Housing Associations Act 1985

1985 c. 69

An Act to consolidate certain provisions of the Housing Acts relating to housing associations, with amendments to give effect to recommendations of the Law Commission and of the Scottish Law Commission.

C1C2C3I1Be it enacted by the Queen’s most Excellent Majesty, by and with the advice and consent of the Lords Spiritual and Temporal, and Commons, in this present Parliament assembled, and by the authority of the same, as follows:—

Annotations:
Commencement Information
I1

Act wholly in force at 1.4.1986 see s. 107(2)

Modifications etc. (not altering text)
C1

A Table showing the derivations of the provisions of this consolidation Act will be found at the end of the Act. The Table has no official status.

C2

Act: certain functions transferred to the National Assembly for Wales (1.7.1999) by S.I. 1999/672, art. 2, Sch. 1

C3

Act restricted (S.) by Housing (Scotland) Act 1987 (c. 26, SIF 61), s. 22(4)

Act amended (E.W.) (24.9.1996) by 1996 c. 52, ss. 221(1)(b), 232(2)

Part I Regulation of Housing Associations

Introductory

1 Meaning of “housing association” and related expressions.

1

In this Act “housing association” means a society, body of trustees or company—

a

which is established for the purpose of, or amongst whose objects or powers are included those of, providing, constructing, improving or managing, or facilitating or encouraging the construction or improvement of, housing accommodation, and

b

which does not trade for profit or whose constitution or rules prohibit the issue of capital with interest or dividend exceeding such rate as may be prescribed by the Treasury, whether with or without differentiation as between share and loan capital F1;

F2F3but does not include Scottish Homes.

2

In this Act “fully mutual”, in relation to a housing association, means that the rules of the association—

a

restrict membership to persons who are tenants or prospective tenants of the association, and

b

preclude the granting or assignment of tenancies to persons other than members;

and “co-operative housing association” means a fully mutual housing association which is a society registered under the M1Industrial and Provident Societies Act 1965 F4(in this part referred to as “the 1965 Act”) .

3

In this Act “self-build society” means a housing association whose object is to provide, for sale to, or occupation by, its members, dwellings built or improved principally with the use of its members’ own labour.

2 Meaning of “housing trust”.

In this Act “housing trust” means a corporation or body of persons which—

a

is required by the terms of its constituent instrument to use the whole of its funds, including any surplus which may arise from its operations, for the purpose of providing housing accommodation, or

b

is required by the terms of its constituent instrument to devote the whole, or substantially the whole, of its funds to charitable purposes and in fact uses the whole, or substantially the whole, of its funds for the purpose of providing housing accommodation.

F52A. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

2BF6 Meaning of “registered housing association”, “registered social landlord” etc.

In this Act, unless the context otherwise requires—

“registered housing association” means a housing association registered in the register F7of social landlords maintained under section 57 of the Housing (Scotland) Act 2001 (asp 10),

F8“registered social landlord” has the same meaning as in Part I of the Housing Act 1996, and

“unregistered”, in relation to a housing association, means neither registered in the register F9of social landlords maintained under section 57 of the Housing (Scotland) Act 2001 (asp 10).

Registration

F103. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F114. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F125. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F136. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F147. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Disposal of land

F158. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F17C49 Control by F16Corporation of dispositions of land by housing associations.

F181

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F19C51A

Subject to section 10, the consent of the relevant Corporation is required for any disposition of grant-aided land (as defined in Schedule 1) by an unregistered housing association; and for this purpose “the relevant Corporation” means,—

a

if the land is in England, the Housing Corporation;

b

if the land is in Scotland, Scottish Homes; and

c

if the land is in Wales, F20the Secretary of State.

2

F21Consent under this section may be so given—

a

generally to all housing associations or to a particular housing association or description of association;

b

in relation to particular land or in relation to a particular description of land;

and may be given subject to conditions.

3

A disposition by a housing association which requires F22consent under this section is valid in favour of a person claiming under the association notwithstanding that F22that consent has not been given; and a person dealing with the association, or with a person claiming under the association, shall not be concerned to see or inquire whether any such consent has been given.

This subsection has effect subject to section 12 (avoidance of certain dispositions of houses without consent).

F234

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

5

For the purposes of this section “disposition” means sale, lease, mortgage, charge or any other disposal.

F246

References in this section to consent are references,—

a

in the case of the Housing Corporation F25. . ., to consent given by order under the seal of the Corporation; and

b

in the case of F26the Secretary of State orScottish Homes, to consent in writing.

F2710 Dispositions excepted from s. 9.

1

A disposition by an unregistered housing association which is a charity is not within section 9 if by virtue of F28sections 36 and 38 of the Charities Act 1993 it cannot be made without an order of the court or the Charity Commissioners; but F29before making an order in such a case the Charity Commissioners shall consult,—

a

in the case of dispositions of land in England, the Housing Corporation;

b

in the case of dispositions of land in Scotland, Scottish Homes; and

c

in the case of dispositions of land in Wales, F30the Secretary of State.

2

A letting F31. . . by an unregistered housing association which is a housing trust, is not within section 9 if it is—

a

a letting of land under a secure tenancy, or

b

a letting of land under what would be a secure tenancy but for any of paragraphs 2 to 12 of F32Schedule 1 to the Housing Act 1985 or F33paragraphs 1 to 8 of Schedule 2 to the Housing (Scotland) Act 1987 (tenancies excepted from being secure tenancies for reasons other than that they are long leases) F34or

c

a letting of land under an assured tenancy or an assured agricultural occupancy, or

d

a letting of land in England or Wales under what would be an assured tenancy or an assured agricultural occupancy but for any of paragraphs 4 to 8 of Schedule 1 to the Housing Act 1988, or

e

a letting of land in Scotland under what would be an assured tenancy but for any of paragraphs 3 to 8 and 12 of Schedule 4 to the Housing (Scotland) Act 1988.

3

The grant by an unregistered housing association which does not satisfy the landlord condition in section 80 of the Housing Act 1985 (bodies which are capable of granting secure tenancies) of a lease for a term ending within the period of seven years and three months beginning on the date of the grant is not within section 9 unless—

a

there is conferred on the lessee (by the lease or otherwise) an option for renewal for a term which, together with the original term, would expire outside that period, or

b

the lease is granted wholly or partly in consideration of a fine.

4

In subsection (3) the expression “lease” includes an agreement for a lease and a licence to occupy, and the expressions “grant” and “term” shall be construed accordingly.

F3511. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

12F36Avoidance of certain disposals of houses without consent.

A disposal of a house by a housing association made without the consent required by section 9 is void unless—

a

the disposal is to an individual (or to two or more individuals), and

b

the disposal does not extend to any other house.

Control of payments to members, etc.

F3713. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F3814. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F3915. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F4015A. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Constitution, change of rules, amalgamation and dissolution

F4116. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F4217. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F4318. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F4419. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F4520. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F4621. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F4722. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F4823. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Accounts and audit

F4924. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F5025. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F5126. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F5227. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F5327A. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Inquiries into affairs of housing associations

F5428. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F5529. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F5630. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F5731. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F5832. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Miscellaneous

F5933. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

33AF60 Provision of services between the Corporations.

Any of the F61following F62, that is to say, the Housing Corporation, the Secretary of State or Scottish Homes,may enter into an agreement with the others or either of them for the provision of services of any description by the one to the other or others on such terms, as to payment or otherwise, as the parties to the agreement consider appropriate.

34 Provision of land by county councils.

1

Where a housing association wishes to erect houses F63in Englandwhich in the opinion of the Secretary of State are required and the local housing authority in whose district the houses are proposed to be built are unwilling to acquire land with a view to selling or leasing it to the association, the county council, on the application of the association, may acquire land for that purpose.

2

For that purpose the county council may exercise all the powers of a local housing authority under Part II of the M2Housing Act 1985 (provision of housing) in regard to the acquisition and disposal of land; and the provisions of that Act as to the acquisition of land by local housing authorities for the purposes of that Part apply accordingly.

35 Housing trusts: power to transfer housing to local housing authority.

1

A housing trust may—

a

sell or lease to the local housing authority the houses provided by the trust, or

b

make over to the authority the management of the houses.

2

So far as subsection (1) confers power to dispose of land—

F64a

it does not apply to registered social landlords (on whom power to dispose of land is conferred by section 8 of the Housing Act 1996);.

b

it has effect subject to section 9 (dispositions requiring consent of F65Corporation) where the housing trust is an unregistered housing association and the land is grant-aided land (as defined in Schedule 1); and

c

it has effect subject to F66F67section 36 of the Charities Act 1993 (restrictions on dispositions of charity land) where the housing trust is a charity.

36 Housing trusts: functions of Secretary of State with respect to legal proceedings.

1

If it appears to the Secretary of State—

a

that the institution of legal proceedings is requisite or desirable with respect to any property belonging to a housing trust, or

b

that the expediting of any such legal proceedings is requisite or desirable,

he may certify the case to the Attorney-General who may institute legal proceedings or intervene in legal proceedings already instituted in such manner as he thinks proper in the circumstances.

2

Before preparing a scheme with reference to property belonging to a housing trust, the court or body which is responsible for making the scheme shall communicate with the Secretary of State and consider any recommendations made by him with reference to the proposed scheme.

F6836A. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Supplementary

F6937. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F7038Definitions relating to charities.

In this Part—

a

charity” has the same meaning as in F71the Charities Act 1993; and

F72. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F7339 Minor definitions.

In this Part—

  • F74assured tenancy” has, in England and Wales, the same meaning as in Part I of the Housing Act 1988 and, in Scotland, the same meaning as in Part II of the Housing (Scotland) Act 1988;

  • assured agricultural occupancy” has the same meaning as in Part I of the Housing Act 1988.

  • F75mental disorder” has the same meaning as in F76the M3Mental Health Act 1983 or the M4Mental Health (Scotland) Act 1984;

  • secure tenancy” has the same meaning as in section 79 of the M5Housing Act 1985 or F7744 of the Housing (Scotland) Act 1987;

  • F78. . .

F7940 Index of defined expressions: Part I.

The following Table shows provisions defining or explaining expressions used in this Part (other than provisions defining or explaining an expression used only in the same section or paragraph):—

F80appropriate registrar (in relation to a society registered under the 1965 Act).

section 37

F81assured agricultural occupancy

F81section 39

F81assured tenancy

F81section 39

F80bank

section 106

charge (in relation to Scotland)

section 106

charity

section 38(a)

F80committee (in relation to a society registered under the 1965 Act)

section 37

F80compulsory disposal (in Schedule 2)

paragraph 6 of that Schedule

co-operative housing association

section 1(2)

F80co-opted member (in relation to the committee of a society registered under the 1965 Act)

section 37

F80the Companies Act

section 106

F82. . .

F82. . .

F80dissolved under the 1965 Act (in relation to a society registered under that Act)

section 37

district (of a local housing authority)

section 104(2)

F80dwelling

section 106

F80eligible for registration (in relation to a housing association)

section 4

F80exempted disposal (in Schedule 2)

paragraph 5 of that Schedule

F80friendly society

section 106

fully mutual (in relation to a housing association)

section 1(2)

F80hostel

section 106

house

section 106

F80housing activities

section 106

housing association

section 1(1)

. . . F83

. . . F83

housing trust

section 2

F80insurance company

section 106

local housing authority

section 104

F80member of family

section 105

F80mental disorder

section 39

mortgage (in relation to Scotland)

section 106

F80the 1965 Act

section 37

F80register, registered, registration and unregistered (in relation to a housing association)

section F84 3

F80registered charity

section 38(b)

F85registered social landlord

section 2B

F80relevant disposal (in Schedule 2)

paragraph 4 of that Schedule

. . . F83

. . . F83

secure tenancy

section 39

F80shared ownership lease

section 106

F86shared ownership agreement (in relation to Scotland)

F86section 106

F80standard scale

section 39

F80trustee savings bank

section 106

F87unregistered (in relation to a housing association)

section 2B

C7C8Part II Housing Association Finance

Annotations:
Modifications etc. (not altering text)
C8

Pt. II (ss. 41–73): power to apply certain functions conferred (E.W.) by Housing Act 1988 (c. 50, SIF 61), s. 65(2)(b)(4)

41. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F88

52. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F89

53. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F90

Deficit grants

54. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F91

F9255. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

56 F93. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

57 F94. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Arrangements with local authorities

C658F95Powers of local authorities to promote and assist housing associations: England and Wales.

1

A local authority may promote the formation or extension of a housing association.

2

A local authority may for the assistance of a housing association subscribe for share or loan capital of the association.

3

A local authority may make a loan to an unregistered self-build society for the purpose of enabling it to meet the whole or part of the expenditure incurred, or to be incurred by it, in carrying out its objects.

4

This section does not apply where the housing association is a registered social landlord (for which corresponding provision is made by section 22 of the Housing Act 1996)..

F9659 Powers of local authorities to promote and assist housing associations: Scotland.

1

A local authority F97. . . may promote the formation or extension of or, subject to section 60 (assistance restricted to registered housing associations), assist a housing association whose objects include the erection, improvement or management of housing accommodation.

2

A local authority F97. . . may, with the consent of and subject to any regulations or conditions made or imposed by the Secretary of State, for the assistance of such an association—

a

make grants or loans to the association,

b

subscribe for share or loan capital of the association, or

c

guarantee or join in guaranteeing the payment of the principal of, and interest on, money borrowed by the association (including money borrowed by the issue of loan capital) or of interest on share capital issued by the association,

on such terms and conditions as to rate of interest and repayment or otherwise and on such security as the local authority F97. . . think fit.

3

A term of an agreement for such a grant or loan is void if it purports to relate to the rent payable in respect of a house to which the agreement relates or the contributions payable towards the cost of maintaining such a house.

4

Regulations under this section shall be made by statutory instrument which shall be subject to annulment in pursuance of a resolution of either House of Parliament.

F985

Sections 6, 15, 320 and 329 of the Housing (Scotland) Act 1987 (general provisions with respect to housing functions of local authorities etc.) apply in relation to this section and section 61, as they apply in relation to the provisions of that Act.

F9960. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F10061 Power of local housing authority to supply furniture to housing association tenants.

1

A local housing authority may sell, or supply under a hire-purchase agreement, furniture to the occupants of houses provided by a housing association under arrangements made with the authority, and may buy furniture for this purpose.

2

In this section “hire-purchase agreement” means a hire-purchase agreement or conditional sale agreement within the meaning of the M6Consumer Credit Act 1974.

F1013

This section does not apply where the housing association is a registered social landlord (for which corresponding provision is made by section 22 of the Housing Act 1996).

62. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F102

63. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F103

Loans by Public Works Loan Commissioners

F10467. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

68 Loans by Public Works Loan Commissioners: Scotland.

1

The Public Works Loan Commissioners may lend money to a F105registered housing association

a

for the purpose of constructing or improving, or facilitating or encouraging the construction or improvement of, houses,

b

for the purchase of houses, and

c

for the purchase and development of land.

2

A loan for any of those purposes shall be secured with interest by a heritable security over—

a

the land in respect of which that purpose is to be carried out, and

b

such other land, if any, as may be offered as security for the loan;

and the money lent shall not exceed three-quarters (or, if the payment of the principal of and interest on the loan is guaranteed by a local authority, nine-tenths) of the value, to be ascertained to the satisfaction of the Public Works Loan Commissioners, of the estate or interest in the land proposed to be burdened.

3

Loans may be made by instalments as the building of houses or other work on the land burdened under subsection (2) progresses (so, however, that the total loans do not at any time exceed the amount specified in that subsection); and the heritable security may be granted accordingly to secure such loans so to be made.

4

If the loan exceeds two-thirds of the value referred to in subsection (2), and is not guaranteed as to principal and interest by a local authority, the Public Works Loan Commissioners shall require, in addition to such a heritable security as is mentioned in that subsection, such further security as they may think fit.

5

Subject to subsection (6), the period for repayment of a loan under this section shall not exceed 40 years, and no money shall be lent on the security of any land unless the estate or interest proposed to be burdened is either ownership or a lease of which a period of not less than 50 years remains unexpired at the date of the loan.

6

Where a loan under this section is made for the purposes of carrying out a scheme for the provision of houses approved by the Secretary of State, the maximum period for the repayment of the loan is 50 instead of 40 years, and money may be lent on heritable security over a lease recorded under the M7Registration of Leases (Scotland) Act 1857 of which a period of not less than ten years in excess of the period fixed for the repayment of the loan remains unexpired at the date of the loan.

Miscellaneous

69 Power to vary or terminate certain agreements with housing associations.

1

This section applies to agreements of the following descriptions—

a

an agreement for a loan to a housing association by the Housing Corporation under section 2 of the M8Housing Act 1964 F106(including such an agreement under which rights and obligations have been transferred to Housing for Wales)F107and then to the Secretary of State;

b

an agreement which continues in force under Part I of Schedule 4 (arrangements with local authority for the provision or improvement of housing);

c

an agreement to which Part II of Schedule 4 applies (subsidy agreements with local authorities);

d

an agreement which continues in force under Part III of Schedule 4 (special arrangements with the Secretary of State);

F108e

an agreement for a loan or grant to a housing association under section 58(2) or 59(2) (financial assistance by local authorities);

f

a scheme which continues in force under Part V of Schedule 5 (schemes for unification of grant conditions).

