Minister nevertheless agree that this practice is as unprecedented as it is undesirable?

I see no reason for saying that it is ipso facto undesirable. If the right hon. Gentleman could produce any evidence that it is producing adverse effects, I will look at it again, but for the moment I see no reason to depart from the law as it stands.

asked the Minister of Housing and Local Government what progress has been made by local authorities for disposing of derelict cars.

The main item of progress since the hon. Member asked about this in March is that the Greater London Council are now preparing a scheme for disposal of derelict cars throughout their area.

Does the Minister and local authorities—and not only in Greater London—realise how urgent a problem this is? Has anything whatever resulted from Circular 8/65? Alternatively, are there any plans for making car owners and manufacturers responsible for giving a decent burial to dead cars?

The problem is greater in Greater London than it is outside. I think that the circular has led to quite an amount of experimental work being begun. I refer the hon. Gentleman also to the Civic Amenities Bill, which will extend the duties of local authorities.

Is my hon. Friend aware of the excellent scheme in Sweden, whereby abandoned cars are dumped in the depths of the sea? Will he look at the possibility of using a similar method here?

I will look at any suggestion my hon. Friend makes to me.

asked the Minister of Housing and Local Government if he will give a general direction, in the public interest, to ensure that water extracted from National Coal Board mines in England and Wales is made available for public use and not allowed to go to waste.

No, Sir. Water from mines varies from time to time both in quality and quantity. The right use for it in each case is best left to river authorities and water undertakers to decide. Where it is not used for public supply it can play a useful part in augmenting river flows.

Is the hon. Gentleman aware that last year some 88,000 million gallons of water were pumped from N.C.B. mines in England and Wales at a cost approaching 5s. per ton of saleable coal in many of the mines? As this represents about one month's water consumption in a country which is running short of water, should not this problem be considered again?

We are aware of it and we are looking at it. One of the problems is that the overall figure hides the fact that this is spasmodic and varies in quality and is spread over a very wide area.

asked the Minister of Housing and Local Government what action he proposes to take in respect of mortgage interest rates in the light of the report by the National Board for Prices and Incomes.

I would refer to the reply which I gave to a Question by the right hon. Member on 1st December.—[Vol. 737, c. 144.]

Does that mean that the right hon. Gentleman will not indicate the views of the Government yet? Is he aware that rates are due to move on 1st January? This matter has been before his Department for six months. Does he intend to do nothing about it?

The point which the right hon. Gentleman must bear in mind is that we have received the report of the National Board for Prices and Incomes on this. It involves a great deal of consideration both by the Government and by the various lending agencies, particularly the Building Societies Association. The Association has a meeting on Friday. It knows well our wish that it should not be necessary for mortgage rates to increase. I have no doubt that the Association will take that into consideration. I do not think that further speculation at this point would be helpful either to the Association or to ourselves.

asked the Minister of Housing and Local Government what steps are being taken by his Department to encourage the growth of cost-rent housing schemes for those mainly unable to acquire council accommodation but also not able to purchase a house of their own.

The Housing Corporation is responsible for encouraging the development of cost-rent and co-owner-ship housing. A total of 371 new associations has been formed since it began work in January 1965, and progress is continuing. Co-ownership societies will be covered by the option mortgage scheme published yesterday and no further stimulus seems to be required from us at present.

Would my hon. Friend agree that there is a desperate need for accommodation, especially for young married couples and those with young children who cannot get council accomomodation and cannot afford to buy a house of their own, and that more should be done to encourage cost-rent housing schemes? Is he aware that in Croydon the local church housing society has taken the initiative by building 50 units of accommodation to be let at cost rents?

Let us get on record that the Government are anxious to extend the principle of co-ownership associations and housing associations. I ask my hon. Friend to wait and see the report of the Housing Corporation. He will find that it is asking to go ahead, and I hope that this movement will expand.

The Parliamentary Secretary told us that this will apply to co-ownership schemes, but it is the cost-rent housing associations which really need help. Is it not a fact that the Government have just refused to grant a subsidy when it was requested by the Housing Corporation for this very purpose?

