Housing Act 1988

136 Application of capital money to meet costs of disposals of land

(1) At the end of section 430 of the [1985 c. 68.] Housing Act 1985 (application of capital money received on disposal of land) there shall be inserted the following subsection—

“(3) In the case of capital money received by a local authority in respect of—

(a) disposals of land held for the purposes of Part II (provision of housing), and

(b) any other disposals of land made by virtue of Part V (the right to buy) which do not fall within paragraph (a),

the reference in subsection (1) to any other purpose for which capital money may properly be applied includes a reference to the purpose of meeting the administrative costs of and incidental to such disposals; and, accordingly, the reference in subsection (2) to subsection (1) includes a reference to that subsection as extended by virtue of this subsection.”

(2) In section 72 of the [1980 c. 65.] Local Government, Planning and Land Act 1980 (expenditure which authorities may make), in subsection (7) (net capital receipts for any year defined as the receipts which are capital receipts for the purposes of Part VIII of that Act, reduced by certain payments) after the words “reduced by” there shall be inserted—

“(a) any amount of capital money which in that year is applied for the purpose specified in section 430(3) of the Housing Act 1985 (meeting administrative costs of and incidental to certain disposals of land); and

(b)”.