Local Government and Housing Act 1989

172 Transfer of new town housing stock. E+W

(1) Subject to the following provisions of this section, the Secretary ofState may by regulations make provision for requiring and authorising each newtown corporation to take such steps as may be prescribed for making and givingeffect to proposals for disposing of their housing stock, either bytransferring it as a whole to a prescribed person or by transferring differentparts of it to different prescribed persons.

(2) Regulations under subsection (1) above shall not require a new towncorporation to transfer any dwelling or associated property, rights,liabilities or obligations to any person other than—

(a) the district council [F1 or Welsh county council or county borough council]within whose [F2 area] the dwelling is situated; or

(b) a person approved for the purposes of, and in accordance with, theregulations by the Housing Corporation or Housing for Wales.

(3) Regulations under subsection (1) above shall not require a new towncorporation to give effect to a proposal for the transfer of any dwelling ifthe dwelling is one in respect of which a notice has been served under section122 of the M1 Housing Act 1985 (notice of a claim to exercisethe right to buy) before the prescribed time and such other conditions as maybe prescribed are satisfied.

(4) A new town corporation shall not, in pursuance of any regulations undersubsection (1) above, transfer any dwellings, or any associated property,rights, liabilities or obligations, to any person except with the consent ofthe Secretary of State; and the Secretary of State shall not give his consentto a proposed transfer unless he is satisfied—

(a) that there has been compliance with all such requirements with respect tothe publication of information about the proposal and matters connected withits implementation, and with respect to consultation about the proposal, asare prescribed;

(b) that all such steps have been taken as are prescribed for the purpose ofprotecting the interests of the occupiers of the dwellings or the interestsof the occupiers of any dwellings excluded from the proposal by virtue ofsubsection (3) above or any such consultation; and

(c) that the terms on which the transfer is made—

(i) require such price to be paid for the property transferred as appears tohim to be the price which, on the prescribed assumptions, it would realise ifsold on the open market by a willing vendor; and

(ii) include all such other terms as are prescribed.

(5) Regulations under subsection (1) above may contain such incidentalprovision and such supplemental, consequential and transitional provision inconnection with their other provisions as the Secretary of State considersappropriate, including, without prejudice to the generality of the foregoing,provision corresponding to sub-paragraphs (2) and (3) of paragraph 2 ofSchedule 12 to the M2 Housing Act 1988 (matters relating toregistration of title).

(6) Subject to subsection (7) below, Part III of the M3 NewTowns Act 1981 (transfer of dwellings and associated property to districtcouncils) shall cease to have effect.

(7) Nothing in subsection (6) above shall—

(a) affect the operation after the time when that subsection comes into forceof so much of any transfer scheme made under Part III of the said Act of 1981before that time as contains management arrangements with respect to land inwhich a new town corporation have an interest;

(b) affect the application after that time of section 50 of that Act(financial arrangements) in relation to any transfer scheme made under thatPart before that time; or

(c) prevent the Secretary of State from exercising his power to make grantsto a district council [F1 or Welsh county council or county borough council] under section 51A of that Act (grants in respect ofdefects in transferred dwellings) where the grants are paid before the 1stApril 1990 or such later date as the Secretary of State may by order made bystatutory instrument appoint in relation to that council;

and a statutory instrument containing an order under this subsectionshall be subject to annulment in pursuance of a resolution of either House ofParliament.

(8) In this section—

• “dwelling” means any building or part of a building occupied,or erected or adapted for occupation, as a dwelling or as a hostel (includingany land belonging to it or usually enjoyed with it);

• “housing stock”, in relation to a new town corporation,means—

(a) the dwellings (whether or not in the area of a particular new town) whichare vested in that corporation and were erected, adapted or acquired foroccupation as dwellings; and

(b) except so far as may be prescribed, any associated property, rights,liabilities and obligations of that corporation;

• “liabilities and obligations”, in relation to a new towncorporation, includes liabilities and obligations which, apart from theregulations, would not be capable of being assigned or transferred by thecorporation, including liabilities and obligations under Part V of the M4 Housing Act 1985 (the right to buy);

• “new town corporation” means the Commission for the NewTowns, the Development Board for Rural Wales or a development corporation,within the meaning of the New Towns Act 1981; and

• “prescribed” means prescribed by or determined underregulations under subsection (1) above.

(9) For the purposes of this section the following property, rights,liabilities and obligations of a new town corporation shall be treated asassociated with any dwellings comprised in their housing stock, that is tosay—

(a) any interest of the corporation in any land occupied or set aside foroccupation or use with the dwellings;

(b) any interest of the corporation in land in the vicinity of the dwellingswhich is held by them for the benefit or use of the persons living in thosedwellings (rather than the inhabitants of a new town as a whole) or forproviding facilities for the persons living in those dwellings, and any otherproperty and any rights of the corporation so held;

(c) any property and rights held by the corporation—

(i) for the administration of an estate comprising the dwellings or anyassociated property;

(ii) for the maintenance or service of the dwellings or any associatedproperty; or

(iii) otherwise in connection with any such property;

(d) any rights, liabilities and obligations which the corporation have inconnection with any of the dwellings or any associated property or inconnection with any dwellings which were previously part of their housingstock;

(e) any interest of the corporation in land set aside by them as an open spacefor the use or enjoyment of persons living in the dwellings (rather than forthe use of the inhabitants of a new town as a whole).

Textual Amendments

F1 Words in s. 172(2)(a)(7)(c) inserted (1.4.1996) by 1994 c. 19, s. 22(2), Sch. 8 para. 10(3)(a) (with ss. 54(5)(7), 55(5), Sch. 17 para. 22(1), 23(2)); S.I. 1996/396, art. 3

F2 Word in s. 172(2)(a) substituted (1.4.1996) by 1994 c. 19, s. 22(2), Sch. 8 para. 10(3)(b) (with ss. 54(5)(7), 55(5), Sch. 17 para. 22(1), 23(2)); S.I. 1996/396, art. 3

Marginal Citations

M1 1985 c. 68.

M2 1988 c. 50.

M3 1981 c. 64.

M4 1985 c. 68.