Part II Housing Associations
Housing for Wales
F146. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
F247. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Registration and issue of guidance
F348. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
F449. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
GrantsF5...
F650 Housing association grants.
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F650 Housing association grants.
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F751 Revenue deficit grants.
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F751 Revenue deficit grants.
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52 Recovery etc. of grants.
(1)
Where a grant to which this section applies, that is to say—
(a)
a grant under section 50 or 51 above, or
(b)
a grant under section 41 of the 1985 Act or any enactment replaced by that section, or
(c)
a grant under section 2(2) of the M1Housing (Scotland) Act 1988,
has been made to a F8relevant housing association, the powers conferred by subsection (2) below are exercisable in such events (including the association not complying with any conditions) as the F9appropriate authority may from time to time determine (in this section referred to as “relevant events”).
(2)
The F9appropriate authority. . . may—
(a)
reduce the amount of, or of any payment in respect of, the grant;
(b)
suspend or cancel any instalment of the grant; or
(c)
and a direction under paragraph (c) above F11may require the application, appropriation or payment of an amount with interest in accordance with subsections (7) to (9) below.
(3)
Where, after a grant to which this section applies has been made to an association, a relevant event occurs, the association shall notify the F9appropriate authority and, if so required by written notice of the F9appropriate authority, shall furnish it with such particulars of and information relating to the event as are specified in the notice.
(4)
Where a grant to which this section applies (other than one falling within subsection (1)(c) above) has been made to an association, the Chief Land Registrar may furnish the F9appropriate authority with such particulars and information as it may reasonably require for the purpose of ascertaining whether a relevant event has occurred; but this subsection shall cease to have effect on the day appointed under section 3(2) of the M2Land Registration Act 1988 for the coming into force of that Act.
(5)
Where—
(a)
a grant to which this section applies has been made to an association, and
(b)
at any time property to which the grant relates becomes vested in, or is leased for a term of years to, or reverts to, some other F12relevant housing association, or trustees for some other such association,
this section (including this subsection) shall have effect after that time as if the grant, or such proportion of it as is specified or determined under subsection (6) below, had been made to that other association.
(6)
The proportion referred to in subsection (5) above is that which, in the circumstances of the particular case,—
(a)
the F9appropriate authority, acting in accordance with such principles as it may from time to time determine, may specify as being appropriate; or
(b)
the F9appropriate authority may determine to be appropriate.
(7)
A direction under subsection (2)(c) above F13requiring the application, appropriation or payment of an amount with interest shall specify, in accordance with subsection (9) below,—
(a)
the rate or rates of interest (whether fixed or variable) which is or are applicable;
(b)
the date from which interest is payable, being not earlier than the date of the relevant event; and
(c)
any provision for suspended or reduced interest which is applicable.
(8)
In subsection (7)(c) above—
(a)
the reference to a provision for suspended interest is a reference to a provision whereby, if F14the principle amount is applied, appropriated or paid before a date specified in the direction, no interest will be payable for any period after the date of the direction; and
(b)
the reference to a provision for reduced interest is a reference to a provision whereby, if F15the principle amount is so applied, appropriated or paid, any interest payable will be payable at a rate or rates lower than the rate or rates which would otherwise be applicable.
(9)
The matters specified in a direction as mentioned in paragraphs (a) to (c) of subsection (7) above shall be either—
(a)
such as the F9appropriate authority, acting in accordance with such principles as it may from time to time determine, may specify as being appropriate, or
(b)
such as the F9appropriate authority may determine to be appropriate in the particular case.
F16(9A)
In this section and sections 53 and 54—
“the appropriate authority”—
- (a)
in relation to an English relevant housing association, means the Homes and Communities Agency, and
- (b)
in relation to a Welsh relevant housing association, means the Welsh Ministers,
- (a)
“ relevant housing association ” means—
- (a)
a housing association which is a registered provider of social housing (“an English relevant housing association”), and
- (b)
a housing association which is a registered social landlord (“a Welsh relevant housing association”).