F109F110g

an agreement for a loan or grant to a registered housing association under section 24 of the Local Government Act 1988 (power to provide financial assistance for privately let housing accommodation).

2

F111If any person (other than the Secretary of State) who is a party to an agreement to which this section applies makes an application to the Secretary of State, he may, if he thinks fit, direct—

a

that the agreement shall have effect with such variations, determined by him or agreed by the parties, as may be specified in the direction, or

b

that the agreement shall be terminated.

F112and where the Secretary of State is a party to such an agreement, he may agree that it shall have effect with any variations or that it shall be terminated.

F1132A

In the case of an agreement under which rights and obligations have been transferred to Housing for Wales F114and then to the Secretary of State, the reference to a party to the agreement includes a reference to F115the Secretary of State.

3

No variation shall be directed under subsection (2) which would have the effect of including in an agreement a term—

a

limiting the aggregate amount of rents payable in respect of dwellings to which the agreement relates or contributions towards the cost of maintaining such dwellings, or

b

specifying a limit which the rent of a dwelling is not to exceed.

This subsection does not extend to Scotland.

4

No variation shall be directed under subsection (2) which would have the effect of including in an agreement a term relating to the rent payable in respect of a house to which the agreement relates or contributions towards the cost of maintaining such a house.

This subsection extends to Scotland only.

69AF116 Land subject to housing management agreement.

A housing association is not entitled to a F117grant under section 50 (housing association grant) or section 51 (revenue deficit grant) of the Housing Act 1988 in respect of land comprised in—

a

a management agreement within the meaning of the Housing Act 1985 (see sections 27(2) and 27B(4) of that Act: delegation of housing management functions by certain authorities), or

b

an agreement to which section F11822 of the Housing (Scotland) Act 1987 applies (agreements for exercise by housing co-operatives of certain local authority housing functions).

70 Continuation of arrangements under repealed enactments.

The provisions of Schedule 4 have effect in relation to certain arrangements affecting housing associations which continue in force despite the repeal of the enactments under or by reference to which they were made, as follows—

  • Part I —Arrangements with local authorities for the provision or improvement of housing.

  • Part II —Subsidy agreements with local authorities.

  • Part III —Special arrangements with the Secretary of State in Scotland.

71 Superseded contributions, subsidies and grants.

The provisions of Schedule 5 have effect with respect to superseded subsidies, contributions and grants, as follows—

  • Part I —Residual subsidies: England and Wales.

  • Part II —Residual subsidies: Scotland.

  • Part III—Contributions and grants under arrangements with local authorities.

  • Part IV—Contributions under arrangements with the Secretary of State in Scotland.

  • Part V —Schemes for the unification of grant conditions.

  • Part VI—New building subsidy and improvement subsidy.

  • Part VII—Payments in respect of hostels under pre-1974 enactments.

Supplementary provisions

F28172 Minor definitions.

In this Part—

  • . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F282

  • . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F282

  • . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F282

  • registered charity” has the same meaning as in Part I.

73 Index of defined expressions: Part II.

The following Table shows provisions defining or explaining expressions used in this Part (other than provisions defining or explaining an expression in the same section);—

. . . F119

. . . F119

. . . F120

. . . F120

. . . F120

. . . F120

co-operative housing association

section 1(2)

dwelling

section 106

F121fully mutual (in relation to a housing association)

F121section 1(2)

F121heritable security

F121section 106

hostel

section 106

. . . F122

. . . F122

house

section 106

F121housing activities

F121section 106

housing association

section 1(1)

. . . F122

. . . F122

. . . F122

. . . F122

local authority

section 106

local housing authority

section 104

. . . F123

. . . F123

F124. . .

. . .

F121registered charity

F121section 72

F125registered housing association

section 2B

F126registered social landlord

section 2B

. . . F119

. . . F119

self-build society

section 1(3)

. . . F127

. . . F127

. . . F119

. . . F119

F128unregistered (in relation to a housing association)

section 2B

C17Part III The Housing Corporation

Annotations:
Modifications etc. (not altering text)
C17

Pt. III (ss. 74-102) excluded (E.W.) (1.10.1996) by 1996 c. 52, s. 7, Sch. 1 para. 15(6); S.I. 1996/2402, art. 3 (subject to transitional provisions and savings in Sch.)

Constitution and other general matters

E174 The Housing Corporation.

1

This Part has effect with respect to the Housing Corporation F129and the Secretary of State

1A

Each of them is referred to in this part as “the F130Relevant Authority”.

2

The provisions of Schedule 6 have effect with respect to the constitution and proceedings of, and other matters relating to, F131the Housing Corporation.

F1323

The functions conferred by this Part in relation to registered social landlords are exercisable by the F130Relevant Authority in whose register they are registered.

As to which F130Relevant Authority that is, see section 56 of the Housing Act 1996.

F1334

In this Part,—

a

in relation to land in Wales held by an unregistered housing association, “the F130Relevant Authority” means F134the Secretary of State; and

b

in relation to land outside Wales held by such an association, “the F130Relevant Authority” means the Housing Corporation.

E275 General functions of the F135Relevant Authority.

1

The F135Relevant Authority has the following general functions—

F136a

to facilitate the proper performance of the functions of registered social landlords;

b

to maintain a register of social landlords and to exercise supervision and control over such persons;

c

to promote and assist the development of self-build societies (other than registered social landlords) and to facilitate the proper performance of the functions, and to publicise the aims and principles, of such societies;

d

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F137

e

to undertake, to such extent as the F135Relevant Authority considers necessary, the provision (by construction, acquisition, conversion, improvement or otherwise) of dwellings for letting or for sale and of hostels, and the management of dwellings or hostels so provided.

F138f

to provide on request, to such extent as the Relevant Authority considers appropriate, advice and assistance to the Audit Commission for Local Authorities and the National Health Service in England and Wales in relation to the Commission’s functions under Part I of the Local Government Act 1999 (best value).

2

The F135Relevant Authority shall exercise its general functions subject to and in accordance with the provisions of this Act F139and Part I of the Housing Act 1996.

3

Subsection (1) is without prejudice to specific functions conferred on the F135Relevant Authorityby or under this Act F140or Part I of the Housing Act 1996.

4

The F135Relevant Authority may do such things and enter into such transactions as are incidental to or conducive to the exercise of any of its functions, general or specific, under this Act F140or Part I of the Housing Act 1996.

F1415

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

76 Directions by the Secretary of State.

1

The Secretary of State may give directions to the F142Housing Corporation as to the exercise of its functions.

2

A direction as to the terms of loans made under section 79 (lending powers of F142Housing Corporation) requires the consent of the Treasury.

3

Directions may be of a general or particular character and may be varied or revoked by subsequent directions.

4

Non-compliance with a direction does not invalidate a transaction between a person and the F142Housing Corporation unless the person had actual notice of the direction.

76AF143 Realisation of value of F144Housing Corporation’s loans portfolio.

1

The F145Housing Corporation may, and if so directed by the Secretary of State (under section 76) shall, enter into arrangements of a description approved by the Secretary of State for the purpose of realising the value of the whole or part of its loans portfolio.

2

The arrangements may provide for—

a

the transfer of any estate or interest of the F145Housing Corporation, or

b

the creation or disposal of economic interests not involving a transfer of an estate or interest,

and may extend to such incidental or ancillary matters as the F145Housing Corporation or the Secretary of State considers appropriate.

3

In this section the F144Housing Corporation’sloans portfolio” means the F144Housing Corporation’s rights and obligations in relation to any loans or related securities.

4

Nothing in the terms of any loan or related transaction entered into by the F145Housing Corporation shall be construed as impliedly prohibiting or restricting the F145Housing Corporation from dealing with its loans portfolio in accordance with arrangements under this section.

E377 Advisory service.

1

The F146Relevant Authority may provide an advisory service for the purpose of giving advice on legal, architectural and other technical matters to F147registered social landlords or unregistered housing associations and to persons who are forming a housing association or are interested in the possibility of doing so.

2

The F146Relevant Authority may make charges for the service.

F1483

The powers conferred on the F146Relevant Authority by subsections (1) and (2) may be exercised by the Housing Corporation and F149the Secretary of State acting jointly

78 Annual report.

C91

The F150Housing Corporation shall, as soon as possible after the end of each financial year, make a report to the Secretary of State on the exercise of its functions during the year.

C92

It shall include in the report a copy of its audited accounts and shall set out in the report any directions given to it by the Secretary of State during the year.

C103

The Secretary of State shall lay a copy of the report before each House of Parliament.

F190Relevant Authority’s powers with respect to grants and loans

Annotations:
Amendments (Textual)
F190

Words in Pt. III (ss. 74-102) substituted (1.11.1998) by 1998 c. 38, s. 140, Sch. 16 para. 28(a) (with ss. 139(2), 143(2)); S.I. 1998/2244, art. 5

79 Lending powers.

F1511

The Relevant Authority may lend to a registered social landlord or an unregistered self-build society, and the Housing Corporation may lend to any of its subsidiaries or to any other body in which it holds an interest, for the purpose of enabling the body to meet the whole or part of expenditure incurred or to be incurred by it in carrying out its objects.

2

The Relevant Authority may lend to an individual for the purpose of enabling him to acquire from—

a

the Relevant Authority, or

b

any body to which the Relevant Authority may lend under subsection (1),

a legal estate or interest in a dwelling which he intends to occupy.

3

A loan under this section may be by way of temporary loan or otherwise, and the terms of a loan made under subsection (1) may include (though the terms of a loan made under subsection (2) may not) terms for preventing repayment of the loan or part of it before a specified date without the consent of the F152Relevant Authority.

4

The terms of a loan under this section shall, subject to subsection (3) and F153(in the case of a loan by the Housing Corporation)to any direction under section 76 (general power of Secretary of State to give directions), be such as the F152Relevant Authority may determine, either generally or in a particular case.

80 Security for loans to unregistered self-build societies.

1

Where the F154Relevant Authority

a

makes a loan to an unregistered self-build society under section 79(1); and

b

under a mortgage or heritable security entered into by the society to secure the loan has an interest as mortgagee or creditor in land belonging to the society,

it may F155. . . give the society directions with respect to the disposal of the land.

2

The society shall comply with directions so given so long as the F154Relevant Authority continues to have such an interest in the land.

3

Directions so given may be varied or revoked by subsequent directions F156. . ..

F1573A

The written consent of the Secretary of State is required for the giving, varying or revoking of directions by the Housing Corporation.

4

The Secretary of State shall not F158give directions under this section requiring a society to transfer its interest in land to him or any other person, and shall not consent to the Housing Corporation’s giving such directions requiring a society to transfer its interest in land to the Housing Corporation or any other person, unless he is satisfied that arrangements have been made which will secure that the members of the society receive fair treatment in connection with the transfer.

81 Further advances in case of disposal on shared ownership lease.

Where—

a

a lease of a dwelling, granted otherwise than in pursuance of the provisions of Part V of the M9Housing Act 1985 (the right to buy) relating to shared ownership leases, contains a provision to the like effect as that required by paragraph 1 of Schedule 8 to that Act (terms of shared ownership lease: right of tenant to acquire additional shares), and

b

the F159Relevant Authorityhas, in exercise of any of its powers, left outstanding or advanced any amount on the security of the dwelling,

that power includes power to advance further amounts for the purpose of assisting the tenant to make payments in pursuance of that provision.

82 Loans made under s. 2 of the Housing Act 1964.

Schedule 7 (further powers of F160Relevant Authority with respect to land of certain housing associations) applies where a loan has been made to a housing association under section 2 of the M10Housing Act 1964 and the loan has not been repaid.

83 Power to guarantee loans.

F1611

The Relevant Authority may guarantee the repayment of the principal of, and the payment of interest on, sums borrowed by registered social landlords or unregistered self-build societies; and the Housing Corporation may guarantee the repayment of the principal of, and the payment of interest on, sums borrowed by other bodies in which it holds an interest.

F1621A

The consent of the Secretary of State given with the approval of the Treasury is required for the giving of a guarantee by the Housing Corporation and the approval of the Treasury is required for the giving of a guarantee by the Secretary of State.

2

Where the Corporation gives such a guarantee, it may impose such terms and conditions as it thinks fit.

3

The aggregate amount outstanding in respect of—

a

loans for which F163the Housing Corporation has given a guarantee under this section, and

b

payments made by F163the Housing Corporation in meeting an obligation arising by virtue of such a guarantee and not repaid to F163the Housing Corporation,

shall not exceed £300 million or such greater sum not exceeding £500 million as the Secretary of State may specify by order made with the approval of the Treasury.

F1643A

The aggregate amount outstanding in respect of—

a

loans for which F165the Secretary of State (or Housing for Wales) has given a guarantee under this section, and

b

payments made by F165the Secretary of State (or Housing for Wales) in meeting an obligation arising by virtue of such a guarantee and not repaid to F165the Secretary of State (or Housing for Wales),

shall not exceed £30 million or such greater sum not exceeding £50 million as the Secretary of State may specify by order made with the approval of the Treasury

4

An order under subsection (3) F166or subsection (3A) shall be made by statutory instrument and no such order shall be made unless a draft of it has been laid before and approved by the House of Commons.

84 Agreements to indemnify certain lenders: England and Wales.

1

The F167Relevant Authority may F168. . .enter into an agreement with—

a

a building society lending on the security of a house, or

b

a recognised body making a relevant advance on the security of a house,

whereby, in the event of default by the mortgagor, and in circumstances and subject to conditions specified in the agreement, the F167Relevant Authoritybinds itself to indemnify the society or body in respect of the whole or part of the mortgagor’s outstanding indebtedness and any loss or expense falling on the society or body in consequence of the mortgagor’s default.

2

The agreement may also, if the mortgagor is made party to it, enable or require the F167Relevant Authority in specified circumstances to take a transfer of the mortgage and assume rights and liabilities under it, the building society or recognised body being then discharged in respect of them.

3

The transfer may be made to take effect—

a

on terms provided for by the agreement (including terms involving substitution of a new mortgage agreement or modification of the existing one), and

b

so that the F167Relevant Authorityis treated as acquiring (for and in relation to the purposes of the mortgage) the benefit and burden of all preceding acts, omissions and events.

4

The F169Housing Corporation may not enter into an agreement without the approval of the Secretary of State who may approve particular agreements or give notice that particular forms of agreement have his approval, and in either case may make his approval subject to conditions.

5

The Secretary of State shall, before giving notice that a particular form of agreement has his approval F170and before himself entering into an agreement in a form about which he has not previously consulted under this subsection, consult—

a

in the case of a form of agreement with a building society, the F171Financial Services Authority and such organisations representative of building societies and local authorities as he thinks expedient, and

C11b

in the case of a form of agreement with a recognised body, such organisations representative of such bodies and local authorities as he thinks expedient.

F1726

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

85 Meaning of “recognised body” and “relevant advance”.

1

The expressions “recognised body” and “relevant advance” in section 84 (agreements to indemnify certain lenders) shall be construed in accordance with the following provisions.

2

A “recognised body” means a body specified, or of a class or description specified, in an order made by statutory instrument by the Secretary of State F173. . ..

3

Before making such an order varying or revoking an order previously made, the Secretary of State shall give an opportunity for representations to be made on behalf of a recognised body which, if the order were made, would cease to be such a body.

C12C134

A “relevant advance” means an advance made to a person whose interest in the dwelling is or was acquired by virtue of a conveyance of the freehold or an assignment of a long lease, or a grant of a long lease by—

  • a local authority,

  • a new town corporation,

  • an urban development corporation,

  • F174. . .

  • the F175Housing Corporation, or

  • a F176registered social landlord.F177 or an advance made to such a person by the Secretary of State if the conveyance, assignment or grant was made under section 90.

5

In subsection (4) “long lease” has the same meaning as in Part V of the M11Housing Act 1985 (the right to buy).

86 Agreements to indemnify building societies: Scotland.

1

F178Scottish Homes may, with the approval of the Secretary of State, enter into an agreement with a building society F179or recognised body under which F178Scottish Homes binds itself to indemnify the building society F179or recognised body in respect of—

a

the whole or part of any outstanding indebtedness of a borrower; and

b

loss or expense to the building society F179or recognised body resulting from the failure of the borrower duly to perform any obligation imposed on him by F180a heritable security.

2

The agreement may also, where the borrower is made party to it, enable or require F178Scottish Homes in specified circumstances to take an assignation of the rights and liabilities of the building society F181or recognised body under the heritable security.

3

Approval of the Secretary of State under subsection (1) may be given generally in relation to agreements which satisfy specified requirements, or in relation to individual agreements, and with or without conditions, as he thinks fit, and such approval may be withdrawn at any time on one month’s notice.

4

Before issuing any general approval under subsection (1) the Secretary of State shall consult with such bodies as appear to him to be representative of islands and district councils, and of building societies, and also with F178Scottish Homes and with the F182Financial Services Authority.

F1835

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F1846

In this section, “recognised body” means a body designated, or of a class or description designated, in an order made under this subsection by statutory instrument by the Secretary of State with the consent of the Treasury.

7

Before making an order under subsection (6) above varying or revoking an order previously so made, the Secretary of State shall give an opportunity for representations to be made on behalf of a recognised body which, if the order were made, would cease to be such a body.

