Vol. 526 No. 4
288 Mr. Wall asked the Minister for the Environment and Local Government the plans he has to change the guidelines in relation to voluntary housing scheme residents to ensure that they can purchase their homes; the changes planned to ensure a maximum rent applies to such housing schemes; and if he will make a statement on the matter. [26834/00]
291 Mr. Wall asked the Minister for the Environment and Local Government the plans he has to permit tenants of voluntary housing schemes to purchase their homes; when such a scheme will be put in place; if future schemes will have such a facility in their guidelines; and if he will make a statement on the matter. [26836/00]
I propose to take Questions Nos. 288 and 291 together.
The voluntary housing capital assistance and the rental subsidy schemes do not provide for the purchase of houses by the tenants. A tenant purchase scheme for voluntary housing is not desirable at this stage of the development of the voluntary housing sector in this country as the sale of individual housing units would undermine the capacity and resources of voluntary housing bodies to manage and maintain their estates and continue to provide further housing projects to meet pressing needs.
The rent payable under the rental subsidy scheme, to an approved body, by a tenant of a house qualifying for subsidy, is based on household and subsidiary income in the previous tax year. There is no maximum on the rent payable on the principal household income. However, the contribution to the rent by each subsidiary earner is subject to a maximum of £20 per week.
Where a tenant of a rental subsidy scheme produces satisfactory evidence of a fall in income to an approved body and of the likelihood of such a fall being sustained for at least four weeks, the weekly rent may be adjusted to the level appropriate to the reduced rate of income for the full duration of the reduction in income.
In determining rents under the capital assistance scheme, approved bodies are expected to have regard to the tenant's income and the outlay of the body on the accommodation, including ongoing costs of its management and maintenance.
Residents of rental subsidy houses of more than one year's duration who wish to become owner-occupiers may, on surrendering their house to the approved body, qualify for the following benefits: special mortgage allowance of £9,000 over five years to assist with mortgage repayments; the shared ownership scheme without having to satisfy the income eligibility criteria; improvement works in lieu scheme in respect of the dwelling they are acquiring; low cost housing sites scheme; and exemption from the income limit for local authority housing loans.
Full details of these options are available from local authorities.
