Part I Housing

Miscellaneous

22 Agreements with certain housing bodies exempt from Consumer Credit Act 1974.

1

Section 16 of the M1Consumer Credit Act 1974 (exempt agreements) is amended as follows.

2

In subsection (1) (which enables orders to be made exempting agreements with certain descriptions of creditor), after paragraph (f) insert—

ff

a body corporate named or specifically referred to in an order made under—

section 156(4), 444(1) or 447(2)(a) of the Housing Act 1985,

section 2 of the Home Purchase Assistance and Housing Corporation Guarantee Act 1978 or section 31 of the Tenant’s Rights, &c. (Scotland) Act 1980, or

Article 154(1)(a) or 156AA of the Housing (Northern Ireland) Order 1981 or Article 10(6A) of the Housing (Northern Ireland) Order 1983; or

and in subsection (3) (requirements as to consultation), in paragraph (d) (consultation with responsible Minister), for “or (f)” substitute “, (f) or (ff)”.

3

After subsection (6) insert—

6A

This Act does not regulate a consumer credit agreement where the creditor is a housing authority and the agreement is secured by a land mortgage of a dwelling.

6B

In subsection (6A) “housing authority” means—

a

as regards England and Wales, an authority or body within section 80(1) of the Housing Act 1985 (the landlord condition for secure tenancies), other than a housing association or a housing trust which is a charity;

b

as regards Scotland, a development corporation established under an order made, or having effect as if made under the New Towns (Scotland) Act 1968, the Scottish Special Housing Association or the Housing Corporation;

c

as regards Northern Ireland, the Northern Ireland Housing Executive.

4

The above amendments apply to agreements made after the commencement of this section.