I suggest that the hon. Member raises that question when we debate the Housing Subsidies Bill.

asked the Minister of Housing and Local Government what proposals he has for reducing the cost and stimulating the production of system-built dwellings.

Measures to stimulate the production of system-built dwellings are described in Circular No. 76/65 of which my hon. Friend has a copy. The key to reductions in cost is longer production runs and concentration on the best systems and plan types.

I thank my hon. Friend for that reply, which is very helpful, but would he consider making more use of the agrément boards vis-à-vis local authorities? Would he not think that where particular techniques are not covered by codes of practice or building regulations a certificate from a board could be very useful for a local authority?

I do not wish to go into technical details on system building, but the figures of local authority house building to be issued at the end of the year will show a dramatic increase in the amount of housing produced by industrialised methods. If the firms producing these systems are to succeed they must be given long-term contracts. That is why we are giving many local authorities forward programmes, to enable them to give those long-term contracts.

What contribution does the Parliamentary Secretary expect from the Component Co-ordination Group, announced last week, towards the cheapening of industrialised housing? Is he satisfied with the progress being made towards the production of industrialised housing in the sphere of two-storey housing?

A great deal is now known on system-building. It is a fact that with high-rise system building is not only faster but cheaper, and that with low-rise it is not so cheap as traditional building but in many instances is faster. I think that the reason is that long-term contracts have not been given for low-rise. We certainly think that the consortium is the right approach to this matter, because then we can give longer-term contracts. That is really the key to the problem. But when the figures are given at the end of the year the House will be generally satisfied with what is being done in this respect.

Does the Parliamentary Secretary appreciate that certain systems pay the Selective Employment Tax and others do not? What consultations has he had with the Minister of Labour to sort this out?

If the hon. Gentleman wants to ask a question like that he had better put it down on the Order Paper. There is nothing here about S.E.T.

asked the Minister of Housing and Local Government what evidence he has as to the success of local authority experiments in providing lists of houses for sale; and what steps he is taking to encourage the extension of this service.

As soon as the seven local authorities taking part in the experiment have had sufficient experience of keeping a register for this purpose, a meeting will be held to assess the value of such a service.

In view of the need, will the Minister give the green light to all local authorities to go ahead and provide facilities for buying and selling houses? Is he aware that home seekers and sellers in Britain are fed up with being fleeced by parasitic estate agents?

The scheme has been under way for only a short time. We should wait and see what we have learnt from this very important experiment, in which seven important local authorities are taking part. I understand that the meeting to which I referred in my Answer will be held early next year.

Will the Parliamentary Secretary consider extending the experiment to lists of council houses for sale, in view of the great success of this scheme in Birmingham?

No, Sir.

asked the Minister of Housing and Local Government how he proposes to improve existing legislation covering compensation by local authorities for the compulsory purchase of private houses.

I take it that my hon. Friend has in mind compensation paid in respect of houses that have been found unfit. I have no proposals to put forward at present, but this is one of the many problems relating to older houses which are under review.

Is there not a good deal of confusion in the existing legislation? Is my right hon. Friend aware that in large areas of development owner-occupiers of limited means feel that they are being asked to bear a disproportionate part of the cost?

I think that there is a good deal of misunderstanding about this. I have looked very carefully into the special problems which my hon. Friend has in mind, but it should be remembered that site value has been the basis of compensation for many years. We would all agree that it can cause hardship, however, and I am at present looking into ways and means of alleviating this.

Is not the trouble due to the right hon. Gentleman's predecessor's refusal to accept an Amendment to the Housing (Slum Clearance Compensation) Bill which would have preserved market value for a large number of these houses?

No, Sir.

Is not the Minister aware of the grave hardship to owner-occupiers arising from the Government's Housing (Slum Clearance Compensation) Act, 1965? Will he look into a case in my constituency of a compulsory purchase order on several streets of owner-occupied houses which were purchased in recent years for £500 or £600 but for which the owners are to receive site value of £35? Is not that shocking?