E487F185 Financial assistance with respect to formation, management, etc. of certain housing associations.

F1861

The F187Relevant Authoritymay give financial assistance to any person to facilitate the proper performance of the functions of registered social landlords or co-operative housing associations.

2

Assistance under this section may be in the form of grants, loans, guarantees or incurring expenditure for the benefit of the person assisted or in such other way as the F187Relevant Authority considers appropriate, except that the may not, in giving any form of financial assistance F188under this section, purchase loan or share capital in a company.

3

With respect to financial assistance under this section, the following—

a

the procedure to be followed in relation to applications for assistance,

b

the circumstances in which assistance is or is not to be given,

c

the method for calculating, and any limitations on, the amount of assistance, and

d

the manner in which, and the time or times at which, assistance is to be given,

shall be such as may be specified by the F187Relevant Authority, acting in accordance with such principles as it may from time to time determine.

4

In giving assistance under this section, the may provide that the assistance is conditional upon compliance by the person to whom the assistance is given with such conditions as it may specify.

5

Where assistance under this section is given in the form of a grant, subsections (1), (2) and (7) to (9) of section 52 of the Housing Act 1988 (recovery, etc. of grants) shall apply as they apply in relation to a grant to which that section applies, but with the substitution, for any reference in those subsections to the F189registered housing association to which the grant has been given, of a reference to the person to whom assistance is given under this section.

6

Section 53 of the Housing Act 1988 (determinations under Part II) shall apply in relation to a determination under this section as it applies to a determination under sections 50 to 52 of that Act.

F207Relevant Authority’s powers with respect to land and works

Annotations:
Amendments (Textual)
F207

Words in Pt. III (ss. 74-102) substituted (1.11.1998) by 1998 c. 38, s. 140, Sch. 16 para. 28(b) (with ss. 139(2), 143(2)); S.I. 1998/2244, art. 5

E588 Acquisition of land.

1

The F191Relevant Authority may acquire land by agreement for the purpose of—

a

selling or leasing it to a F192registered social landlord or an unregistered self-build society, or

b

providing dwellings (for letting or for sale) or hostels,

and F193the Housing Corporation may be authorised by the Secretary of State to, and the Secretary of State may, acquire land compulsorily for any such purpose.

2

Land may be so acquired by the F191Relevant Authority notwithstanding that it is not immediately required for any such purpose.

3

In relation to a compulsory purchase of land by the F191Relevant Authority under this section—

a

in England and Wales, the M12Acquisition of Land Act 1981 applies;

b

in Scotland, the M13Acquisition of Land (Authorisation Procedure) (Scotland) Act 1947 applies as if the F191Relevant Authority were a local authority and as if this section were contained in an Act in force immediately before the commencement of that Act.

4

For the purposes of the purchase of land in Scotland by agreement by the F191Relevant Authority

a

the Lands Clauses Acts (except so much of them as relates to the acquisition of land otherwise than by agreement, the provisions relating to access to the special Act and section 120 to 125 of the M14Lands Clauses Consolidation (Scotland) Act 1845), and

b

sections 6 and 70 to 78 of the M15Railways Clauses Consolidation (Scotland) Act 1845 (as originally enacted and not as amended by section 15 of the M16Mines (Working Facilities and Support) Act 1923),

are hereby incorporated with this section, and in construing those Acts for the purposes of this section this section shall be deemed to be the special Act and the F191Relevant Authority shall be deemed to be the promotors of the undertaking or company, as the case may require.

5

In Scotland the F191Relevant Authority may (without prejudice to their own power to acquire land compulsorily) request the Scottish Special Housing Association to acquire land compulsorily on its behalf (as provided in section F19423 of the Housing (Scotland) Act 1987) for any purpose for which the F191Relevant Authority may purchase land compulsorily.

E689 Provision of dwellings or hostels and clearance, management and development of land.

1

The F195Relevant Authoritymay provide or improve dwellings or hostels on land belonging to it.

2

The F195Relevant Authority may clear land belonging to it and carry out other work on the land to prepare it as a building site or estate, including—

a

the laying out and construction of streets or roads and open spaces, and

b

the provision of sewerage facilities and supplies of gas, electricity and water.

3

The F195Relevant Authoritymay repair, maintain and insure buildings or works on land belonging to it, may generally deal in the proper course of management with such land and buildings or works on it, and may charge for the tenancy or occupation of such land, buildings or works.

4

The F195Relevant Authoritymay carry out such operations on, and do such other things in relation to, land belonging to it as appear to it to be conducive to facilitating the provision or improvement of dwellings or hostels on the land—

a

by the F195Relevant Authority itself, or

b

by a F196registered social landlord or unregistered self-build society.

5

In the exercise of its powers under subsection (4) the F195Relevant Authority may carry out any development ancillary to or in connection with the provision of dwellings or hostels, including development which makes provision for buildings or land to be used for commercial, recreational or other non-domestic purposes.

C14E790 Disposal of land.

1

The F197Relevant Authority may dispose of land in respect of which it has not exercised its powers under section 89(1) (provision or improvement of dwellings or hostels) and on which it has not carried out any such development as is mentioned in section 89(5) F198(ancillary development) to a registered social landlord or an unregistered self-build society; and the Housing Corporation may dispose of such land to any of its subsidiaries or to any other body in which it holds an interest.

2

The F197Relevant Authority may dispose of land on which dwellings or hostels have been provided or improved in exercise of its powers under section 89 to—

  • a F199registered social landlord,

  • a local authority,

  • a new town corporation F200, or

  • Scottish Homes;

and the Housing Corporation may dispose of any such land to any of its subsidiaries.

3

The F197Relevant Authority may sell or lease individual dwellings to persons for their own occupation; but where the dwelling concerned was acquired F201by the Housing Corporationby compulsory purchase under section 88(1), it shall not be disposed of under this subsection without the written consent of the Secretary of State.

4

The F197Relevant Authoritymay dispose of a building or land intended for use for commercial, recreational or other non-domestic purposes in respect of which development has been carried out by virtue of section 89; but no such building or land shall be disposed of F202by the Housing Corporationfor less than the best consideration it commands except with the written consent of the Secretary of State.

5

The F197Relevant Authority may dispose of land which is not required for the purposes for which it was acquired; but where the land—

a

was acquired compulsorily by, or on behalf of, the F203Housing Corporationor by a local housing authority who transferred it to the F203Housing Corporation, or

b

is disposed of F204by the Housing Corporation(otherwise than for use as, or in connection with, a highway or street) for less than the best consideration it commands,

the F203Housing Corporation shall not dispose of the land except with the written consent of the Secretary of State.

6

The F205Housing Corporation may not dispose of land except in accordance with the provisions of this section.

91 Protection of persons deriving title under transactions requiring consent.

Where the F206Housing Corporationpurport to acquire or dispose of land—

a

in favour of a person claiming under the F206Housing Corporationthe transaction is not invalid by reason that any consent of the Secretary of State which is required has not been given, and

b

a person dealing with the F206Housing Corporation, or with a person claiming under the F206Housing Corporation, shall not be concerned to see or inquire whether any such consent has been given.

The F223Relevant Authority’sfinances

Annotations:
Amendments (Textual)
F223

Words in Pt. III (ss. 74-102) substituted (1.11.1998) by 1998 c. 38, s. 140, Sch. 16 para. 28(b) (with ss. 139(2), 143(2)); S.I. 1998/2244, art. 5

92 Borrowing powers.

1

The F208Housing Corporation may borrow from the Secretary of State, and the Secretary of State may lend to the F208Housing Corporation, by way of temporary loan or otherwise, such sums in sterling as the F208Housing Corporation may require.

2

The F208Housing Corporationmay, with the consent of the Secretary of State or in accordance with a general authorisation given by him, borrow temporarily by overdraft or otherwise such sums in sterling as the F208Housing Corporationmay require.

3

The F208Housing Corporationmay, with the consent of the Secretary of State, borrow—

a

from the European Investment Bank or the Commission of the European Communities, sums in any currency, and

b

from any other person, sums in a currency other than sterling.

4

A loan made to the F208Housing Corporation by the Secretary of State shall be repaid to him at such times and by such methods, and interest on the loan shall be paid to him at such rates and at such times, as he may from time to time determine.

5

The Treasury may issue to the Secretary of State out of the National Loans Fund such sums as are necessary to enable him to make loans to the F208Housing Corporationin pursuance of this section; and sums received by the Secretary of State in pursuance of subsection (4) shall be paid into that Fund.

6

The Secretary of State may act under this section only with the approval of the Treasury.

93 Limit on borrowing.

1

The F209Housing Corporation has only the borrowing powers conferred by section 92 and those powers are exercisable subject to the following limit.

2

The aggregate amount outstanding by way of principal of—

a

advances made to the F210Housing Corporation under section 9 of the M17Housing Act 1964 before 18th September 1974 (when that section was repealed),

b

advances made to housing associations before 1st April 1975 in respect of which the rights and obligations of the Secretary of State were then transferred to the F210Housing Corporation by section 34 of the M18Housing Act 1974,

c

money borrowed by the F210Housing Corporation under section 92, and

d

money borrowed by a subsidiary of the F210Housing Corporation otherwise than from the F210Housing Corporation,

F211shall not exceed the limit F212specified under subsection (2A).

F2132A

The limit referred to in subsection (2) is,—

a

F214. . .£2,000 million or such greater sum not exceeding £3,000 million as the Secretary of State may specify by order made with the consent of the Treasury; F215. . .

F215. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

3

An order under subsection F216(2A) shall be made by statutory instrument and no such order shall be made unless a draft of it has been laid before and approved by the House of Commons.

4

In ascertaining the limit imposed by subsection F216(2A), interest payable on a loan made by the Secretary of State to the F209Housing Corporationwhich, with the approval of the Treasury, is deferred and treated as part of the loan, shall, so far as outstanding, be treated as outstanding by way of principal.

5

The power of the F209Housing Corporationto borrow from a subsidiary of the F209Housing Corporation is not affected by subsection (1) and borrowing from such a subsidiary shall be left out of account for the purposes of subsection F216(2A).

94 Treasury guarantees of borrowing.

1

The Treasury may guarantee, in such manner and on such conditions as they think fit, the repayment of the principal of and the payment of interest on and the discharge of any other financial obligation in connection with sums which the F217Housing Corporation borrows from a person other than the Secretary of State.

2

Immediately after a guarantee is given the Treasury shall lay a statement of the guarantee before each House of Parliament.

3

Any sums required by the Treasury for fulfilling the guarantee shall be charged on and issued out of the Consolidated Fund.

4

If any sums are so issued, the F217Housing Corporation shall make to the Treasury, at such times and in such manner as the Treasury may from time to time direct—

a

payments of such amounts as the Treasury so direct in or towards repayment of the sums so issued, and

b

payments of interest, at such rate as the Treasury so direct, on what is outstanding for the time being in respect of sums so issued.

5

Sums received by the Treasury in pursuance of subsection (4) shall be paid into the Consolidated Fund.

6

Where a sum is issued for fulfilling a guarantee given under this section, the Treasury shall, as soon as possible after the end of each financial year, beginning with that in which the sum is issued and ending with that in which all liability in respect of the principal of the sum and in respect of interest on it is finally discharged, lay before each House of Parliament a statement relating to the sum.

95 Grants to the F218Housing Corporation.

1

The Secretary of State may make such grants to the F218Housing Corporation as appear to him to be required to enable the F218Housing Corporation to meet the expenses incurred by it in the exercise of its functions.

2

A grant may be made subject to such conditions as the Secretary of State may determine.

3

The Secretary of State may act under this section only with the consent of the Treasury.

96 General financial provisions.

1

The F219Housing Corporation may turn its resources to account so far as they are not required for the exercise of its functions.

2

If for an accounting year the revenues of the F219Housing Corporation exceed the total sums properly chargeable to revenue account, the F219Housing Corporationshall apply the excess in such manner as the Secretary of State may, after consultation with the F219Housing Corporation, direct; and the Secretary of State may direct that the whole or part of the excess be paid to him.

3

The Secretary of State may give directions to the F219Housing Corporation as to matters relating to—

a

the establishment or management of reserves,

b

the carrying of sums to the credit of reserves, or

c

the application of reserves for the purposes of the F220Housing Corporation’sfunctions.

4

The Secretary of State may, after consultation with the F219Housing Corporation, direct the F219Housing Corporation to pay to him the whole or part of any sums for the time being standing to the credit of reserves of the F219Housing Corporation or being of a capital nature and not required for the exercise of the F220Housing Corporation’s functions.

5

The Secretary of State may act under this section only with the approval of the Treasury.

97 Accounts and audit.

C151

The F221Housing Corporationshall keep proper accounts and proper records in relation to the accounts and shall prepare in respect of each financial year annual accounts in such form as the Secretary of State may, with the approval of the Treasury, direct.

C152

The accounts of the F221Housing Corporation for each financial year F289ending on or before 31st March 2003 shall be audited by a qualified accountant appointed for the purpose by the Secretary of State.

F2902A

The Housing Corporation shall send a copy of the accounts prepared under subsection (1) in respect of each financial year ending on or after 31st March 2004 to the Comptroller and Auditor General as soon as reasonably practicable after the end of the financial year to which the accounts relate.

2B

The Comptroller and Auditor General shall examine and certify the accounts sent to him by the Housing Corporation under subsection (2A) and shall lay before each House of Parliament a copy of the accounts and his report on them.

C153

As soon as the annual accounts of the F221Housing Corporation for a financial year have been audited F291under subsection (2) or (2A) , the F221Housing Corporationshall send to the Secretary of State a copy of the accounts prepared by it for the year in accordance with this section, together with a copy of any report made on them by the auditor.

C164

The Secretary of State shall prepare in respect of each financial year, in such form and manner as the Treasury may direct, an account of—

a

the sums issued to him and lent to the F221Housing Corporation, and

b

sums received by him from the F221Housing Corporation and paid into the National Loans Fund in respect of the principal and interest on sums so lent, or on sums advanced to the Housing Corporation under section 9 of the M19Housing Act 1964,

and shall transmit the accounts so prepared by him to the Comptroller and Auditor General on or before 30th November in the following financial year.

5

The Comptroller and Auditor General shall examine and certify the accounts prepared by the Secretary of State and lay before each House of Parliament copies of the accounts together with his report on them.

F2226

In this section “qualified accountant” means a person who is eligible for appointment as a company auditor under section 25 of the Companies Act 1989.

Acquisition of securities and control of subsidiaries

98 Acquisition of securities and promotion of body corporate.

1

The F224Housing Corporation may with the consent of the Secretary of State—

a

subscribe for or acquire securities of a body corporate, and

b

promote or participate in the promotion of a body corporate.

2

In the section “securities” means shares, stock, debenture stock and other securities of a like nature.

99 Control of subsidiaries.

1

The F225Housing Corporation shall exercise its control over its subsidiaries so as to secure that no subsidiary—

a

engages in an activity which the F225Housing Corporation is not empowered to carry on, or

b

engages in an activity in a manner in which the F225Housing Corporation itself could not engage by reason of a direction given to it under section 76 (directions by Secretary of State).

2

The F225Housing Corporation shall also exercise its control over its subsidiaries so as to secure that no subsidiary of its—

a

borrows money from a person other than the F225Housing Corporation, or

b

raises money by the issue of shares or stock to a person other than the F225Housing Corporation,

without the consent of the Secretary of State.

Supplementary provisions

100F226 Scottish Special Housing Association may act as agents for F227Relevant Authorityin Scotland.

The F227Relevant Authority may, on such terms and conditions as may be agreed between it and the Scottish Special Housing Association, authorise the Association to act in Scotland as the agents of the F227Relevant Authority for the purpose of carrying out any of the functions vested in the F227Relevant Authority under—

a

section 77 (advisory service),

b

sections 88 and 89 (powers with respect to land and works), or

c

paragraph 5 of Schedule 7 (schemes for provision of housing accommodation in place of a housing association).

101 Minor definitions.

In this Part—

  • F228building society” means a building society within the meaning of the Building Societies Act 1986;

  • financial year” means the period of 12 months ending with the 31st March;

  • highway”, in relation to Scotland, includes a public right of way;

  • subsidiary” has F229the meaning given by section 736 of the Companies Act.

102 Index of defined expressions: Part III.

The following Table shows provisions defining or explaining expressions used in this Part (other than provisions defining or explaining an expression in the same section or paragraph):—

building society

section 101

the Companies Act

section 106

dwelling

section 106

financial year

section 101

heritable security

section 106

highway (in relation to Scotland)

section 101

hostel

section 106

housing association

section 1(1)

local authority

section 106

local housing authority

section 104

new town corporation

section 106

recognised body

section 85(2)

registered (in relation to a housing association)

section 3(2)

relevant advance

section 85(4)

self-build society

section 1(3)

subsidiary

section 101

unregistered (in relation to a housing association)

section 3(2)

urban development corporation

section 106

E8102 Index of defined expressions: Part III.