- (a)
(9B)
In this section a reference to registration as a provider of social housing, so far as the context permits, is to be construed as including, in relation to times, circumstances and purposes before the commencement of section 111 of the Housing and Regeneration Act 2008, a reference to registration under—
(a)
Part 1 of the Housing Act 1996,
(b)
Part 1 of the 1985 Act, or
(c)
any corresponding earlier enactment.
52 Recovery etc. of grants.
(1)
Where a grant to which this section applies, that is to say—
(a)
a grant under section 50 or 51 above, or
(b)
a grant under section 41 of the 1985 Act or any enactment replaced by that section, or
(c)
a grant under section 2(2) of the Housing (Scotland) Act 1988,
has been made to a registered social landlord, the powers conferred by subsection (2) below are exercisable in such events (including the association not complying with any conditions) as the Corporation may from time to time determine (in this section referred to as “relevant events”).
(2)
The Corporation, acting in accordance with such principles as it may from time to time determine, may—
(a)
reduce the amount of, or of any payment in respect of, the grant;
(b)
suspend or cancel any instalment of the grant; or
(c)
direct the landlord to pay to it an amount equal to the whole, or such proportion as it may specify, of the amount of any payment made to the landlord in respect of the grant,
and a direction under paragraph (c) above requiring the payment of any interest on that amount in accordance with subsections (7) to (9) below.
(3)
Where, after a grant to which this section applies has been made to a registered social landlord, a relevant event occurs, the landlord shall notify the Corporation and, if so required by written notice of the Corporation, shall furnish it with such particulars of and information relating to the event as are specified in the notice.
(4)
Where a grant to which this section applies (other than one falling within subsection (1)(c) above) has been made to a registered social landlord , the Chief Land Registrar may furnish the Corporation with such particulars and information as it may reasonably require for the purpose of ascertaining whether a relevant event has occurred; but this subsection shall cease to have effect on the day appointed under section 3(2) of the Land Registration Act 1988 for the coming into force of that Act.
(5)
Where—
(a)
a grant to which this section applies has been made to a registered social landlord, and
(b)
at any time property to which the grant relates becomes vested in, or is leased for a term of years to, or reverts to, some other registered social landlord, or trustees for some other such landlord,
this section (including this subsection) shall have effect after that time as if the grant, or such proportion of it as is specified or determined under subsection (6) below, had been made to that other landlord.
(6)
The proportion referred to in subsection (5) above is that which, in the circumstances of the particular case,—
(a)
the Corporation, acting in accordance with such principles as it may from time to time determine, may specify as being appropriate; or
(b)
the Corporation may determine to be appropriate.
(7)
A direction under subsection (2)(c) above requiring the payment of interest on the amount directed to be paid to the Corporation shall specify, in accordance with subsection (9) below,—
(a)
the rate or rates of interest (whether fixed or variable) which is or are applicable;
(b)
the date from which interest is payable, being not earlier than the date of the relevant event; and
(c)
any provision for suspended or reduced interest which is applicable.
(8)
In subsection (7)(c) above—
(a)
the reference to a provision for suspended interest is a reference to a provision whereby, if the amount which is directed to be paid to the Corporation is paid before a date specified in the direction, no interest will be payable for any period after the date of the direction; and
(b)
the reference to a provision for reduced interest is a reference to a provision whereby, if that amount is so paid, any interest payable will be payable at a rate or rates lower than the rate or rates which would otherwise be applicable.
(9)
The matters specified in a direction as mentioned in paragraphs (a) to (c) of subsection (7) above shall be either—
(a)
such as the Corporation, acting in accordance with such principles as it may from time to time determine, may specify as being appropriate, or
(b)
such as the Corporation may determine to be appropriate in the particular case.
F16(9A)
In this section and sections 53 and 54—
“the appropriate authority”—
- (a)
in relation to an English relevant housing association, means the Homes and Communities Agency, and
- (b)
in relation to a Welsh relevant housing association, means the Welsh Ministers,
- (a)
“ relevant housing association ” means—
- (a)
a housing association which is a registered provider of social housing (“an English relevant housing association”), and
- (b)
a housing association which is a registered social landlord (“a Welsh relevant housing association”).