I shall look into any cases of hardship which hon. Members bring to my attention. I thought that I had already made clear that I am aware that hardship can be caused and I am looking into it.

asked the Minister of Housing and Local Government what steps are taken to enforce the Accommodation Agencies Act, 1953, against accommodation agencies in London which charge tenants of furnished lettings a week's rent for putting them in touch with their landlords.

It is not an offence under the Act to provide that an incoming tenant should pay an agent's normal fee for arranging the letting of furnished accommodation.

Ought it not to be made an offence? Is it not intolerable that tenants should be charged for being put in touch with their landlords, and is not this contrary to the intention of the Accommodation Agencies Act?

The object of the Act was to stop fees being extorted from people who got no service in return, whereas in the case raised by my hon. Friend there is a service performed in arranging the letting.

asked the Minister of Housing and Local Government (1) if, following his inquiries, he will state how many local authorities allocate municipal tenancies on the basis of points schemes;

The inquiries made last year were limited to a small selection of local authorities with substantial multiple occupation problems and no comprehensive information is available.

Does my hon. Friend agree that the rules by which councils allocate their tenancies vary from area to area in an arbitrary and unjust fashion? Is it not up to his Ministry to find out what the systems are and impose some regularisation on the worst examples of the procedure?

Outside London about three-fifths of the local authorities we approached had residential qualifications of one year or less. Inside London, most of the London boroughs, for example, have a rule that applicants should live five years in Greater London before an application can effectively be considered. On the general argument about qualifications for the waiting list, my hon. Friend should bear in mind that in some of our big towns and cities which are concentrating on slum clearance and redevelopment, the waiting lists, by and large, are not of much value anyway.

Will not the hon. Gentleman agree that the difficulty about the waiting lists is the secrecy maintained by local authorities? Is there any need for secrecy regarding the housing waiting lists and the points systems?

That is not my experience. I find that local authorities generally do an extremely honourable job here. For some individual applicants on waiting lists, the medical background and so on must be kept secret. My own impression is that it is done in a very honourable and decent way.

Will my hon. Friend make inquiries from local authorities about whether they are meeting that request made by his Ministry to see that men discharged from the Forces are not put in the same position of having to reside in the place for two or three years before they can go on the waiting list? There are some local authorities which are not meeting that request.

We sent a circular requesting local authorities to recognise that ex-Service men are in a special position, and we are desperately anxious that these people should be given a chance to qualify for housing before they are discharged. This is a two-way traffic. The Service authorities themselves must also help here by giving notification of those Service men who are to come out of the Forces some time before they do so. I agree that local authorities should co-operate and help here, and in the main they are doing that now.

asked the Minister of Housing and Local Government whether he will now encourage local authorities to undertake an increase in their home mortgage facilities.

I shall shortly be discussing with the local authorities their arrangements for lending for next year.

Is my right hon. Friend aware of the difficulties and hardship suffered particularly by young married couples in getting mortgages from local authorities since the local authorities, under Circular 24/66, are unable to make advances on new properties, and people are precluded from getting mortgages from building societies owing to the need for the husband to have a high income? Will my right hon. Friend now modify Circular 24/66?

It would be wiser to await the result of my discussions with the local authorities. I have no knowledge that abuse of the system is as widespread as my hon. Friend says, but the option mortgage scheme we announced yesterday will go a long way towards helping some of those to whom he referred.

Since I represent the politically sounder part of the borough, may I put two supplementary questions? First, is it not true that these moneys to be lent to prospective house purchasers are lent on the valuation and not the price paid for the property? Secondly, would not the right hon. Gentleman recognise that, so long as his housing programme is a failure, lending inadequate funds to buy houses which are not there at inflated prices is a piece of cynical window-dressing?

The answer to the first part of that lengthy supplementary question is, "Yes". The reply to the second part is that perhaps the hon. Gentleman will read the Housing Subsidies Bill we published yesterday.

asked the Minister of Housing and Local Government what application he has received from the Greater London Council for permission to acquire land compulsorily in the London Borough of Bromley; and what reply he has sent.