The following Table shows provisions defining or explaining expressions used in this Part (other than provisions defining or explaining an expression in the same section or paragraph):—

building society

section 101

the Companies Act

section 106

dwelling

section 106

financial year

section 101

heritable security

section 106

highway (in relation to Scotland)

section 101

hostel

section 106

housing association

section 1(1)

local authority

section 106

local housing authority

section 104

new town corporation

section 106

recognised body

section 85(2)

registered (in relation to a housing association)

section 3(2)

relevant advance

section 85(4)

self-build society

section 1(3)

subsidiary

section 101

unregistered (in relation to a housing association)

section 3(2)

urban development corporation

section 106

Annotations:
Extent Information
E8

This version of this provision extends to Scotland only; a separate version has been created for England and Wales only

Part IV General Provisions

General provisions

103 Application to Isles of Scilly.

1

This Act applies to the Isles of Scilly subject to such exceptions, adaptations and modifications as the Secretary of State may by order direct.

2

An order shall be made by statutory instrument which shall be subject to annulment in pursuance of a resolution of either House of Parliament.

104 Local housing authorities.

1

In this Act “local housing authority”—

a

in relation to England and Wales, has the meaning given by section 1 of the M20Housing Act 1985, and

b

in relation to Scotland, means F230a council constituted under section 2 of the Local Government etc. (Scotland) Act 1994.

2

References in this Act to the district of a local housing authority—

a

in England and Wales shall be construed in accordance with section 2 of the Housing Act 1985, and

b

in Scotland are to the F231area of a council mentioned in subsection (1)(b) above.

F232105. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

106 Minor definitions — general.

C181

In the application of this Act in England and Wales—

  • F233bank” means—

F234a

an institution authorised under the Banking Act 1987, or

b

a company as to which the Secretary of State was satisfied immediately before the repeal of the M21Protection of Depositors Act 1963 that it ought to be treated as a banking company or discount company for the purposes of that Act;

  • F233the Companies Act” means the M22Companies Act 1985;

  • dwelling” means a building or part of a building occupied or intended to be occupied as a separate dwelling, together with any yard, garden, outhouses and appurtenances belonging to it or usually enjoyed with it;

  • F233friendly society” means a friendly society or branch of a friendly society registered under the M23Friendly Societies Act 1974 or earlier legislation;

  • hostel” means a building in which is provided for persons generally or for a class or classes of persons—

a

residential accommodation otherwise than in separate and self-contained sets of premises, and

b

either board or facilities for the preparation of food adequate to the needs of those persons, or both;

  • house” includes—

a

any part of a building which is occupied or intended to be occupied as a separate dwelling;

b

any yard, garden, outhouses and appurtenances belonging to the house or usually enjoyed with it;

  • F235F236housing activities”, in relation to a registered housing association, means all its activities in pursuance of such of its purposes, objects or powers as are of a description mentioned in section 1(1)(a) or subsections (2) to (4) of section 4.

  • F233insurance company” means an insurance company to which Part II of the M24Insurance Companies Act 1982 applies;

  • local authority” means a county, F237county borough,district, or London borough council, the Common Council of the City of London or the Council of the Isles of Scilly and in F238section 84(5)includes . . . F239 a joint authority established by Part IV of the M25Local Government Act 1985 F240and the London Fire and Emergency Planning AuthorityF241and in section 85(4) includes such a joint authority F240the London Fire and Planning Authority and a police authority established under F242section 3 of the M26Police Act 1996F243and the Metropolitan Police Authority;

  • new town corporation” means the Commission for the New Towns or a development corporation within the meaning of the M27New Towns Act 1981;

  • shared ownership lease” means a lease—

a

granted on payment of a premium calculated by reference to a percentage of the value of the house or dwelling or of the cost of providing it, or

b

under which the tenant (or his personal representatives) will or may be entitled to a sum calculated by reference directly or indirectly to the value of the house or dwelling;

  • F233trustee savings bank” means a trustee savings bank registered under the M28Trustee Savings Bank Act 1981 or earlier legislation;

  • urban development corporation” means an urban development corporation established under Part XVI of the M29Local Government, Planning and Land Act 1980.

2

In the application of this Act in Scotland—

  • F244bank” has the same meaning as in subsection (1);

  • charge” includes a heritable security;

  • F244the Companies Act” has the same meaning as in subsection (1);

  • dwelling” means a house;

  • F244friendly society” has the same meaning as in subsection (1);

  • F245heritable security” means any security capable of being constituted over any F292land, or real right in land, by disposition of the land, or assignation of the real right, in security of any debt and of being recorded in the Register of Sasines or, as the case may be, registered in the Land Register of Scotland and which includes a security constituted by an ex facie absolute disposition or assignation or by a standard security;

  • hostel” means—

a

in relation to a building provided or converted before 3rd January 1962, a building in which is provided, for persons generally or for any class or classes of persons, residential accommodation (otherwise than in separate and self-contained dwellings) and board, and

b

in relation to a building provided or converted on or after that date, a building in which is provided for persons generally or for any class or classes of persons, residential accommodation (otherwise than in houses) and either board or common facilities for the preparation of adequate food to the needs of those persons, or both;

  • house” includes—

a

any part of a building, being a part which is occupied or intended to be occupied as a separate dwelling, and in particular includes a flat, and

b

includes also any yard, garden, outhouses and pertinents belonging to the house or usually enjoyed with it;

  • F246housing activities” has the same meaning as in subsection (1);

  • F244insurance company” has the same meaning as in subsection (1);

  • local authority” means F247a council constituted under section 2 of the Local Government etc. (Scotland) Act 1994;

  • mortgage” means a heritable security and “mortgagee” means a creditor in such a security;

  • new town corporation” means a development corporation within the meaning of the M30New Towns (Scotland) Act 1968;

  • F248shared ownership lease” has the same meaning as in subsection (1);

  • F248F249shared ownership agreement” means an agreement whereby—

a

a pro indiviso right in a dwelling is sold to a person and the remaining pro indiviso rights therein are leased to him subject to his being entitled, from time to time, to purchase those remaining rights until he has purchased the entire dwelling; or

b

pro indiviso rights in dwellings are conveyed to trustees to hold on behalf of persons each of whom, by purchasing a share in those dwellings, becomes entitled to exclusive occupancy of one of the dwellings but with any such person who wishes to sell or otherwise dispose of his share being required to do so through the agency of the trustees,

or such other agreement as may be approved whereby a person acquires a pro indiviso right in a dwelling or dwellings and thereby becomes entitled to exclusive occupancy of the dwelling or, as the case may be, one of the dwellings;

F244trustee savings bank” has the same meaning as in subsection (1).

F2503

In the definition of “shared ownership agreement” in subsection (2) above, “approved” means approved by the Secretary of State after consultation with F251Scottish Homes.

Final provisions

107 Short title, commencement and extent.

1

This Act may be cited as the Housing Associations Act 1985.

2

This Act comes into force on 1st April 1986.

3

The following provisions of this Act apply to England and Wales only—

  • section 2,

  • . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F252

  • section 8(2) and (3),

  • sections 11 and 12,

  • section F25317(4),

  • section 18,

  • section 20,

  • section 31,

  • sections 34 to 36,

  • section 38,

  • . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F254

  • . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F254

  • section 58,

  • section 67,

  • section 69(3),

  • section 81,

  • sections 84 and 85,

  • section 103,

  • F255section 105,

  • Schedules 2 and 3,

  • In Schedule 4, Part I,

  • In Schedule 5, Part I, paragraphs 1 and 2 of Part III and paragraph 1 of Part V.

4

The following provisions of this Act apply to Scotland only—

  • F256. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F257

  • section 15A

  • section 59,

  • section 66,

  • section 68,

  • section 69(4),

  • section 86,

  • In Schedule 4, Part III,

  • In Schedule 5, Part II, paragraphs 3 and 4 of Part III, Part IV and Part VII.

5

This Act does not extend to Northern Ireland.

SCHEDULES

SCHEDULE 1 Grant-Aided Land

Sections 6, 9.

Definition of “grant-aided land”

1

For the purposes of F258section 9(1A) (control F259. . . of dispositions of land by unregistered housing associations) “grant-aided land” means land—

a

in respect of which a payment of a description specified in paragraph 2 falls or fell to be made in respect of a period ending after 24th January 1974, or

b

on which is, or has been, secured a loan of a description specified in paragraph 3 in respect of which a repayment (by way of principal or interest or both) falls or fell to be made after 24th January 1974.

Payments

2

The payments referred to in paragraph 1(a) are—

a

payments by way of annual grants or exchequer contributions under—

  • section 31(3) of the M31Housing Act 1949,

  • section 19(3) of the M32Housing (Scotland) Act 1949, or

  • section 121(3) of the M33Housing (Scotland) Act 1950

(arrangements by local authorities for improvement of housing accommodation);

b

payments by way of annual grants or exchequer contributions under—

  • section 12(1) or 15 of the M34Housing (Financial Provisions) Act 1958,

  • section 89(1) of the Housing (Scotland) Act 1950,

  • section 12 of the M35Housing (Scotland) Act 1962, or

  • section 21 of the M36Housing (Financial Provisions) (Scotland) Act 1968

(contributions for dwellings improved under arrangements with local authorities or grants for hostels);

c

payments by way of annual grant or exchequer contributions under—

  • section 12(6) of the M37Housing Subsidies Act 1967,

  • section 121 of the Housing (Scotland) Act 1950,

  • section 62 of the M38Housing Act 1964, or

  • section 17 of the Housing (Financial Provisions) (Scotland) Act 1968

(subsidies for conversions or improvements by housing associations);

d

payments by way of annual grant under—

section 21(8) of the M39Housing Act 1969 (contributions for dwellings provided or improved by housing associations under arrangements with local authorities);

e

payments by way of subsidy under—

  • section 72, 73, 75 or 92 of the M40Housing Finance Act 1972,

  • section 52, 53, 55 or 57 of the M41Housing (Financial Provisions) (Scotland) Act 1972, or

  • Parts I, II, VI and VII of Schedule 5 to this Act (basic or special residual subsidy, new building or improvement subsidy, hostel subsidy).

Loans

3

The loans referred to in paragraph 1(b) are—

a

loans under—

  • section 119 of the M42Housing Act 1957,

  • section 152 of the M43Housing (Scotland) Act 1966,

  • section 58 of this Act, or

  • section 59 of this Act

(powers of certain local authorities to promote and assist housing associations);

b

loans to housing associations under—

  • section 47 of the M44Housing (Financial Provisions) Act 1958,

  • section 78 of the M45Housing (Scotland) Act 1950,

  • section 24 of the M46Housing (Financial Provisions) (Scotland) Act 1968,

  • section 67 of this Act, or

  • section 68 of this Act

(loans by Public Works Loan Commissioners to certain bodies);

c

advances made under—

  • section 7 of the M47Housing Act 1961,

  • section 11 of the M48Housing (Scotland) Act 1962, or

  • section 23 of the Housing (Financial Provisions) (Scotland) Act 1968

(advances to housing associations providing housing accommodation for letting);

d

loans under—

section 2 of the M49Housing Act 1964

(loans by Housing Corporation to housing associations).

F260SCHEDULE 2

Annotations:
Amendments (Textual)
F260

Sch. 2 repealed (1.10.1996) by 1996 c. 52, s. 227, Sch. 19 Pt. I; S.I. 1996/2402, art. 3 (subject to transitional provisions and savings in Sch.)

Repayment of discount on early disposal

1

1

This paragraph applies where, on a disposal of a house under section 8, in accordance with a consent given by the Housing Corporation under section 9, a discount has been given to the purchaser by the housing association; but this paragraph does not apply in any such case if the consent so provides.

2

On the disposal the conveyance, grant or assignment shall contain a covenant binding on the purchaser and his successors in title to pay to the housing association on demand, if within a period of F283three years there is a relevant disposal which is not an exempted disposal (but if there is more than one such disposal then only on the first of them), an amount equal to the discount reduced by F283one-third for each complete year which has elapsed after the conveyance, grant or assignment, and before the further disposal.

Liability to repay is a charge on the premises

2

1

The liability that may arise under the covenant required by paragraph 1 is a charge on the house, taking effect as if it had been created by deed expressed to be by way of legal mortgage.

F2842

Subject to sub-paragraphs (2A) and (2B), the charge has priority immediately after any legal charge securing an amount—

a

left outstanding by the purchaser, or

b

advanced to him by an approved lending institution for the purpose of enabling him to acquire the interest disposed of on the first disposal.

2A

The following, namely—

a

any advance which is made otherwise than for the purpose mentioned in sub-paragraph (2)(b) and is secured by a legal charge having priority to the charge taking effect by virtue of this paragraph, and

b

any further advance which is so secured,

shall rank in priority to that charge if, and only if, the housing association by written notice served on the institution concerned gives its consent; and the housing association shall so give its consent if the purpose of the advance or further advance is an approved purpose.

2B

The housing association may at any time by written notice served on an approved lending institution postpone the charge taking effect by virtue of this paragraph to any advance or further advance which—

a

is made to the purchaser by that institution, and

b

is secured by a legal charge not having priority to that charge;

and the housing association shall serve such a notice if the purpose of the advance or further advance is an approved purpose.

3

A charge taking effect by virtue of this section is a land charge for the purposes of section 59 of the M93Land Registration Act 1925 notwithstanding subsection (5) of that section (exclusion of mortgages), and subsection (2) of that section applies accordingly with respect to its protection and realisation.

F2853A

The covenant required by paragraph 1 (covenant for repayment of discount) does not, by virtue of its binding successors in title of the purchaser, bind a person exercising rights under a charge having priority over the charge taking effect by virtue of this paragraph, or a person deriving title under him; and a provision of the conveyance, grant or assignment, or of a collateral agreement, is void in so far as it purports to authorise a forfeiture, or to impose a penalty or disability, in the event of any such person failing to comply with that covenant.

4

The approved lending institutions for the purposes of this paragraph are—

  • a building society,

  • a bank,

  • a trustee savings bank,

  • an insurance company,

  • a friendly society,

  • the Housing Corporation

and any body specified, or of a class or description specified, in an order made under section 156 of the M94Housing Act 1985 (which makes provision in relation to disposals in pursuance of the right to buy corresponding to that made by this paragraph).

F2865

The approved purposes for the purposes of this paragraph are—

a

to enable the purchaser to defray, or to defray on his behalf, any of the following—

i

the cost of any works to the house,

ii

any service charge payable in respect of the house for works, whether or not to the house, and

iii

any service charge or other amount payable in respect of the house for insurance, whether or not of the house, and

b

to enable the purchaser to discharge, or to discharge on his behalf, any of the following—

i

so much as is still outstanding of any advance or further advance which ranks in priority to the charge taking effect by virtue of this paragraph,

ii

any arrears of interest on such an advance or further advance, and

iii

any costs and expenses incurred in enforcing payment of any such interest, or repayment (in whole or in part) of any such advance or further advance;

and in this sub-paragraph “service charge” has the meaning given by section 621A of the M95Housing Act 1985.

6

Where different parts of an advance or further advance are made for different purposes, each of those parts shall be regarded as a separate advance or further advance for the purposes of this paragraph.

Restriction on disposal of houses in National Parks, etc.

3

1

Where a conveyance, grant or assignment executed under section 8 is of a house situated in—

a

a National Park,

b

an area designated under section 87 of the National Parks and Access to the M96Countryside Act 1949 as an area of outstanding natural beauty, or

c

an area designated as a rural area by order under section 157 of the Housing Act 1985 (which makes provision in relation to disposals in pursuance of the right to buy corresponding to that made by this paragraph),

the conveyance, grant or assignment may (unless it contains a condition of a kind mentioned in section 33(2)(b) or (c) of the M97Housing Act 1985 (right of pre-emption or restriction on assignment)) contain a covenant limiting the freedom of the purchaser (including any successor in title of his and any person deriving title under him or such a successor) to dispose of the house in the manner specified below.

2

The limitation is that until such time (if any) as may be notified in writing by the housing association to the purchaser or a successor in title of his, there will be no relevant disposal which is not an exempted disposal without the written consent of the housing association; but that consent shall not be withheld if the disposal is to a person satisfying the condition stated in sub-paragraph (3).

3

The condition is that the person to whom the disposal is made (or, if it is made to more than one person, at least one of them) has, throughout the period of three years immediately preceding the application for consent—

a

had his place of work in a region designated by order under section 157(3) of the Housing Act 1985 which, or part of which, is comprised in the National Park or area, or

b

had his only or principal home in such a region;

or has had the one in part or parts of that period and the other in the remainder; but the region need not have been the same throughout the period.

4

A disposal in breach of such a covenant as is mentioned in sub-paragraph (1) is void.

5

The limitation imposed by such a covenant is a local land charge and, if the land is registered under the M98Land Registration Act 1925, the Chief Land Registrar shall enter the appropriate restriction on the register of title as if application therefor had been made under section 58 of that Act.

6

In this paragraph “purchaser” means the person acquiring the interest disposed of by the first disposal.

Relevant disposals

4

1

A disposal, whether of the whole or part of the house, is a relevant disposal for the purposes of this Schedule if it is—

a

a conveyance of the freehold or an assignment of the lease, or

b

the grant of a lease or sub-lease (other than a mortgage term) for a term of more than 21 years otherwise than at a rack rent.

2

For the purposes of sub-paragraph (1)(b) it shall be assumed—

a

that any option to renew or extend a lease or sub-lease, whether or not forming part of a series of options, is exercised, and

b

that any option to terminate a lease or sub-lease is not exercised.

