(1)Where housing subsidy has been paid to a [F1new town corporation or the Development Board for Rural Wales] and it appears to the Secretary of State that—
(a)the purpose for which it was paid has not been fulfilled or not completely or adequately or not without unreasonable delay, and
(b)that the case falls within rules published by him,
he may recover from [F1that body] the whole or such part of the payment as he may determine in accordance with the rules, with interest from such time and at such rates as he may so determine.
(2)A sum recoverable under this section may, without prejudice to other methods of recovery, be recovered by withholding or reducing housing subsidy.
(3)The withholding or reduction under this section of housing subsidy for a year does not affect the base amount for the following year.
Textual Amendments
F1Words substituted by Local Government and Housing Act 1989 (c. 42, SIF 61), s. 194(1), Sch. 11 para. 83
Modifications etc. (not altering text)
C1Ss. 421–427A: by Local Government and Housing Act 1989 (c. 42, SIF 61), s. 79(3) it is provided that sections 421 to 427A of the Housing Act 1985 (which are superseded, in their application to local housing authorities, by that section 79 and sections 80 and 86 of that 1989 Act) shall cease to apply in relation to such authorities