Housing (Scotland) Act 1988

67 Abolition and capitalisation of certain subsidies and contributions

(1) No subsidy or contribution shall be made under the following provisions of the [1987 c. 26.] Housing (Scotland) Act 1987 (the “superseded provisions”)—

(a) section 200 (slum clearance subsidy);

(b) section 254 (contributions towards improvement grants, repairs grants and grants for fire escapes);

(c) section 255 (contributions for improvement of amenities);

(d) section 296 (contributions towards certain other expenses)

in respect of any expense or expenditure incurred by a local authority on or after 1st April 1989.

(2) No claim for subsidy or contribution under any superseded provision in respect of or towards any expense or expenditure incurred by a local authority before 1st April 1989 shall be entertained by the Secretary of State unless—

(a) it is received by him before 1st October 1989; and

(b) any information reasonably required by him in relation to any such claim is received by him within two months after the receipt by him of the claim.

(3) Where two or more periodic payments of a subsidy or contribution under a superseded provision would, apart from this subsection, fall to be made on or after 1st April 1989, these payments shall be capitalised and made as follows—

(a) if one or more earlier such payments have been made before that date, the Secretary of State shall, instead of making the remaining payments, pay an amount equal to the appropriate percentage of the relevant capital amount;

(b) if no earlier such payment has been made before that date, the Secretary of State shall, instead of making any such payments, pay such amount as appears to him to be equal to the appropriate percentage of the relevant expenditure.

(4) In subsection (3) above—

• “the appropriate percentage”, in relation to a relevant capital amount, means the percentage specified in or under the superseded provision in relation to the subsidy or contribution to which the capital amount relates and, in relation to a subsidy or contribution, means the percentage specified in or under the superseded provision in relation to that subsidy or contribution;

• “the relevant capital amount”, in relation to a subsidy or contribution, means the sum of—

  (a)

  such amount as the Secretary of State considers would, on the date of his payment under subsection (3)(a) above, be payable by the local authority were they then to repay a loan, repayable over twenty years, taken out by them from the Public Works Loan Commissioners to meet their expense or, as the case may be, expenditure in respect of or towards which the subsidy or contribution was made; and

  (b)

  any other amount which he considers would be then payable on such repayment of that loan;

• “relevant expenditure”, in relation to a subsidy or contribution, means the expense or expenditure in respect of which the subsidy or contribution was made.

(5) Payment made under subsection (3) above shall be—

(a) applied in reduction or extinguishment of such debt (whether then payable or not) of the local authority as the Secretary of State thinks fit; or

(b) made to the local authority; or

(c) partly so applied and partly so made.

(6) Payments made to a local authority under subsection (5) above shall be applied by them in the repayment of such debt and in such manner as the Secretary of State directs.

(7) Notwithstanding the repeal by this Act of section 254 of the [1987 c. 26.] Housing (Scotland) Act 1987, subsection (4) of that section (obligation upon local authority to pay to Secretary of State sums recovered by them in consequence of breach of conditions of improvement grant or by way of voluntary repayment of such grant) shall continue to have effect in relation to expense incurred under that section by a local authority prior to 1st April 1989, being expense in respect of which contributions were made under that section.

(8) Paragraph 1(b) of Schedule 16 to the Housing (Scotland) Act 1987 (duty of local authority to credit slum clearance subsidy to slum clearance revenue account) shall cease to have effect on 1st April 1989.