Exempted disposals

5

1

A disposal is an exempted disposal for the purposes of this Schedule if—

a

it is a disposal of the whole of the house and a conveyance of the freehold or an assignment of the lease and the person or each of the persons to whom it is made is a qualifying person (as defined in sub-paragraph (2));

b

it is a vesting of the whole of the house in a person taking under a will or on an intestacy;

c

it is a disposal of the whole of the house in pursuance of an order made under section 24 of the M99Matrimonial Causes Act 1973 (property adjustment orders in connection with matrimonial proceedings) or section 2 of the M100Inheritance (Provisions for Family and Dependants) Act 1975 (orders as to financial provision to be made from estate);

d

it is a compulsory disposal; or

e

the property disposed of is property included with the house by virtue of paragraph (b) of the definition of “house” in section 106(1) (yard, garden, outhouses, &c.).

2

For the purposes of sub-paragraph (1)(a), a person is a qualifying person in relation to a disposal if—

a

he is the person or one of the persons by whom the disposal is made,

b

he is the spouse or a former spouse of that person or one of those persons, or

c

he is a member of the family of that person or one of those persons and has resided with him throughout the period of twelve months ending with the disposal.

Meaning of “compulsory disposal”

6

In this Schedule a “compulsory disposal” means a disposal of property which is acquired compulsorily, or is acquired by a person who has made or would have made, or for whom another person has made or would have made, a compulsory purchase order authorising its compulsory purchase for the purposes for which it is acquired.

Exempted disposals which end liability under covenants

7

Where there is a relevant disposal which is an exempted disposal by virtue of paragraph 5(1)(d) or (e) (compulsory disposal or disposal of yard, garden etc.)—

a

the covenant required by paragraph 1 (repayment of discount on early disposal) is not binding on the person to whom the disposal is made or any successor in title of his, and that covenant and the charge taking effect by virtue of paragraph 2 cease to apply in relation to the property disposed of, and

b

any such covenant as is mentioned in paragraph 3 (restriction on disposal of houses in National Parks, etc.) ceases to apply in relation to the property disposed of.

Treatment of options

8

1

For the purposes of this Schedule the grant of an option enabling a person to call for a relevant disposal which is not an exempted disposal shall be treated as such a disposal made to him.

2

For the purposes of paragraph 3(2) (requirement of consent to disposal of house in National Park, etc.) a consent to such a grant shall be treated as a consent to a disposal made in pursuance of the option.

F261SCHEDULE 3

Annotations:
Amendments (Textual)
F261

Sch. 3 repealed (E.W.) (1.10.1996) by 1996 c. 52, s. 227, Sch. 19 Pt. I; S.I. 1996/2402, art. 3 (with transitional provisions and savings in Sch.); and repealed (S.) (1.10.1996) by virtue of S.I. 1996/2325, art. 4(1), Sch. 1 Pt. II (with art. 4(2)(3))

Books of account, &c.

1

1

The association shall in respect of its housing activities—

a

cause to be kept proper books of account showing its transactions and its assets and liabilities, and

b

establish and maintain a satisfactory system of control of its books of account, its cash holdings and all its receipts and remittances.

2

The books of account must be such as to enable a true and fair view to be given of the state of affairs of the association in respect of its housing activities, and to explain its transactions in the course of those activities.

Accounts and balance sheets

2

1

The association shall for each period of account prepare—

a

a revenue account giving a true and fair view of the association’s income and expenditure in the period, so far as arising in connection with its housing activities, and

b

a balance sheet giving a true and fair view as at the end of the period of the state of the association’s affairs.

2

The revenue account and balance sheet must be signed by at least two trustees of the association.

Appointment of auditor

3

1

The association shall in each period of account appoint a qualified auditor to audit the accounts prepared in accordance with paragraph 2.

F2872

A person is qualified for the purposes of this paragraph if he is eligible for appointment as a company auditor under section 25 of the Companies Act 1989.

3

But none of the following shall be appointed—

a

a trustee, officer or employee of the association or of an associated body,

b

a person who is a partner of, or in the employment of, or who employs a person within paragraph (a), or

c

a body corporate;

and a body of persons (whether corporate or unincorporate and whether or not itself a charity) is for this purpose an associated body if it is essentially under the same management F288. . .

4

A Scottish firm is qualified for appointment as auditor, notwithstanding sub-paragraph (3)(c), if each of the partners in it is qualified for appointment.

Auditor’s report

4

1

The association’s auditor appointed under this Schedule shall make a report to the association on the accounts audited by him.

2

The report shall state whether in the auditor’s opinion—

a

the revenue account gives a true and fair view of the state of income and expenditure of the association in respect of its housing activities and of any other matters to which it relates, and

b

the balance sheet gives a true and fair view of the state of affairs of the association as at the end of the period of account.

Duties of auditor

5

The auditor in preparing his report shall carry out such investigations as will enable him to form an opinion as to the following matters—

a

whether the association has kept, in respect of its housing activities, proper books of account in accordance with the requirements of this Schedule;

b

whether the association has maintained a satisfactory system of control over its transactions in accordance with those requirements, and

c

whether the accounts are in agreement with the association’s books;

and if he is of opinion that the association has failed in any respect to comply with this Schedule, or if the accounts are not in agreement with the books, he shall state that fact in his report.

Auditor’s right of access to books, etc.

6

The auditor—

a

has a right of access at all times to the books, deeds and accounts of the association, so far as relating to its housing activities, and to all other documents relating to those activities, and

b

is entitled to require from the trustees or officers of the association such information and explanations as he thinks necessary for the performance of his duties;

and if he fails to obtain all the information and explanations which, to the best of his knowledge and belief, are necessary for the purposes of his audit, he shall state that fact in his report.

Periods of account

7

A period of account for the purposes of this Schedule is twelve months or such other period not less than six months or more than 18 months as the association may, with the consent of the Corporation, determine.

SCHEDULE 4 Housing Associations: Continuation of Arrangements Under Repealed Enactments

Sections 69, 70.

Part I Arrangements with Local Authorities for Provision or Improvement of Housing

(ss. 120 and 121 of the Housing Act 1957)

1

Arrangements between a local authority and a housing association under section 120 of the M50Housing Act 1957 (arrangements for provision of housing) which were made before 10th August 1972 and are in force immediately before the commencement of this Act remain in force under this paragraph.

2

Arrangements between a local authority and a housing association under section 121 of the Housing Act 1957 (arrangements for improvement or conversion of housing) which were made before 1st April 1975 and are in force immediately before the commencement of this Act remain in force under this paragraph.

Part II Subsidy Agreements with Local Authorities

(s. 79 of the Housing Finance Act 1972 and s. 59 of the Housing (Financial Provisions) (Scotland) Act 1972)

1

In this Part “subsidy agreement” means an agreement made between a local authority and a housing association which provides for payments to be made under or by reference to any of the following enactments—

  • section 2 of the M51Housing (Financial Provisions) Act 1924,

  • section 29(1) of the M52Housing Act 1930,

  • section 27(3) of the M53Housing Act 1935,

  • section 26 of the M54Housing (Scotland) Act 1935,

  • section 94(3) of the M55Housing Act 1936,

  • section 87(1) of the M56Housing (Scotland) Act 1950,

  • section 1(2)(b) of the M57Housing Subsidies Act 1956,

  • section 2, 3 or 4 of the M58Housing and Town Development (Scotland) Act 1957,

  • section 1(2)(b) of the M59Housing (Financial Provisions) Act 1958,

  • section 1(2) of the M60Housing Act 1961,

  • section 2, 4, 5, 6 or 7 of the M61Housing (Scotland) Act 1962,

  • section 1(5) or 9(4) of the M62Housing Subsidies Act 1967,

  • section 2, 4, 6, 7, 9 or 10 of the M63Housing (Financial Provisions) (Scotland) Act 1968,

  • (being enactments with respect to which it was provided by the M64Housing Finance Act 1972 or the M65Housing (Financial Provisions) (Scotland) Act 1972 that no further payments were to be made for 1972-73 or any subsequent year).

2

Where a subsidy agreement provides for the payment of greater amounts than those which the authority would have been obliged to pay under the relevant enactment, the authority shall continue to pay to the housing association sums equal to the difference between the amounts for the payment of which the agreement provides and the amounts which they would have been obliged to pay by that enactment.

Part III Special Arrangements with the Secretary of State in Scotland

(s.1(1)(d) of the Housing (Scotland) Act 1962; s.1(2)(d) of the Housing (Financial Provisions) (Scotland) Act 1968)

Arrangements made between the Secretary of State and a housing association under section 1(1)(d) of the Housing (Scotland) Act 1962 or section 1(2)(d) of the Housing (Financial Provisions) (Scotland) Act 1968 (special arrangements for provision of housing) which were made before 3rd August 1972 and are in force immediately before the commencement of this Act remain in force under this paragraph.

SCHEDULE 5 Housing Association Finance: Superseded Subsidies, Contributions and Grants

Sections 69, 71.

C19Part I Residual Subsidies: England and Wales

Annotations:
Modifications etc. (not altering text)
C19

Sch. 5 Pt. I modified by Housing Act 1988 (c. 50, SIF 61), 57(c)

(ss. 72 and 73 of the Housing Finance Act 1972) Entitlement to residual subsidies

1

1

Basic residual subsidy is payable to a housing association in accordance with the following provisions where the association received payments from the Secretary of State for the financial year 1971-72 under certain enactments under which, in accordance with the M66Housing Finance Act 1972, no payments were to be made for 1972-73 or any subsequent year.

2

A housing association is entitled to basic residual subsidy for a financial year if—

a

it was entitled to basic residual subsidy under section 72 of the Housing Finance Act 1972 for the financial year 1972-73, and

b

it has continued to be entitled to basic residual subsidy, under that section or this Schedule, for each succeeding financial year up to and including that immediately before the year in question.

3

The amount of basic residual subsidy payable to an association for any year is the amount (if any) by which the basic residual subsidy payable for the previous year exceeds the withdrawal factor.

4

Subject to any direction of the Secretary of State under paragraph 4(2), the withdrawal factor is the sum produced by multiplying £20 by the number of dwellings as at 31st March 1972 in respect of which the association’s subsidies for 1971-72 (as defined in section 72(4) of the Housing Finance Act 1972) were payable.

2

1

Special residual subsidy is payable to a housing association in accordance with the following provisions in respect of dwellings which—

a

were approved by the Secretary of State for the purposes of Part I of the M67Housing Subsidies Act 1967 before 10th August 1972, and

b

were completed during the year 1972-73, 1973-74 or 1974-75.

2

A housing association is entitled to special residual subsidy for a financial year if—

a

it was entitled by virtue of section 73 of the Housing Finance Act 1972 to special residual subsidy for any of the years 1972-73, 1973-74 or 1974-75, and

b

it has continued to be entitled to special residual subsidy, under that section or this Schedule, for each succeeding financial year up to and including that immediately before the year in question.

3

The amount of special residual subsidy payable to an association for any year is the amount (if any) by which the special residual subsidy payable for the previous year exceeds the reduction factor.

4

Subject to any direction of the Secretary of State under paragraph 4(2), the reduction factor is the sum produced by multiplying £20 by the number of dwellings satisfying the description in sub-paragraph (1).

3

No basic or special residual subsidy is payable to a co-operative housing association.

Power to vary withdrawal factor or reduction factor

4

1

This paragraph applies where a housing association, by furnishing to the Secretary of State such information as to its financial position as he may require, satisfies him as regards any financial year that its income from its dwellings will be, or was, inadequate having regard to its normal sources of income to meet such expenditure (including loan charges) as in his opinion it would be, or was, reasonable for the association to incur for that financial year in the exercise of its housing functions.

2

Where this paragraph applies, the Secretary of State may direct that the amount of basic residual subsidy or special residual subsidy payable to the association for the financial year in question shall be determined—

a

by reference to a withdrawal factor or reduction factor calculated by reference to a smaller sum of money per dwelling than that mentioned in paragraph 1(4) or 2(4), or

b

by reference to a withdrawal factor or reduction factor of zero.

3

A direction under this paragraph may be varied or revoked by the Secretary of State by a further direction.

4

In sub-paragraph (1) “housing functions” means—

a

constructing or improving, or facilitating or encouraging the construction or improvement, of dwellings,

b

managing dwellings,

c

the provision of dwellings by conversion, and

d

the acquisition of dwellings;

and includes functions which are supplementary or incidental to any of those functions.

5

For the purposes of this paragraph “loan charges”, in relation to money borrowed by an association, means—

a

the sums required for the payment of interest on the money and for its repayment, either by instalments or by means of a sinking fund, and

b

the expenses of managing the debt,

and includes any such charges made by the association itself, whether in respect of borrowing from a capital fund kept by the association or in respect of borrowing between accounts kept by the association for different functions, or otherwise.

Administrative provisions

5

1

Payment of basic or special residual subsidy is subject to the making of a claim for the payment in such form, and containing such particulars, as the Secretary of State may from time to time determine.

2

The amount of basic or special residual subsidy payable to a housing association for a financial year shall be calculated to the nearest pound by rounding up any odd amount of 50p or more and rounding down any lesser amount.

3

Basic or special residual subsidy is payable . . . F262 subject to such conditions as to records, certificates, audit or otherwise as the Secretary of State may, . . . F262, impose.

Powers exercisable in case of disposal of dwellings by association

6

1

The Secretary of State may reduce, suspend or discontinue the payment of basic or special residual subsidy to an association if the association leases for a term exceeding seven years or otherwise disposes of any of the dwellings in respect of which the association is entitled to the payment.

2

If any dwellings of an association are leased for a term exceeding seven years to, or become vested in—

a

another housing association, or trustees for another housing association, or

b

the Housing Corporation F263. . .,

the Secretary of State may pay to them any basic or special residual subsidy which he would otherwise have paid to the former association for any financial year, beginning with that in which the dwellings are so leased or become so vested.

3

For the purposes of this paragraph a lease shall be treated as being for a term exceeding seven years where the original term is for a lesser period but the lease confers on the lessee an option for renewal for a term which, together with the original term, exceeds seven years.

Saving for financial years beginning before the commencement of this Act

7

1

The preceding provisions apply in relation to the financial year 1986-87 and subsequent financial years.

2

The repeal by the M68Housing (Consequential Provisions) Act 1985 of the provisions of the M69Housing Finance Act 1972 relating to basic and special residual subsidies does not affect the operation of those provisions in relation to previous financial years.

C27Part II Residual Subsidies: Scotland

Annotations:
Modifications etc. (not altering text)
C27

Sch. 5 Pt. II paras. 1–7 modified by Housing Act 1988 (c. 50, SIF 61), s. 57(c)

(ss. 52 and 53 of the Housing (Financial Provisions) (Scotland) Act 1972) Entitlement to residual subsidies

C201

1

Basic residual subsidy is payable to a housing association in accordance with the following provisions where the association received payments from the Secretary of State for the financial year 1971-72 under certain enactments under which, in accordance with the M70Housing (Financial Provisions) (Scotland) Act 1972, no payments were to be made for 1972-73 or any subsequent year.

2

A housing association is entitled to basic residual subsidy for a financial year if—

a

it was entitled to basic residual subsidy under section 52 of the Housing (Financial Provisions) (Scotland) Act 1972 for the financial year 1972-73, and

b

it has continued to be entitled to basic residual subsidy, under that section or this Schedule, for each succeeding financial year up to and including that immediately before the year in question.

3

The amount of basic residual subsidy payable to an association for any year is the amount (if any) by which the basic residual subsidy payable for the previous year exceeds the withdrawal factor.

4

Subject to any direction of the Secretary of State under paragraph 4(2), the withdrawal factor is the sum produced by multiplying £20 by the number of houses as at 31st March 1972 in respect of which the association’s subsidies for 1971-72 (as defined in section 52(4) of the Housing (Financial Provisions) (Scotland) Act 1972) were payable.

C212

1

Special residual subsidy is payable to a housing association in accordance with the following provisions in respect of houses—

a

the erection of which was approved by the Secretary of State for the purposes of sections 1 to 12 of the M71Housing (Financial Provisions) (Scotland) Act 1968 before 3rd August 1972, and

b

which were completed by the association during the year 1972-73, 1973-74 or 1974-75.

2

A housing association is entitled to special residual subsidy for a financial year if—

a

it was entitled by virtue of section 53 of the M72Housing (Financial Provisions) (Scotland) Act 1972 to special residual subsidy for any of the years 1972-73, 1973-74 or 1974-75, and

b

it has continued to be entitled to special residual subsidy, under that section or this Schedule, for each succeeding financial year up to and including that immediately before the year in question.

3

The amount of special residual subsidy payable to an association for any year is the amount (if any) by which the special residual subsidy payable for the previous year exceeds the reduction factor.

4

Subject to any direction of the Secretary of State under paragraph 4(2), the reduction factor is the sum produced by multiplying £20 by the number of houses satisfying the description in sub-paragraph (1).

C223

No basic or special residual subsidy is payable to a co-operative housing association.

Power to vary withdrawal factor or reduction factor

C234

1

This paragraph applies where a housing association, by furnishing to the Secretary of State such information as to its financial position as he may require, satisfies him as regards any financial year that its income from its houses will be, or was, inadequate having regard to its normal sources of income to meet such expenditure (including loan charges) as in his opinion it would be, or was, reasonable for the association to incur for that financial year in the exercise of its housing functions.

