Housing Act 1985

25 (1) Where a control order ceases to have effect by virtue of paragraph 24, the local housing authority shall pay to the dispossessed proprietor the balance which from time to time accrued to the authority after deducting from the rent or other payments received by them from persons occupying the house—

(a) the compensation payable to him by the authority, and

(b) all expenditure (other than capital expenditure) incurred by the authority in respect of the house while the control order was in force.

(2) The local housing authority shall give notice to the dispossessed proprietor informing him of the balances which they propose to pay him under this paragraph and of his right to appeal.

(3) The dispossessed proprietor may, within 21 days of the service of the notice or such longer period as the local housing authority may in writing allow, appeal to the county court.

(4) If on such an appeal the court is of opinion that the balances are unduly low for any reason within the control of the local housing authority, having regard to—

(a) the desirability of observing the standards of management contained in regulations made under section 369 (the management code), and

(b) the other standards which the authority ought to observe as to the number of persons living in the house and the rents which they ought to charge,

the court shall direct that for the purposes of the authority’s liability to the dispossessed proprietor under this paragraph the balances shall be deemed to be such greater amount as the court may direct.

(5) The court shall not under sub-paragraph (4) give a direction which will afford to the dispossessed proprietor a sum greater than the amount which, in the opinion of the court, he may have lost by the making of the control order.

(6) If different persons are dispossessed proprietors of different parts of the house, sums payable under this paragraph shall be apportioned between them in the manner provided by paragraph 14.