- (a)
(9B)
In this section a reference to registration as a provider of social housing, so far as the context permits, is to be construed as including, in relation to times, circumstances and purposes before the commencement of section 111 of the Housing and Regeneration Act 2008, a reference to registration under—
(a)
Part 1 of the Housing Act 1996,
(b)
Part 1 of the 1985 Act, or
(c)
any corresponding earlier enactment.
(10)
In this section and section 53, “registered social landlord” has the same meaning as in the Housing (Scotland) Act 2001 (asp 10).
53 Determinations under Part II.
(1)
A general determination may either—
(a)
make the same provision for all cases; or
(b)
make different provision for different cases or descriptions of cases, including different provision for different areas or for different descriptions of housing associations or housing activities;
and for the purposes of this subsection descriptions may be framed by reference to any matters whatever, including in particular, in the case of housing activities, the manner in which they are financed.
F17(2)
The F18Homes and Communities Agency shall not make a general determination under the foregoing provisions of this Part except with the approval of the Secretary of State
(3)
Before making a general determination, the F19appropriate authority shall consult such bodies appearing to it to be representative of housing associations as it considers appropriate; and after making such a determination, the F19appropriate authority shall publish the determination in such manner as it considers appropriate for bringing the determination to the notice of the associations concerned.
(4)
In this section “general determination” means a determination under F20section 52 above, other than a determination relating solely to a particular case.
53 Determinations under Part II.
(1)
A general determination may either—
(a)
make the same provision for all cases; or
(b)
make different provision for different cases or descriptions of cases, including different provision for different areas or for different descriptions of registered social landlords or housing activities;
and for the purposes of this subsection descriptions may be framed by reference to any matters whatever, including in particular, in the case of housing activities, the manner in which they are financed.
(2)
The Corporation shall not make a determination under the foregoing provisions of this Part except with the approval of the Secretary of State given, in the case of a general determination, with the consent of the Treasury.
(3)
Before making a general determination, the Corporation shall consult such bodies appearing to it to be representative of registered social landlords as it considers appropriate; and after making such a determination, the Corporation shall publish the determination in such manner as it considers appropriate for bringing the determination to the notice of the landlords concerned.
(4)
In this section “general determination” means a determination under F20section 52 above, other than a determination relating solely to a particular case.
Grants: functions of Secretary of State
54 Tax relief grants.
(1)
If a housing association makes a claim to the Secretary of State in respect of a period and satisfies him that throughout the period it was a housing association to which this section applies and its functions either—
(a)
consisted exclusively of the function of providing or maintaining housing accommodation for letting or hostels and activities incidental to that function, or
(b)
included that function and activities incidental to that function,
the Secretary of State may make grants to the association for affording relief from tax chargeable on the association.
(2)
This section applies to a housing association at any time if, at that time—
(a)
it is F21a relevant housing association;
(b)
it does not trade for profit; and
(c)
it is not approved for the purposes of F22Chapter 7 of Part 13 of the Corporation Tax Act 2010 (tax treatment of co-operative housing associations).
(3)
References in this section to tax chargeable on an association are to income tax (other than income tax which the association is entitled to deduct on making any payment) and corporation tax.
(4)
A grant under this section may be made—
(a)
in a case falling within subsection (1)(a) above, for affording relief from any tax chargeable on the association for the period in respect of which the claim is made; and
(b)
in a case falling within subsection (1)(b) above, for affording relief from such part of any tax so chargeable as the Secretary of State considers appropriate having regard to the other functions of the association;
and in any case shall be of such amount, shall be made at such times and shall be subject to such conditions as the Secretary of State thinks fit.
(5)
The conditions may include conditions for securing the repayment in whole or in part of a grant made to an association—
(a)
in the event of tax in respect of which it was made being found not to be chargeable; or
(b)
in such other events (including the association beginning to trade for profit) as the Secretary of State may determine.
(6)
A claim under this section shall be made in such manner and shall be supported by such evidence as the Secretary of State may direct.
(7)
The Commissioners of Inland Revenue and their officers may disclose to the Secretary of State such particulars as he may reasonably require for determining whether a grant should be made on a claim or whether a grant should be repaid or the amount of such grant or repayment.
