Part 1The Homes and Communities Agency

Chapter 3Financial provision

Borrowing powers of the HCA

I122Guarantees by the Secretary of State

1

The Secretary of State may guarantee—

a

the repayment of the principal of any sums which the HCA borrows from a person other than the Secretary of State, and

b

the payment of interest on such sums.

2

Such a guarantee is to be in such manner, and on such terms and conditions, as the Secretary of State considers appropriate.

3

The Secretary of State must lay a statement of any such guarantee before Parliament immediately after giving the guarantee.

4

The Secretary of State must lay before Parliament a statement relating to any sum issued for fulfilling such a guarantee.

5

A statement under subsection (4) must be laid as soon as possible after the end of each financial year—

a

beginning with that in which the sum is issued, and

b

ending with that in which all liability in respect of the principal of the sum guaranteed, and of interest on it, is finally discharged.

6

In respect of any sums issued in fulfilment of a guarantee given under this section, the HCA must make payments to the Secretary of State—

a

of such amounts as the Secretary of State may direct in or towards repayment of those sums, and

b

of interest on what is outstanding in respect of those sums, at such rates as the Secretary of State may direct.

7

Payments under subsection (6) must be made at such times, and in such manner, as the Secretary of State may direct.