Housing Associations Act 1985

Part IE+W+S Regulation of Housing Associations

IntroductoryE+W+S

1 Meaning of “housing association” and related expressions.E+W+S

(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;]

[F2[F3but 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”.E+W+S

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. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .E+W+S

[F62B Meaning of “registered housing association”, “registered social landlord” etc.S

In this Act, unless the context otherwise requires—

RegistrationE+W+S

F103. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .E+W+S

F114. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .E+W+S

F125. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .E+W+S

F136. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .E+W+S

F147. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .E+W+S

Disposal of landE+W+S

F158. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .E+W+S

[F179 Control by [F16Corporation] of dispositions of land by housing associations.E+W

F18(1). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

[F19(1A)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).

F23(4). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

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

[F24(6)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 or]Scottish Homes, to consent in writing.]]

[F2710 Dispositions excepted from s. 9.E+W

(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. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .E+W

[F3612Avoidance of certain disposals of houses without consent.E+W

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.E+W+S

F3713. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .E+W+S

F3814. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .E+W+S

F3915. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .E+W+S

F4015A. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .S

Constitution, change of rules, amalgamation and dissolutionE+W+S

F4116. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .E+W+S

F4217. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .E+W+S

F4318. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .E+W+S

F4419. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .E+W+S

F4520. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .E+W+S

F4621. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .E+W+S

F4722. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .E+W+S

F4823. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .E+W+S

Accounts and auditE+W+S

F4924. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .E+W+S

F5025. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .E+W+S

F5126. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .E+W+S

F5227. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .E+W+S

F5327A. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .E+W+S

Inquiries into affairs of housing associationsE+W+S

F5428. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .E+W+S

F5529. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .E+W+S

F5630. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .E+W+S

F5731. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .E+W+S

F5832. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .E+W+S

MiscellaneousE+W+S

F5933. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .E+W+S

[F6033A Provision of services between the Corporations.E+W+S

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.E+W

(1)Where a housing association wishes to erect houses [F63in England]which 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.E+W

(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—

[F64(a)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 [F66[F67section 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.E+W+S

(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. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .E+W+S

SupplementaryE+W+S

F6937. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .E+W+S

[F7038Definitions relating to charities.E+W

In this Part—

(a)“charity” has the same meaning as in [F71the Charities Act 1993]; and

[F7339 Minor definitions.E+W

In this Part—

• [F74“assured 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.]

• [F75“mental 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.E+W

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):—