2

Where this paragraph applies, the Secretary of State may direct that the amount of basic residual subsidy or special residual subsidy payable to the association for the financial year in question shall be determined—

a

by reference to a withdrawal factor or reduction factor calculated by reference to a smaller sum of money per house than that mentioned in paragraph 1(4) or 2(4), or

b

by reference to a withdrawal factor or reduction factor of zero.

3

A direction under this paragraph may be varied or revoked by the Secretary of State by a further direction.

4

In sub-paragraph (1) “housing functions” means—

a

constructing or improving, or facilitating the construction or improvement, of houses,

b

managing houses,

c

the provision of houses by conversion, and

d

the acquisition of houses;

and includes functions which are supplementary or incidental to any of those functions.

5

For the purposes of this paragraph “loan charges”, in relation to money borrowed by an association includes loan charges made by the association itself (including charges for debt management), whether in respect of borrowing from a capital fund kept by the association or in respect of borrowing between accounts kept by the association for different functions, or otherwise.

Administrative provisions

C245

1

Payment of basic or special residual subsidy is subject to the making of a claim for the payment in such form, and containing such particulars, as the Secretary for State may from time to time determine.

2

The amount of basic or special residual subsidy payable to a housing association for a financial year shall be calculated to the nearest pound by rounding up any odd amount of 50p or more and rounding down any lesser amount.

3

Basic or special residual subsidy is payable . . . F264 subject to such conditions as to records, certificates, audit or otherwise as the Secretary of State may, . . . F264, impose.

Powers exercisable in case of disposal of houses by association

C256

1

The Secretary of State may reduce, suspend or discontinue the payment of basic or special residual subsidy to a housing association if the association leases for a term exceeding seven years or otherwise disposes of any of the houses in respect of which the association is entitled to the payment.

2

If any houses of an association are leased for a term exceeding seven years to, or become vested in—

a

another housing association, or trustees for another housing association, or

b

the Housing Corporation,

the Secretary of State may pay to that association or to the Corporation any basic or special residual subsidy which he would otherwise have paid to the former association for any financial year, beginning with that in which the houses are so leased or become so vested.

3

For the purposes of this paragraph a lease shall be treated as being for a term exceeding seven years where the original term is for a lesser period but the lease confers on the lessee an option for renewal for a term which, together with the original term, exceeds seven years.

Saving for financial years beginning before the commencement of this Act

C267

1

The preceding provisions apply in relation to the financial year 1986-87 and subsequent financial years.

2

The repeal by the M73Housing (Consequential Provisions) Act 1985 of the provisions of the M74Housing (Financial Provisions) (Scotland) Act 1972 relating to basic and special residual subsidies does not affect the operation of those provisions in relation to previous financial years.

Part III Contributions and Grants Under Arrangements With Local Authorities

(s. 12 of the Housing (Financial Provisions) Act 1958; s. 12 of the Housing Subsidies Act 1967; s. 21 of the Housing Act 1969)

1

1

Contributions by the Secretary of State in connection with arrangements made under section 121 of the M75Housing Act 1957 (arrangements between housing associations and local authorities for improvement of housing) remain payable—

a

under section 12 of the M76Housing (Financial Provisions) Act 1958 and section 12 of the M77Housing Subsidies Act 1967 as regards arrangements made before 25th August 1969, and

b

under section 21 of the M78Housing Act 1969 as regards arrangements made on or after that date and approved under subsection (2) of that section before 1st April 1975.

2

The contributions are payable at such times and in such manner as the Treasury may direct, and subject to such conditions, as to records, certificates, audit or otherwise as the Secretary of State may, with the approval of the Treasury, impose.

3

Where such a contribution is paid to a local authority, the authority shall pay to the housing association by way of annual grant an amount not less than the contribution.

2

If the Secretary of State is satisfied, in the case of contributions payable under section 12 of the Housing (Financial Provisions) Act 1958, that the housing association have made default in giving effect to the terms of the arrangements, he may, as he thinks just—

a

reduce the amount of the contribution payable to the local authority, or

b

suspend or discontinue the payment;

and the local authority may reduce to a proportionate or any less extent the annual grant payable by them to the association or, as the case may be, suspend the payment for a corresponding period or discontinue the payment.

(s. 17 of the Housing (Financial Provisions) (Scotland) Act 1968)

3

1

Contributions by the Secretary of State under section 17 of the M79Housing (Financial Provisions) (Scotland) Act 1968 remain payable in connection with arrangements made under section 121 of the M80Housing (Scotland) Act 1950 or section 155 of the M81Housing (Scotland) Act 1966 (arrangements between housing associations and local authorities for improvement of housing) and approved on or after 16th August 1964 and before 1st April 1975.

2

The contributions are payable at such times and in such manner as the Treasury may direct, and subject to such conditions as to records, certificates, audit or otherwise as the Secretary of State may, with the approval of the Treasury, impose.

3

Where such a contribution is paid to a local authority, the authority shall pay to the housing association by way of annual grant an amount not less than the contribution.

4

1

The Secretary of State may, in any of the circumstances mentioned in sub-paragraph (2), reduce the amount of the contributions in respect of a particular subsidised unit, or suspend or discontinue the payment of the contributions, or part of them, as he thinks just in the circumstances.

2

The circumstances referred to in sub-paragraph (1) are—

a

that the housing association has made default in giving effect to the terms of the arrangements with the local authority, or

b

that the subsidised unit has been converted, demolished or destroyed, is not fit to be used or has ceased to be used for the purpose for which it was intended, has been sold or leased for a stipulated duration exceeding twelve months or has been transferred, whether by sale or otherwise.

3

The local authority may reduce to a corresponding or less extent the annual grant payable by them to the association, or, as the case may be, suspend payment of the whole or a corresponding part of the payment for a corresponding period, or discontinue the payment or a corresponding part.

Part IV Contributions Under Arrangements with the Secretary of State in Scotland

(s. 16 of the Housing (Financial Provisions) (Scotland) Act 1968)

1

1

Contributions by the Secretary of State under section 16 of the Housing (Financial Provisions) (Scotland) Act 1968 remain payable in connection with arrangements made under—

  • section 14 of the M82Housing (Scotland) Act 1962, or

  • section 154 of the Housing (Scotland) Act 1966,

(arrangements between Secretary of State and housing associations) and approved before 1st April 1975.

2

The Secretary of State may, in any of the circumstances mentioned in sub-paragraph (3), reduce the amount of the contributions in respect of a particular subsidised unit, or suspend or discontinue the payment of the contributions, or part of them, as he thinks just in the circumstances.

3

The circumstances referred to in sub-paragraph (2) are—

a

that the housing association has made default in giving effect to the terms of the arrangements, or

b

the subsidised unit has been converted, demolished or destroyed, is not fit to be used or has ceased to be used for the purpose for which it was intended, has been sold or leased for a stipulated duration exceeding twelve months or has been transferred, whether by sale or otherwise.

Part V Schemes for the Unification of Grant Conditions

(s. 123 of the Housing Act 1957; s. 157 of the Housing (Scotland) Act 1966)

1

A scheme under section 123 of the M83Housing Act 1957 (schemes for the unification of divergent grant conditions affecting the management of a housing association’s houses) which was made before 10th August 1972 and is in force immediately before the commencement of this Act remains in force under this paragraph.

2

A scheme under section 157 of the M84Housing (Scotland) Act 1966 (schemes for the unification of divergent grant conditions affecting the management of a housing association’s houses) which was made before 3rd August 1972 and is in force immediately before the commencement of this Act remains in force under this paragraph.

Part VI New Building Subsidy and Improvement Subsidy

(s. 75 of the Housing Finance Act 1972; ss. 55 and 57 of the Housing (Financial Provisions) (Scotland) Act 1972)

1

1

The following subsidies remain payable in respect of building schemes or improvement schemes approved by the Secretary of State before 1st April 1975—

a

new building subsidy under section 75 of the M85Housing Finance Act 1972 or section 55 of the M86Housing (Financial Provisions) (Scotland) Act 1972, and

b

improvement subsidy under section 57 of the Housing (Financial Provisions) (Scotland) Act 1972.

2

Payment of the subsidy is subject to the making of a claim for the payment in such form, and containing such particulars as the Secretary of State may from time to time determine.

3

The amount of the subsidy payable for a financial year shall be calculated to the nearest pound by rounding up any odd amount of 50p or more and rounding down any lesser amount.

4

The subsidy is payable at such times and in such manner as the Treasury may direct, and subject to such conditions as to records, certificates, audit or otherwise as the Secretary of State may, with the approval of the Treasury, impose.

2

1

The Secretary of State may make reduced payments of subsidy, or suspend or discontinue such payments, if—

a

he made his approval of the scheme subject to conditions and is satisfied that any of the conditions has not been complied with, or

b

he is satisfied that a dwelling comprised in the scheme has been converted, demolished or destroyed, is not fit to be used or is not being used for the purpose for which it was intended, has been sold or leased for a term exceeding seven years or has ceased for any reason whatsoever to be vested in the association or trustees for the association.

2

If any of the dwellings comprised in the scheme become vested in, or are leased for a term exceeding seven years to—

a

a housing association, or trustees for a housing association other than the association which received approval for the scheme, or

b

the Housing Corporation,

the Secretary of State may, for any year beginning with that in which they come to be so vested or are so leased, pay them the whole or any part of the subsidy which he would otherwise have paid to the association which received approval for the scheme.

3

For the purposes of this paragraph a dwelling shall be treated as leased for a term exceeding seven years if it is leased for a lesser term by a lease which confers on the lessee an option for renewal for a term which, together with the original term, exceeds seven years.

3

1

Where a housing association satisfies the Secretary of State, by furnishing him with such information as to its financial position as he may require, that the amount of new building subsidy for a year will be, or was, inadequate having regard to its normal sources of income to enable it to meet such expenditure (including loan charges) as in his opinion it would be, or was, reasonable for it to incur for that year in the exercise of its housing functions, he may direct that for that year the percentage of the initial deficit to be met by subsidy shall be greater than that otherwise applicable.

2

The percentage shall not, however, be greater than 90 per cent. or the percentage met by subsidy for the immediately preceding year, whichever is less.

3

This paragraph does not apply in relation to the year of completion or the second or third year for which new building subsidy is payable.

4

In this paragraph—

  • housing functions” means constructing, improving or managing, or facilitating or encouraging the construction or improvement of dwellings, the provision of dwellings by conversion and the acquisition of dwellings, and includes functions which are supplementary or incidental to any of those functions;

  • loan charges” includes any loan charges made by a housing association (including charges for debt management) whether in respect of borrowing from a capital fund kept by the association or in respect of borrowing between accounts kept by the association for different functions or otherwise.

4

1

Where before 1st April 1976 a registered housing association made an application for housing association grant in respect of a housing project which was or included a building scheme or improvement scheme which had been previously approved for the purposes of any of the provisions mentioned in paragraph 1 and the Secretary of State gave his approval to that project for the purposes of housing association grant, no further payments of new building subsidy or improvement subsidy shall be made in respect of that approved scheme.

2

A condition imposed by the Secretary of State in such a case by virtue of section 35(2)(b) of the M87Housing Act 1974, requiring the repayment of all or any of the payments of new building subsidy or improvement subsidy already paid, if in force immediately before the commencement of this Act, remains in force under this sub-paragraph.

3

No account shall be taken under section 47(2)(b) (estimation of net cost of project for purposes of housing association grant: income to include subsidies) of payments of subsidy received which are required to be repaid in pursuance of such a condition.

Part VII Payments in Respect of Hostels Under Pre-1974 Enactments

(s. 21 of the Housing (Financial Provisions) (Scotland) Act 1968)

1

1

Section 21 of the M88Housing (Financial Provisions) (Scotland) Act 1968 (exchequer contributions for hostels) continues to have effect in relation to buildings provided or converted by a housing association which were approved by the Secretary of State for the purposes of subsection (1) of that section before 1st April 1975.

2

A registered housing association may not make an application for housing association grant in respect of a housing project which consists of or includes the carrying out of works for the provision of hostels if before 1st April 1975 any contribution has been made under section 21 of the Housing (Financial Provisions) (Scotland) Act 1968.

3

If in a case where sub-paragraph (2) does not prevent the making of such an application a registered housing association makes an application for housing association grant in respect of a housing project falling within that sub-paragraph and the Secretary of State gives his approval to the project for the purposes of housing association grant, section 21 of the M89Housing (Financial Provisions) (Scotland) Act 1968 shall cease to have effect with respect to the provision of hostels referred to in that sub-paragraph.

SCHEDULE 6

Status of Corporation

1

1

The Housing Corporation is a body corporate.

2

It is a public body for the purposes of the Prevention of Corruption Acts 1889 to 1916.

3

It shall not be regarded—

a

as the servant or agent of the Crown, or

b

as enjoying any status, immunity or privilege of the Crown, or

c

as exempt from any tax, duty, rate, levy or other charge whatsoever, whether general or local;

and its property shall not be regarded as property of, or held on behalf of, the Crown.

Membership of Corporation

2

1

The members of the Housing Corporation, of whom there shall be not more than fifteen, shall be appointed by the Secretary of State.

2

Before appointing a person to be a member of the Corporation the Secretary of State shall satisfy himself that he will have no financial or other interest likely to affect prejudicially the exercise of his functions as member; and the Secretary of State may require a person whom he proposes to appoint to give him such information as he considers necessary for that purpose.

3

1

The members of the Housing Corporation shall hold and vacate office in accordance with the terms of their appointment, subject to the following provisions.

2

A member may resign his membership by notice in writing addressed to the Secretary of State.

3

The Secretary of State may remove a member from office if he is satisfied that—

a

he has been adjudged bankrupt or made an arrangement with his creditors or (in Scotland) has had his estate sequestrated or has made a trust deed for behoof of his creditors or a composition contract,

b

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F265

c

he has been absent from meetings of the Corporation for a period longer than three consecutive months without the permission of the Corporation, or

d

he is otherwise unable or unfit to discharge the functions of a member, or is unsuitable to continue as a member.

4

The Secretary of State shall satisfy himself from time to time with respect to every member that he has no financial or other interest likely to affect prejudicially the exercise of his functions as a member; and he may require a member to give him such information as he considers necessary for that purpose.

Chairman and Deputy Chairman

4

1

The Secretary of State shall appoint one of the members to be Chairman and one to be Deputy Chairman; and the members so appointed shall hold and vacate those offices in accordance with the terms of their appointment, subject to the following provisions.

2

The Chairman or Deputy Chairman may resign his office by notice in writing addressed to the Secretary of State.

3

If the Chairman or Deputy Chairman ceases to be a member of the Corporation, he also ceases to be Chairman or Deputy Chairman.

Remuneration and allowances

5

1

The Secretary of State may pay the Chairman, Deputy Chairman and members such remuneration as he may, F266with the consent of the Treasury, determine.

2

The Housing Corporation may pay them such reasonable allowances as may be so determined in respect of expenses properly incurred by them in the performance of their duties.

Pensions

6

1

The Secretary of State may, F267with the consent of the Treasury, determine to pay in respect of a person’s office as Chairman, Deputy Chairman or member—

a

such pension, allowance or gratuity to or in respect of that person on his retirement or death as may be so determined, or

b

such contributions or other payments towards provision for such pension, allowance or gratuity as may be so determined.

2

As soon as may be after the making of such a determination the Secretary of State shall lay before each House of Parliament a statement of the amount payable in pursuance of the determination.

3

Sub-paragraph (1) does not apply in the case of a member who has been admitted in pursuance of regulations under section 7 of the M90Superannuation Act 1972 to participate in the benefits of a superannuation fund maintained by a local authority.

4

In such a case the Secretary of State shall make any payments required to be made to the fund in respect of the member by the employing authority and may make such deductions from his remuneration as the employing authority might make in respect of his contributions to the fund.

Proceedings of the Corporation

7

1

The quorum of the Housing Corporation and the arrangements relating to its meetings shall, subject to any directions given by the Secretary of State, be such as the Corporation may determine.

2

The validity of proceedings of the Corporation is not affected by any defect in the appointment of any of its members.

8

1

Where a member of the Housing Corporation is in any way directly or indirectly interested in a contract made or proposed to be made by the Corporation—

a

he shall disclose the nature of his interest at a meeting of the Corporation, and the disclosure shall be recorded in the minutes of the Corporation, and

b

he shall not take any part in any decision of the Corporation with respect to the contract.

2

A general notice given by a member at a meeting of the Corporation to the effect that he is a member of a specified company or firm and is to be regarded as interested in any contract which may be made with the company or firm is a sufficient disclosure of his interest for the purposes of this paragraph in relation to a contract made after the date of the notice.

3

A member need not attend in person at a meeting of the Corporation in order to make any disclosure which he is required to make under this paragraph provided he takes reasonable steps to secure that the disclosure is brought up and read at the meeting.

9

1

The fixing of the Housing Corporation’s seal may be authenticated by the signature of the Chairman or of any other person authorised for the purpose.

2

A document purporting to be duly executed under the seal of the Corporation shall be received in evidence and be deemed to be so executed unless the contrary is proved.

SCHEDULE 7 Powers Exercisable Where Loan Outstanding under Section 2 of The Housing Act 1964

Section 82.