(8)
In this section “letting” includes—
(a)
in England and Wales, the grant of a shared ownership lease or a licence to occupy;
(b)
in Scotland, disposal under a shared ownership agreement or the grant of a right or permission to occupy.
54 Tax relief grants.
(1)
If a housing association makes a claim to the Secretary of State in respect of a period and satisfies him that throughout the period it was a housing association to which this section applies and its functions either—
(a)
consisted exclusively of the function of providing or maintaining housing accommodation for letting or hostels and activities incidental to that function, or
(b)
included that function and activities incidental to that function,
the Secretary of State may make grants to the association for affording relief from tax chargeable on the association.
(2)
This section applies to a housing association at any time if, at that time—
(a)
it is registered;
(b)
it does not trade for profit; and
(c)
it is not approved for the purposes of F22Chapter 7 of Part 13 of the Corporation Tax Act 2010 (tax treatment of co-operative housing associations).
(3)
References in this section to tax chargeable on an association are to income tax (other than income tax which the association is entitled to deduct on making any payment) and corporation tax.
(4)
A grant under this section may be made—
(a)
in a case falling within subsection (1)(a) above, for affording relief from any tax chargeable on the association for the period in respect of which the claim is made; and
(b)
in a case falling within subsection (1)(b) above, for affording relief from such part of any tax so chargeable as the Secretary of State considers appropriate having regard to the other functions of the association;
and in any case shall be of such amount, shall be made at such times and shall be subject to such conditions as the Secretary of State thinks fit.
(5)
The conditions may include conditions for securing the repayment in whole or in part of a grant made to an association—
(a)
in the event of tax in respect of which it was made being found not to be chargeable; or
(b)
in such other events (including the association beginning to trade for profit) as the Secretary of State may determine.
(6)
A claim under this section shall be made in such manner and shall be supported by such evidence as the Secretary of State may direct.
(7)
The Commissioners of Inland Revenue and their officers may disclose to the Secretary of State such particulars as he may reasonably require for determining whether a grant should be made on a claim or whether a grant should be repaid or the amount of such grant or repayment.
(8)
In this section “letting” includes—
(a)
in England and Wales, the grant of a shared ownership lease or a licence to occupy;
(b)
in Scotland, disposal under a shared ownership agreement or the grant of a right or permission to occupy.
55 Surplus rental income.
F23. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Miscellaneous and supplemental
F2456. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
57 Delegation of certain functions.
F25The Secretary of State may delegate to the F26Housing Corporation, to such extent and subject to such conditions as he may specify, any of his functions F27, so far as they relate to English registered social landlords, under—
(a)
section 54
F28
. . . above;
(b)
sections 53 (recoupment of surplus rental income), 54 to 57 (deficit grants) and 62 (grants for affording tax relief) of the 1985 Act, so far as continuing in force after the passing of this Act; and
(c)
Parts I and
II
of Schedule 5 to the 1985 Act (residual subsidies);
and where he does so, references to him in those provisions shall be construed accordingly.
F29
In this section
“
English registered social landlords
” means social landlords registered in the register maintained by the Housing Corporation under section 1 of the
M3
Housing Act 1996.
57 Delegation of certain function.
The Secretary of State may delegate to the Corporation, to such extent and subject to such conditions as he may specify, any of his functions under—
(a)
section 54 or 55 above;
(b)
sections 53 (recoupment of surplus rental income), 54 to 57 (deficit grants) and 62 (grants for affording tax relief) of the 1985 Act, so far as continuing in force after the passing of this Act; and
(c)
Parts I and II of Schedule 5 to the 1985 Act (residual subsidies);
and where he does so, references to him in those provisions shall be construed accordingly.
F30 58 Application of Housing Acts to certain transactions.
(1)
This section applies to any tenant of a publicly-funded house who, but for paragraph 1 of Schedule 5 to the M4 Housing Act 1985 (no right to buy where landlord a charitable housing trust or housing association), would have the right to buy under Part V of the Housing Act 1985.