None, Sir.

If and when he receives such application, will the hon. Gentleman remind the G.L.C. that Bromley has a very long waiting list of its own and that the more imaginative and intensive use of land within the inner London area would be a far more constructive solution to its problems than the kind of bluster and bullying that Bromley Council has had to face in recent weeks?

I understand that there are to be further discussions between Bromley and the G.L.C. this month, and I should have thought that statements of the kind just made by the hon. Member would do more harm than good in advance of those discussions.

Is it not a fact that the Tory-controlled London Borough of Bromley has shown itself to have a selfish, dog-in-the-manger attitude towards the general housing needs of London's population, showing that the council there lacks social conscience?

One fact is clear. The problems of the inner London boroughs are so immense that they will need all the help they can get from Bromley or anywhere else.

asked the Minister of Housing and Local Government what estimates he now makes, in view of his recent study of the matter, of the size of the housing programme in 1967, 1968, and 1969; and whether he still hopes to achieve 500,000 houses in 1970.

asked the Minister of Housing and Local Government what is his latest estimate of housing completions in England and Wales in 1966 and for the subsequent years to 1970.

I expect about 380,000 houses to be completed in Great Britain this year, of which around 37,000 will be in Scotland. There is no change in the target of 500,000. Progress, however, is subject to continuing review. Much will depend on performance in the private sector, which is less predictable and controllable than the public sector.

Whilst I warmly welcome the Housing Subsidies Bill, which will be a big help, may I ask my right hon. Friend how he intends to reach the target when the programme remains stationary for three years at 380,000? Unlike the attitude of right hon. and hon. Members opposite, will my right hon. Friend press in the current Cabinet discussions for more of the G.N.P. to be devoted to housing than to the sale of arms?

The latter part of that supplementary question raises wider issues. I hope that my hon. Friend will bear in mind that the number of houses built by the public sector has steadily increased over the last two years, and we must hope that the economic situation will permit equal progress in the private sector.

Has the right hon. Gentleman then departed from the announced decision in the National Plan to allot to housing a greater priority than it has had for many years past? Has he noticed that employment in the construction industry has dropped recently?

We continue to give very high priority to housing, and there is no intention to depart from that. This is shown by the number of allocations of houses in the public sector.

Will my right hon. Friend indicate what discussions he has had with the Minister of Public Building and Works on the question of development or further development of industrialised building in order to speed up the whole process?

My hon. Friend the Parliamentary Secretary dealt with that point in answer to an earlier Question.

Is it not clear that fewer houses will be completed this year than last year? If that is the result of the Government giving high priority to housing, will the right hon. Gentleman please apply totally different policies and try at least to get back to the rate of increase which existed under the Conservative Government?

There was no rate of increase in the production of houses in the public sector under the right hon. Gentleman's Administration. My reply refers to about 380,000 houses. The figure last year was 382,000, which was higher than the Conservative Government ever achieved.

Do the Government really believe that under their Administration more and more people will go on needing council houses at subsidised rents? Is it not part of their policy to see a general rise in the standard of living so that people can own their own houses? Does not the right hon. Gentleman agree that the Ministry's published figures show that next year private starts are likely to be down by 30,000? How does this affect his plans?

I would remind the Opposition that there are still 1 million slums and 2 million sub-standard houses and that the need for houses to rent will continue for a considerable period. I very much regret to see the satisfaction of right hon. and hon. Members opposite when they think that there is ground for believing that we are not going to succeed in housing as many people as we would like to do.

asked the Minister of Housing and Local Government if he will now announce the date of the introduction of the mortgage option scheme; and when he estimates it will be operating.

The option mortgage scheme is provided for in Part II of the Housing Subsidies Bill introduced yesterday. A White Paper was published with the Bill describing the scheme. The proposal is that it will come into operation on 1st April, 1968.

Does not the right hon. Gentleman agree that it is disappointing that, after years of promises by Ministers, the scheme will not come into force until 1st April, 1968, which will be nearly four years after the Government took office?