Introductory

1

This Schedule applies where the Housing Corporation has made a loan to a housing association under section 2 of the M91Housing Act 1964 before the repeal of that section by the M92Housing (Consequential Provisions) Act 1985 and the loan has not been repaid.

Directions as to disposal of land securing loan

2

1

The F268Relevant Authoritymay F269. . .give the association directions with respect to the disposal of land belonging to the association in which the F268Relevant Authority has an interest as mortgagee under a mortgage, or as creditor in a heritable security, entered into by the association to secure the loan.

2

Directions so given may be varied or revoked by subsequent directions F270. . ..

F2713

The written consent of the Secretary of State is required for the giving, varying or revoking of directions by the Housing Corporation.

3

Where the F272Housing Corporation proposes to give a housing association directions under paragraph 2 requiring the association to transfer to the F272Housing Corporation the association’s interest in any land, the Secretary of State shall not consent to the giving of the directions unless he at the same time approves, or has previously approved, a scheme under paragraph 5 with respect to that land F273; and the Secretary of State shall not give a housing association directions under paragraph 2 unless he at the same time makes, or has previously made, such a scheme.

4

F276F2741

Where the F275Housing Corporation proposes to give directions under paragraph 2 to an association whose rules restrict membership to persons entitled or prospectively entitled (whether as tenants or otherwise) to occupy a dwelling provided or managed by the association requiring the association to transfer its interest in any such land to the F275Housing Corporation, or to any other person, the Secretary of State shall not consent to the giving of the directions unless he is satisfied that arrangements have been made which, if the directions are given, will secure that the members of the association receive fair treatment in connection with the transfer.

F2762

The Secretary of State shall not give to such an association directions under paragraph 2 requiring the association to transfer any land to the Secretary of State, or to any other person, unless he is so satisfied.

Schemes for Corporation to provide housing accommodation in place of association

5

1

If it appears to the F277Housing Corporation

a

that the association is experiencing difficulty in providing housing accommodation on any land which it has acquired or in managing housing accommodation provided by it on any land, or is in any way failing to perform its functions as a housing association in relation to any land, and that accordingly it is undesirable for the land in question to remain in the hands of the association,

b

that there is no other housing association, whether in existence or about to be formed, to which the association’s interest in the land in question can suitably be transferred, and

c

that the land is capable of being, or continuing to be, used to provide housing accommodation for letting,

the F277Housing Corporation may prepare and submit to the Secretary of State a scheme.

F2781A

If it so appears to the Secretary of State, he may make a scheme.

2

The scheme shall be for the Corporation—

a

to acquire the association’s interest in the land,

b

to undertake all such operations as may be required for the provision or continued provision on the land of housing accommodation for letting (including any operation which might have been carried out by a housing association in connection with the provision of housing accommodation), and

c

to retain the accommodation and keep it available for letting so long as the scheme has not been terminated in any manner provided for in the scheme.

3

Where such a scheme is submitted to the Secretary of State by the F279Housing Corporation, the Secretary of State, on being satisfied of—

a

the undesirability of the land remaining in the hands of the association, and

b

the lack of any housing association to which it can suitably be transferred,

may, if he thinks fit, approve the scheme.

4

If he does so the F279Housing Corporationshall have power to acquire for the purposes of the scheme the association’s interest in the land and to carry through the provisions of the scheme.

5

A scheme approved by the Secretary of State under this paragraph may be varied from time to time in accordance with proposals in that behalf made by the F279Housing Corporation and approved by the Secretary of State.

F2806

Where the Secretary of State makes the scheme, he shall have power to acquire for the purposes of the scheme the association’s interest in the land and to carry through the provisions of the scheme.

TABLE OF DERIVATIONS

1. The following abbreviations are used in this Table:— Acts of Parliament

1957

=

The Housing Act 1957 (c.56).

1958 (c.42)

=

The Housing (Financial Provisions) Act 1958.

1959 (c.53)

=

The Town and Country Planning Act 1959.

1959 (c.70)

=

The Town and Country Planning (Scotland) Act 1959.

1960 (c.58)

=

The Charities Act 1960.

1961

=

The Housing Act 1961 (c.65).

1963 (c.33)

=

The London Government Act 1963.

1964

=

The Housing Act 1964 (c. 56).

1965 (c.12)

=

The Industrial and Provident Soceties Act 1965.

1965 (c.25)

=

The Finance Act 1965.

1966 (S.)

=

The Housing (Scotland) Act 1966 (c.49).

1968 (c.13)

=

The National Loans Act 1968.

1968 (S.)

=

The Housing (Financial Provisions) (Scotland) Act 1968 (c.31).

1969

=

The Housing Act 1969 (c.33).

1970 (c.10)

=

The Income and Corporation Taxes Act 1970.

1970 (c.35)

=

The Conveyancing and Feudal Reform (Scotland) Act 1970.

1972 (S.)

=

The Housing (Financial Provisions) (Scotland) Act 1972 (c. 46).

1972

=

The Housing Finance Act 1972 (c.47).

1972 (c.70)

=

The Local Government Act 1972.

1973 (c.65)

=

The Local Government (Scotland) Act 1973.

1974

=

The Housing Act 1974 (c.44).

1975

=

The Housing Rents and Subsidies Act 1975 (c.6).

1975 (c.28)

=

The Housing Rents and Subsidies (Scotland) Act 1975.

1975 (c.55)

=

The Statutory Corporations (Financial Provisions) Act 1975.

1976 (c.75)

=

The Development of Rural Wales Act 1976.

1977 (c.42)

=

The Rent Act 1977.

1978

=

The Home Purchase Assistance and Housing Guarantee Act 1978 (c. 27).

1980 (c.43)

=

The Magistrates’ Courts Act 1980.

1980

=

The Housing Act 1980 (c.51).

1980 (S.)

=

The Tenants Rights etc. (Scotland) Act 1980 (c.52)

1981 (c.64)

=

The New Towns Act 1981.

1981 (c.67)

=

The Acquisition of Land Act 1981.

1982 (c.48)

=

The Criminal Justice Act 1982.

1983 (c.29)

=

The Miscellaneous Financial Provisions Act 1983.

1984

=

The Housing and Building Control Act 1984 (c.29).

1985 (c.9)

=

The Companies Consolidation (Consequential Provisions) Act 1985.

1985 (c.51)

=

The Local Government Act 1985.

Subordinate legislation

S.I. 1972/1204

=

The Isles of Scilly (Housing) Order 1972.

S.I. 1973/886

=

The Isles of Scilly (Housing) (No. 2) Order 1973.

S.I. 1975/374

=

The Housing Act 1974 (Commencement No. 4) Order 1975.

S.I. 1975/512

=

The Isles of Scilly (Housing) Order 1975.

S.I. 1983/664

=

The Housing Corporation Advances (Increase of Limit) Order 1983.

S.I. 1984/1803

=

The Housing Association Grant (Disposal of Dwellings) Order 1984.

2. The Table does not show the effect of Transfer of Functions Orders.

3. The letter R followed by a number indicates that the provision gives effect to the Recommendation bearing that number in the Law Commission’s Report on the Consolidation of the Housing Acts (Cmnd. 9515).

4. A reference followed by “passim” indicates that the provision of the consolidation derives from passages within those referred to which it is not convenient, and does not appear necessary, to itemise.

5. The entry “drafting” indicates a provision of a mechanical or editorial nature affecting the arrangement of the consolidation; for instance, a provision introducing a Schedule or introducing a definition to avoid undue repetition of the defining words.

Provision

Derivation

1(1)

1957 s. 189(1); 1964 s. 12(1); 1966 (S.) s.208(1); 1974 s. 129(1), (2), Sch. 13 para. 6.

(2)

drafting.

(3)

1974 s. 12.

2

1977 s. 2(6A); 1977 (c.42) s. 15(5); 1980 ss. 74(2), 123(7).

3

1974 s. 13(1), (7).

4(1)

1974 s. 13(1).

(2)

1974 s. 13(2).

(3)

1974 s. 13(3); 1980 s. 127(1)-(3); 1984 s. 35(4); Sch. 11 para. 27.

5(1)

1974 s. 13(1), (4), (5).

(2)

1974 s. 13(4).

(3)

1974 s. 16(1), (2).

(4)

1974 s. 13(6).

6(1)

1974 s. 15(1).

(2), (3)

1974 s. 15(2).

(4)

1974 s. 15(2A); 1980 s. 128(1)(a), (2).

(5)

1974 s. 16(1), (2).

7(1)

1974 s. 15(3).

(2)

1974 s. 15(4).

(3)

1974 s. 16(3).

8(1)-(3)

1980 s. 122(1)-(3).

9(1)

1974 s. 2(1), (6).

(2)

1974 s. 2(1A), (1B); 1980 s. 123(2).

(3)

1974 s. 2(5A); 1980 s. 123(6), 137(1).

(4)

1974 s. 15(6); 1980 s. 128.

(5)

1974 s. 2(1).

10(1)

1974 s. 2(2), (3); 1980 s. 123(3).

(2)

1974 s. 2(3A); 1980 s. 123(4).

(3)

1974 s. 2(4); 1980 s. 123(5).

(4)

1974 s. 2(3).

11

drafting.

12

1980 s. 137(1), (2); 1984 Sch. 11 para. 28.

13(1)

1974 s. 26(1).

(2)

1974 s. 26(2); 1980 Sch. 25 para. 25.

(3)

1974 s. 26(5); 1980 Sch. 11 Part II.

14(1)

1974 s. 26(3), (4), (6); 1980 Sch. 16 Part II.

(2)

1974 s. 26(5), 1980 Sch. 16 Part II.

Provision

Derivation

15(1)

1974 s. 27(1)-(3); 1980 Sch. 16 Part II.

(2)

1974 s. 27(5)-(7); 1980 Sch. 16 Part II.

(3)

1974 s. 27(4); 1980 Sch. 16 Part II.

16(1)

1974 s. 20(2); 1970 (c.35) Sch. 3 para. 9(2); R.32.

(2), (3)

1974 s. 20(6).

(4)

1974 s. 20(6).

17(1), (2)

1974 s. 20(3).

(3)

1974 s. 20(4).

(4)

1980 Sch. 17 para. 8.

18(1)

1980 Sch. 17 paras. 4, 5.

(2)

1980 Sch. 17 para. 6(b).

(3)

1980 Sch. 17 para. 7.

19(1)

1974 s. 24(1).

(2)-(4)

1965 (c.12) s. 10; 1974 s. 24(5A); 1980 s. 132.

20(1)

1974 s. 25(1).

(2)

1960 (c.58) s. 46; 1974 s. 25(1)-(3).

21(1)-(6)

1974 s. 24(1)-(5), (6).

22(1), (2)

1974 s. 22(1), (2).

23(1)

1974 s. 23(1).

(2)

1974 s. 23(2).

(3)

1974 s. 23(3).

(4)

1974 s. 23(4).

(5)

1974 s. 23(3).

24(1)

1980 s. 124(1).

(2)

1980 s. 124(6).

(3)

1980 s. 124(2).

(4)

1980 s. 124(3).

(5)

1980 s. 124(7), 151(1), (3).

25

1980 s. 124(4).

26

1980 s. 124(5).

27(1)

1980 s. 125(1).

(2)

1980 s. 125(2); 1982 (c. 48) ss. 37(1), 46(2).

(3)

1980 s. 125(3).

(4)

1980 s. 125(4).

28(1)

1974 s. 19(1), (1A); 1980 Sch. 17 para. 1.

(2)

1974 s. 19(2); 1980 Sch. 17 paras. 2, 6(b).

(3)

1974 s. 19(3); 1975 (c. 21) ss. 289F, 289G; 1982 (c. 48) ss. 37, 46(1), 54.

(4)

1974 s. 19(5).

(5)

1974 s. 19(8); 1980 Sch. 17 para. 2.

(6)

1980 s. 155(2).

29(1)

1974 s. 19(4).

(2)

1974 s. 19(4); 1980 Sch. 17 para. 6(e).

(3)

1974 s. 19(5).

(4)

1974 s. 19(6).

(5)

1974 s. 19(7).

Provision

Derivation

30(1)

1974 s. 20(1); 1980 Sch. 17 paras. 3(a), 6(b).

(2), (3)

1974 s. 20(6).

(4)

1974 s. 20(5); 1980 Sch. 17 para. 3(c).

(5)

1974 s. 20(1A); 1980 Sch. 17 para. 3(b).

(6)

1974 s. 20(7); 1975 (c. 21) ss. 289F, 289G; 1980 Sch. 17 para. 9; 1982 (c. 48) ss. 37, 46(1), 54.

31(1)

1974 ss. 19, 20passim; 1980 Sch. 17 paras. 4, 5, 6(a).

(2)

1980 Sch. 17 para. 7.

(3)

1980 Sch. 17 para. 6(c)(d).

32(1)

1974 s. 21(1).

(2)

1974 s. 21(2)(a).

(3)

1974 s. 21(2)(b).

(4)

1974 s. 21(3).

(5)

1974 s. 21(4).

33(1)

1957 s. 124; 1966 (S.) s. 158(1).

(2)

1957 s. 124; 1966 (S.) s. 158(2).

34(1), (2)

1957 s. 119(2).

35(1)

1957 s. 128(1); R.4(ii).

(2)

drafting.

36(1)

1957 s. 128(2); R.4(ii).

(2)

1957 s. 128(3); R.4(ii).

37

“appropriate registrar” 1974 s. 28; “committee” 1965 s. 74, 1974 s. 28; “co-opted member” 1974 s. 26(6), 1980 Sch. 16 Part II; drafting.

38

1974 ss. 28, 129(1); 1980 s. 133(1).

39

“mental disorder” 1974 s. 20(2)(a); “secure tenancy” 1974 s. 2(6A), 1980 s. 123(7).

40

drafting.

41(1)

1974 ss. 29(1), 29A(2); 1975 s. 6; 1975 (S.) s. 12; 1980 Sch. 18 para. 3.

(2)

1974 s. 29A(1); 1980 Sch. 18 Para. 3.

42(1)

1974 s. 29(2).

(2), (3)

1974 s. 29(2), (2A); 1980 Sch. 18 para. 1.

43

1980 s. 130(1).

44(1)

1984 s. 33(1).

(2)

1984 s. 33(2).

(3)

drafting.

45(1), (2)

1984 s. 35(1).

(3)

1984 s. 35(2).

(4)

1984 s. 35(3).

46

1974 s. 29(3).

47(1)

1974 s. 29(4).

(2), (3)

1974 s. 29(6).

(4)

1974 s. 29(8).

(5)

1974 s. 29(6A); 1980 Sch. 18 para. 2.

(6)

1974 s. 29(7).

Provision

Derivation

48(1)

1974 s. 29(5).

(2)

1974 s. 29(8).

(3)

1980 s. 130(2); S.I. 1984/1803.

(4)

1980 s. 151(1), (3).

49(1)-(4)

1974 s. 30(1); 1980 Sch. 18 para. 4.

(5)

1974 s. 30(8).

(6)

1974 s. 15(5).

50(1), (2)

1974 s. 30(2), (2A); 1980 Sch. 18 para. 5.

51(1), (2)

1974 s. 30(4), (6).

52(1)

1974 s. 30(3); 1980 Sch. 18 para. 6; 1984 s. 34(1).

(2)

1974 s. 30(3); 1980 Sch. 18 para. 6.

(3)

1984 s. 34(2).

(4)

1984 s. 34(3).

53(1)

1980 s. 131(1).

(2)

1980 s. 131(2).

(3)

1980 s. 131(3).

(4)

1980 s. 131(3), (4).

(5)

1980 s. 131(4).

(6)

1980 s. 131(5).

(7)

1980 s. 131(6).

54(1)

1974 s. 32(1); 1975 s. 6; 1975 (S.) s. 12; 1980 Sch. 18 para. 9(a).

(2), (3)

1974 s. 32(3); 1980 Sch. 18 para. 9(c).

(4)

1976 s. 32(5); 1980 Sch. 18 para. 9(e).

(5)

1974 s. 32(3); 1980 s. 133(2), Sch. 18 para. 9(c).

55(1)

1974 s. 33(1); 1980 Sch. 18 para. 10(a).

(2)-(4)

1974 s. 33(3); 1980 Sch. 18 para. 10(c).

(5)

1974 s. 33(4); 1980 Sch. 18 para. 10(d).

(6)

1974 s. 33(5); 1980 Sch. 18 para. 10(e).

56(1)

1974 ss. 32(2), 33(2); 1980 Sch. 18 paras. 9(b)(i), 10(b).

(2)

1974 ss. 32(2)(a), (b), 33(2), (7); 1980 Sch. 18 paras. 9(b)(ii), 10(b).

(3)

1974 s. 32(2)(c); 1980 Sch. 18 para. 9(b)(iii).

57(1)-(3)

1974 ss. 32(6), 33(6); 1980 Sch. 18 paras. 9(f), 10(f).

(4)

1974 s. 15(5).

58(1)

1957 s. 119(1).

(2)

1957 s. 119(3).

(3)

1972 s. 78(1), (2)(a), (4).

59(1)

1966 (S.) s. 152(1), (3); 1973 (c.65) Sch. 12 para. 10.

(2)

1966 (S.) s. 152(2), (3); 1973 (c.65) Sch. 12 para. 10.