(2)
A house is publicly-funded for the purposes of subsection (1) above if a grant under section 50 above, or a grant under section 41 of the 1985 Act or any enactment replaced by that section, has been paid in respect of a project which included—
(a)
the acquisition of the house;
(b)
the acquisition of a building and the provision of the house by means of the conversion of the building; or
(c)
the acquisition of land and the construction of the house on the land.
(3)
Where a registered housing association contracts for the acquisition of a house and, without taking the conveyance, grant or assignment, disposes of its interest at a discount to a tenant to whom this section applies, the provisions mentioned in subsection (4) below shall have effect as if the association first acquired the house and then disposed of it to the tenant.
(4)
The said provisions are—
section 4 of the 1985 Act (eligibility for registration);
section 8 of that Act (disposal of land by registered housing associations);
section 9 of that Act (consent of Corporation to disposals);
section 79(2) of that Act (power of Corporation to lend to person acquiring interest from registered housing association);
Schedule 2 to that Act (covenants for repayments of discount on early disposal and restricting disposal of houses in National Parks etc. ); and
section 130 of the M5 Housing Act 1985 (reduction of discount on exercise of right to buy where previous discount given).
59 Interpretation of Part II and amendments of Housing Associations Act 1985.
(1)
In this Part of this Act—
(a)
“the 1985 Act” means the M6Housing Associations Act 1985; and
(b)
F31subject to subsections (1A) and (1B) below expressions used in this Part have the same meaning as in the 1985 Act.
F32(1A)
(1B)
In those sections “housing activities” and “shared ownership lease”, in relation to times, circumstances and purposes before the commencement of section 1 of the Housing Act 1996 (the register of social landlords), have the same meaning as in the 1985 Act.
(2)
The 1985 Act shall have effect subject to the amendments in Schedule 6 to this Act, being amendments—
(a)
extending the supervisory powers conferred by Part I of the 1985 Act;
(b)
making provision incidental to and consequential upon F36. . . the establishment by the Housing (Scotland) Act 1988 of Scottish Homes;
(c)
making provision incidental to and consequential upon F37the provisions of this Part of this Act and the provisions of Part IV of this Act; and
(d)
varying the grounds on which the Secretary of State may remove a member of the Housing Corporation from office.
(3)
In Schedule 6 to this Act,—
(a)
Part I contains amendments of Part I of the 1985 Act, including amendments which reproduce the effect of amendments made by Schedule 3 to the Housing (Scotland) Act 1988 with respect to Scottish Homes; and
(b)
Parts II and III contain amendments of Parts II and III respectively of the 1985 Act.
(4)
Without prejudice to the operation of Schedule 3 to the Housing (Scotland) Act 1988 in relation to anything done before the day appointed for the coming into force of this section, for the purpose of giving effect to the amendments in Part I of Schedule 6 to this Act, the said Schedule 3 shall be deemed never to have come into force.
59Interpretation of Part II and amendments of Housing Associations Act 1985.
(1)
In this Part of this Act—
(a)
“the 1985 Act” means the Housing Associations Act 1985; and
(b)
except as provided in section 50(1) above, “the Corporation”means the Scottish Ministers and other expressions used in this Part have the same meaning as in the 1985 Act.
(2)
The 1985 Act shall have effect subject to the amendments in Schedule 6 to this Act, being amendments—
(a)
extending the supervisory powers conferred by Part I of the 1985 Act;
(b)
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(c)
making provision incidental to and consequential upon the provisions of this Part of this Act and the provisions of Part IV of this Act; and
(d)
varying the grounds on which the Secretary of State may remove a member of the Housing Corporation from office.
(3)
In Schedule 6 to this Act,—
(a)
Part I contains amendments of Part I of the 1985 Act, including amendments which reproduce the effect of amendments made by Schedule 3 to the Housing (Scotland) Act 1988 with respect to Scottish Homes; and
(b)
Parts II and III contain amendments of Parts II and III respectively of the 1985 Act.
(4)
Without prejudice to the operation of Schedule 3 to the Housing (Scotland) Act 1988 in relation to anything done before the day appointed for the coming into force of this section, for the purpose of giving effect to the amendments in Part I of Schedule 6 to this Act, the said Schedule 3 shall be deemed never to have come into force.