Section 6 of the Housing (Miscellaneous Provisions) Act 1992 provides that a housing authority may assist an approved housing body in the provision of housing accommodation by, inter alia, the making of a loan to such body. Section 15 of the Housing Act 1988 provides, inter alia, for the payment of a subsidy from my Department's vote in respect of assistance given by a housing authority to an approved housing body under section 6 of the 1992 Act. These provisions are given practical effect in my Department's capital loan and subsidy scheme, formerly referred to as the rental subsidy scheme.
The voluntary housing sector has made an important contribution in responding to social housing needs. In this context, it is my Department's general policy that housing accommodation provided with funding under the capital loan and subsidy scheme should remain within the ownership and management of the voluntary housing sector.
However, there will be various options for the ownership and management of a project which may be considered by the relevant housing authority, as mortgagee of a housing project, in a situation such as that referred to in this question. As the administration of the scheme is devolved to the relevant housing authority, it will be a matter for the authority to identify and put in place the most appropriate arrangement having regard to the circumstances of the particular case.
