Finance Act 2003

2 (1) The grant of a lease of a dwelling is exempt from charge if the lease— U.K.

(a) is granted by a registered social landlord to one or more individuals in accordance with arrangements to which this paragraph applies, and

(b) is for an indefinite term or is terminable by notice of a month or less.

(2) This paragraph applies to arrangements between a registered social landlord and a housing authority under which the landlord provides, for individuals nominated by the authority in pursuance of its statutory housing functions, temporary rented accommodation which the landlord itself has obtained on a short-term basis.

The reference above to accommodation obtained by the landlord “on a short-term basis” is to accommodation leased to the landlord for a term of five years or less.

(3) A “housing authority” means—

(a) in relation to England and Wales—

(i) a principal council within the meaning of the Local Government Act 1972 (c. 70), or

(ii) the Common Council of the City of London;

(b) in relation to Scotland, a council constituted under section 2 of the Local Government etc. (Scotland) Act 1994 (c. 39);

(c) in relation to Northern Ireland—

(i) the Department for Social Development in Northern Ireland, or

(ii) the Northern Ireland Housing Executive.