(3)

1972 (S.) s. 58(1), (2)(b), (3).

(4)

1966 (S.) ss. 152(2), 198.

60(1)

1974 s. 17(1)(b).

(2)

1974 s. 17(3), (5); 1975 Sch. 5 para. 13; 1975 (S.) Sch. 3 para. 13.

(3)

1974 s. 17(4).

61(1)

1957 s. 122; 1966 (S.) s. 156(1).

(2)

1957 s. 122; 1966 (S.) s. 156(2); R.33.

62(1)

1965 (c.25) s. 93(1).

(2)

1965 (c.25) s. 93(6); 1970 (c.10) Sch. 15 para. 11 Table Pt. II; 1974 s. 17(2), (3).

(3)

1965 (c.25) s. 93(4).

Provision

Derivation

62(4)

1965 (c.25) s. 93(1), (2).

(5)

1965 (c.25) s. 93(2).

(6), (7)

1965 (c.25) s. 93(3).

63(1)

1964 s. 8(1); 1974 Sch. 13 para. 10(2).

(2)

1964 s. 8(2); 1974 Sch. 13 para. 10(2).

(3)

1964 s. 8(10); 1974 Sch. 13 para. 10(2).

(4)

1964 s. 8(3).

(5)

1964 s. 8(4).

(6)

1964 s. 8(3), (10).

64

1964 s. 8(8); 1975 (c.21) s. 298(1); 1977 Sch. 11; 1980 (c.44) s. 32(2); 1982 (c.48) s. 74(1).

65

1964 s. 8(5); 1974 Sch. 13 para. 10(2).

66(1)(a), (b)

1964 s. 8(12).

(c)

1964 s. 107.

(d)

drafting

(2)

1964 s. 107.

67(1)

1958 s. 47(1), (2)(b).

(2)

1958 s. 47(3), (5)(c), (6).

(3)

1958 s. 47(5)(c).

(4)

1958 s. 47(6) proviso (b).

(5)

1958 s. 47(5) (a), (b) proviso.

68(1)

1968 (S.) s. 24(1).

(2)

1968 (S.) s. 24(2), (4)(c), (5).

(3)

1968 (S.) s. 24(4)(c).

(4)

1968 (S.) s. 24(5) proviso (b).

(5), (6)

1968 (S.) s. 24(4)(a), (b) proviso.

69(1)

1972 (S.) ss. 58(2), 59(1); 1972 ss. 78(2), 79(1).

(2)

1972 (S.) ss. 58(5), 59(2); 1972 ss. 78(6), 79(2).

(3)

1972 ss. 78(1), 79(2).

(4)

1972 (S.) ss. 58(1), (5), 59(2).

70

drafting.

71

drafting.

72

“building society” 1964 s. 8(11); “Chief Registrar” 1964 s. 8(11); “officer” 1964 s. 8(11); “registered charity” drafting see 1974 s. 32(3)(1).

73

drafting.

74(1), (2)

drafting.

75(1)

1974 s. 1(2).

(2)

1974 s. 1(3).

(3)

1974 s. 1(2).

(4)

1964 Sch. 1 para. 5; 1974 Sch. 1 para. 3.

Provision

Derivation

76(1)

1964 s. 1(2); R.34(i).

(2)

1974 s. 9(3).

(3)

1964 s. 1(2).

(4)

1959 (c.53) s. 29; 1959 (c.70) s. 29; 1964 s. 1(4), (9).

77

1964 s. 7; R.35.

78

1964 s. 10(6).

79(1)

1974 s. 9(1).

(2)

1974 s. 9(2).

(3)

1974 s. 9(1), (2), (4).

(4)

1974 s. 9(3).

80(1)-(3)

1974 s. 9(5).

(4)

1974 s. 9(6).

81

1984 s. 24(1).

82

drafting.

83(1), (2)

1974 s. 10(1).

(3), (4)

1974 s. 10(2); 1978 s. 5(1), (2).

84(1)

1980 s. 111(1); 1984 s. 20(1).

(2)

1980 s. 111(3); 1984 s. 20(2).

(3)

1980 s. 111(4); 1984 s. 20(3).

(4)

1980 s. 111(1), (5); 1984 s. 20(4)(a).

(5)

1980 s. 111(5), (6); 1984 s. 20(4)(b).

(6)

1980 s. 111(8); 1984 s. 20(7).

85(1)

drafting.

(2)

1984 s. 20(5); “recognised body”.

(3)

1984 s. 20(6).

(4)

1984 ss. 18(3), (4), 20(5) “relevant advance”.

(5)

1984 s. 18(4) “long lease”.

86

1980 (S.) s. 31.

87(1)-(3)

1980 s. 121(2).

(4)

1980 s. 121(3).

88(1)

1974 ss. 1(2)(d), 3(1), (3).

(2)

1974 s. 3(6).

(3)

1974 s. 3(4); 1981 Sch. 4 para. 1.

(4)

1974 s. 3(2).

(5)

1974 s. 3(5).

89

1974 s. 4.

90(1)

1974 s. 5(2).

(2)

1974 s. 5(3); 1976 (c. 75) Sch. 7 para. 12; 1981 (c. 64) Sch. 12 para. 13(a).

(3)

1974 s. 5(3A); 1980 Sch. 25 para. 24.

(4)

1974 s. 5(4).

(5)

1974 s. 5(5)-(7).

(6)

1974 s. 5(1).

91

1959 (c.53) s. 29(1); 1959 (c.70) s. 29(1); 1964 s. 1(4), (9).

92(1)

1974 s. 7(2).

(2)

1974 s. 7(3).

(3)

1974 s. 7(4); 1975 (c.55) Sch. 4 para. 8.

(4)

1974 s. 7(6).

Provision

Derivation

92(5)

1974 s. 7(8).

(6)

1974 s. 7(7).

93(1)

1974 s. 7(1).

(2)

1974 s. 7(5); 1975 Sch. 5 para. 12; S.I. 1975/374; 1980 s. 120(1); S.I. 1983/664.

(3)

1974 ss. 7(5), 128(1).

(4)

1980 s. 120(2).

(5)

1974 s. 7(9).

94(1)

1974 s. 8(1); 1983 (c.29) s. 4.

(2)

1974 s. 8(2).

(3)

1974 s. 8(3).

(4)

1974 s. 8(4).

(5)

1974 s. 8(5).

(6)

1974 s. 8(2).

95

1980 s. 121(1).

96(1)

1974 s. 10(3).

(2)

1974 s. 10(4).

(3)

1974 s. 10(5).

(4)

1974 s. 10(6).

(5)

1974 s. 10(4), (5), (6).

97(1)

1964 s. 10(1).

(2)

1964 s. 10(2).

(3)

1964 s. 10(3).

(4)

1964 s. 10(4), (5); 1968 (c.13) Sch. 1; 1974 Sch. 13 para. 10(3).

(5)

1964 s. 10(5); 1985 (c.9) Sch. 2.

(6)

1964 s. 10(7).

98(1)

1974 s. 6(1).

(2)

1974 s. 6(3).

99

1974 s. 6(2).

100

1964 s. 11; 1974 Sch. 13 para. 10(4).

101

“building society” 1980 s. 111(7); “financial year” 1964 s. 10(7); 1978 (c.30) Sch. 1; “highway” 1974 s. 12; “subsidiary” 1974 s. 12; 1985 (c.9) Sch. 2.

102

drafting.

103

1972 s. 103; 1975 Sch. 5 para. 7(1); S.I. 1972/1204; S.I. 1975/512; R.29.

104(1)

1963 (c.33) s. 21(1), (2); 1972 (c.70) s. 193(1); 1966 (S.) s. 1; 1973 (c.65) s. 130(3), Sch. 12 para. 6; S.I. 1972/1204; S.I. 1973/886; S.I. 1975/512.

(2)

drafting.

105

1957 s. 104B(4B)(c); 1984 Sch. 6 para. 1(2).

106(1), (2).

“bank” 1957 s. 104B(6), 1978 Sch. para. 7, 1984 Sch. 6 para. 1(5); “building society”passim; “dwelling” 1966 (S.) s. 208(1), 1972 s. 104(1), 1974 s. 129(1)(2); “friendly society”passim; “hostel” 1974 s. 129(1)(2), 1966 (S.) s. 208(1); “house” 1957 s. 189(1); 1966 (S.) s. 208(1), 1980 s. 130(3); “housing activities” 1980 s. 133(2), Sch. 18 para. 9, 1984 Sch. 6 para. 1(5); “insurance company” 1957 s. 104B(6), 1978 Sch. para. 8, 1984 Sch. 6 para. 1(5); “local authority” 1957 s. 1, 1974 ss. 5, 129, 1980 s. 111, 1980 (c.52) s. 31, 1984 ss. 18(3), 20(5); 1985 (c.51) Sch. 14 para. 64(a), (b); “new town corporation” 1972 (S.) s. 78(1), 1974 s. 5(3)(c)(d), 1981 (c.64) Sch. 12 para. 13(a); “shared ownership lease” drafting; “trustee savings bank” 1957 s. 104B(6), 1978 Sch. para. 6, 1984 Sch. para. 1(5); “urban development corporation” 1984 s. 18(3).

Provision

Derivation

107

drafting.

Schedules

Sch. 1

para. 1

1974 Sch. 2 para. 1.

para. 2

1974 Sch. 2 para. 2.

para. 3

1974 Sch. 2 para. 3.

Sch. 2

1980 s. 122(4), (5), (6).

para. 1(1)

1957 s. 104B(1); 1980 s. 92.

(2)

1957 s. 104B(2), (3); 1980 s. 92; 1984 Sch. 6 para. 1(1).

para. 2(1)

1957 s. 104B(5); 1980 s. 92; 1984 Sch. 6 para. 1(3).

(2)

1957 s. 104B(5A); 1984 Sch. 6 para. 1(4).

(3)

1957 s. 104B(7); 1980 s. 92.

(4)

1957 s. 104B(6); 1978 Sch. paras. 6-9; 1984 Sch. 6 para. 1(5).

para. 3(1)

1957 s. 104C(1), (9); 1980 s. 92; 1984 Sch. 6 para. 2(1), (5).

(2)

1957 s. 104C(2); 1980 s. 92; 1984 Sch. 6 para. 2(2).

(3)

1957 s. 104C(3); 1980 s. 92.

(4)

1957 s. 104C(5); 1980 s. 92.

(5)

1957 s. 104C(6); 1980 s. 92.

(6)

1957 s. 104C(8); 1980 s. 92.

para. 4

1957 s. 104B(4), 104C(7A); 1984 Sch. 6 para. 1(2), 2(4).

para. 5(1)

1957 s. 104B(4A); 1984 Sch. 6 para. 1(2).

(2)

1957 s. 104B(4B), (8); 1984 Sch. 6 para. 1(2).

para. 6

1957 s. 104B(4A)(d); 1984 Sch. 6 para. 1(2); drafting.

para. 7

1957 ss. 104B(4C), 104C(7); 1984 Sch. 6 paras. 1(2), 2(4).

para. 8(1)

1957 ss. 104B(9), 104C(10); 1980 s. 92; 1984 Sch. 6 para. 1(6), 2(6).

(2)

1957 s. 104C(10); 1980 s. 92.

Sch. 3

para. 1(1), (2)

1980 Sch. 16 Part I para. 1(1), (2).

para. 2(1), (2)

1980 Sch. 16 Part I para. 2(1), (2).

para. 3(1)-(4)

1980 Sch. 16 Part I para. 3(1)-(4).

para. 4(1), (2)

1980 Sch. 16 Part I para. 4(1), (2).

para. 5

1980 Sch. 16 Part I para. 5(1), (2).

para. 6

1980 Sch. 16 Part I para. 5(3), (4).

para. 7

1980 Sch. 16 Part I para. 6.

Sch. 4

Pt. I

para. 1

1972 s. 78(2), (3), (5).

para. 2

1974 Sch. 13 para. 5.

Pt.II

para. 1

1972 Sch. 7 Pt.III; 1972 (S.) Sch. 1 Pts. IV, VI.

para. 2

1972 s. 79(1); 1972 (S.) s. 59(1).

Pt.III

1972 (S.) s. 58(2)(a), (g), (4).

Sch. 5

Pt. I

para. 1

1972 s. 72(1)-(7), (9).

para. 2

1972 s. 73(1)-(7).

para. 3

1972 s. 104(1) “housing association”.

para. 4

1972 ss. 74(1), (5), 104(4).

para. 5

1972 ss. 15(1), (2), (5), 71(4).

para. 6

1972 s. 74(2)-(4).

para. 7

drafting.

Pt.II

para. 1

1972 (S.) s. 52(1)-(6), 8.

para. 2

1972 (S.) s. 53(1)-(3), (8), (9).

para. 3

1972 (S.) s. 78(1) “housing association”.

para. 4

1972 (S.) ss. 54(1), 68(1).

para. 5

1972 (S.) ss. 13, 51(4).

Provision

Derivation

Sch. 5

Pt.IIcont.

para. 6

1972 (S.) s. 54(2)-(4).

para. 7

drafting.

Pt.III

para. 1(1)

1969 Sch. 9 para. 1; 1974 Sch. 14 para. 6.

(2)

1958 s. 28; 1967 Sch. 3 para. 6; 1969 Sch. 8 para. 17.

(3)

1958 s. 12(1); 1967 s. 12(6); 1969 s. 21(8); Sch. 9 para. 1; 1974 Sch. 14 para. 6.

para. 2

1958 s. 12(2); 1969 Sch. 9 para. 1.

para. 3(1)

1968 (S.) s. 17(3); 1974 Sch. 14 para. 6.

(2)

1968 (S.) s. 57(1).

(3)

1968 (S.) s. 17(2); 1974 Sch. 14 para. 6.

para. 4(1)

1968 (S.) s. 58(1).

(2)

1968 (S.) s. 58(3).

(3)

1968 (S.) s. 58(2).

Pt.IV

para. 1(1)

1968 (S.) s. 16(2); 1974 Sch. 14 para. 6.

(2)

1968 (S.) s. 58(1).

(3)

1968 (S.) s. 58(3).

Pt. V

para. 1

1972 s. 78(2)(d), (5).

para. 2

1972 (S.) s. 58(2)(f), (4).

Pt.VI

para. 1(1)

1974 s. 35(1).

(2)-(4)

1972 ss. 15(1), (2), (5), 71(4); 1972 (S.) ss. 13(1)-(3), 51(4).

para. 2(1)

1972 (S.) ss. 56(2), 57(4); 1972 s. 76(2).

(2)

1972 (S.) ss. 56(3), 57(4); 1972 s. 76(3).

(3)

1972 (S.) ss. 56(4), 57(4); 1972 s. 76(4).

para. 3(1)-(3)

1972 (S.) s. 55(12); 1972 s. 75(12); 1974 Sch. 13 paras. 23(4), 32.

(4)

1972 (S.) s. 57(4); 1972 s. 74(5).

para. 4

1974 s. 35(2).

Pt.VII

para. 1(1)

1974 s. 35(1).

(2)

1974 s. 35(4).

(3)

1974 s. 35(5).

Sch. 6

para. 1(1)

1964 Sch. 1 para. 1.

(2)

1964 Sch. 1 para. 6; 1974 Sch. 1 para. 4.

(3)

1964 s. 1(3).

para. 2(1)

1964 Sch. 1 para. 2(1); 1974 Sch. 1 para. 1.

(2)

1964 Sch. 1 para. 2A(1); 1974 Sch. 1 para. 2.

para. 3(1)

1964 Sch. 1 para. 2(2).

(2)

1964 Sch. 1 para. 2(4).

(3)

1964 Sch. 1 para. 2(5).

(4)

1964 Sch. 1 para. 2A(1); 1974 Sch. 1 para. 2.

para. 4(1)

1964 Sch. 1 para. 2(1), (2).

(2)

1964 Sch. 1 para. 2(4).

(3)

1964 Sch. 1 para. 2(3).

para. 5(1), (2)

1964 Sch. 1 para. 2(7).

para. 6(1), (2)

1964 Sch. 1 para. 2(8).

(3), (4)

1964 Sch. 1 para. 2(9); 1972 (c.11) Sch. 6 para. 47.

para. 7(1)

1964 Sch. 1 para. 3(1).

(2)

1964 Sch. 1 para. 3(2).

para. 8(1)

1964 Sch. 1 para. 2A(2); 1974 Sch. 1 para. 2.

(2)

1964 Sch. 1 para. 2A(3); 1974 Sch. 1 para. 2.

(3)

1964 Sch. 1 para. 2A(4); 1974 Sch. 1 para. 2.

para. 9(1)

1964 Sch. 1 para. 4(1); 1980 Sch. 25 para. 13.

(2)

1964 Sch. 1 para. 4(2).

Sch. 7

para. 1

R.36.

para. 2(1)

1964 s. 2(3); 1972 s. 77(2); 1974 Sch. 14 para. 1; R.36.

(2)

1964 s. 2(3).

para. 3

1964 s. 5(3); R.36.

Provision

Derivation

Sch. 7cont.

para. 4

1964 s. 2(4); R.36.

para. 5(1), (2)

1964 s. 5(1); R.36.

(3), (4)

1964 s. 5(2); R.36.

(5)

1964 s. 5(4).