Yes, it is extremely disappointing. The Bill is about 16 years too late.

asked the Minister of Housing and Local Government what directives or advice he intends to give local housing authorities regarding rent increases during the period of severe price and wage restraint.

asked the Minister of Housing and Local Government what action he is taking to see that rents are not increased during the period of severe restraint.

I would refer my hon. Friend and the hon. Member to paragraphs 19 and 20 of the White Paper, "Prices and Incomes Standstill: Period of Severe Restraint" published on 22nd November.

Is it not the case that while housing authorities are under an obligation to balance their housing revenue accounts annually, they have no option but to increase either rents or rates, or both, when facing a deficit? Will my right hon. Friend, therefore, consider taking steps to relieve them of this obligation during the period of severe price and wage restraint?

That course would involve a substantial departure from the practice which has been pursued. It is a fact that local authorities are under this statutory obligation, but I think that when he studies the new Housing Bill my hon. Friend will agree with me that the help which we are to give will be of great assistance to local authorities in avoiding rent increases.

Would not the right hon. Gentleman agree that at a time when it is impossible for employees to get increases in salaries and wages, it is quite wicked in this period of severe restraint that they should have the hardship of meeting increased rents and rates? This is an intolerable burden.

I am sure that the hon. Gentleman has carefully read the White Paper on Prices and Incomes in which we express the hope that local authorities will exercise the utmost economy and keep down both rents and rates, but I hope that when local authorities are faced with rent increases they will consider the desirability of rent rebate schemes, which will go a long way towards helping the citizens to whom the hon. Gentleman has referred.

Is my right hon. Friend aware that his answers to these questions are totally unsatisfactory and give no hope whatsoever to those authorities who are forced to put up rents very largely because they are trying to follow the Government's policy and build more houses more quickly?

I am sorry that my hon. Friend regards the answers as unsatisfactory. He should remember that local authorities themselves have benefited from the wage freeze, and I do not think that he will find that local authorities share his disappointment with the provisions of the Bill published yesterday.

In view of the unsatisfactory nature of the reply, I shall endeavour to raise this matter on the Adjournment.

asked the Minister of Housing and Local Government whether he will make a statement on his discussions with the Building Societies Association regarding a Government guarantee for 100 per cent. mortgages.

asked the Minister of Housing and Local Government on what date he proposes to introduce legislation to introduce a Government guarantee for 100 per cent. mortgages granted by the building societies, as announced by his predecessor on 1st March, 1966.

The Government's proposals are explained in Part II of the White Paper "Help towards Home Ownership" (Cmnd. 3163) published yesterday.

Will not the right hon. Gentleman agree that, after this long delay and much deferred promise, it will lead to alarm, dismay and despondency of all those needy people—[Interruption.]—waiting for the 100 per cent. mortgage scheme for all these months to know that now it is not coming?

I am not sure whether the hon. Gentleman was present when I replied to an earlier Question from one of his hon. Friends, but there will be about 1 million people who will be delighted to know that after years and years of neglect help is in sight.

Can the right hon. Gentleman give any idea of when this pledge might be fulfilled?

If the hon. Gentleman will read the White Paper, he will find that it comes into operation on 1st April, 1968, and we anticipate that in the first year of operation it will cost about £30 million.

Can we have an absolutely firm assurance on this point, because we attach great importance to it?

I am sorry. I think that I misunderstood. In the general uproar I was not sure whether the hon. Gentleman had referred to the 100 per cent. scheme. This is something about which it is impossible to make firm decision at the moment. [HON. MEMBERS: "Oh."] This is perfectly reasonable. We have announced that the scheme as a whole will come into operation on 1st April, 1968, but the part which relates to the 100 per cent. mortgage will have to be put off until the economic situation permits. This decision has been reached by the Government in full consultation with all the lending agencies concerned.

I beg to give notice that, in view of the unsatisfactory nature of the reply, I wish to raise the matter on an early Adjournment.