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(1)A local housing authority shall, by notice in writing, notify an applicant for a grant as soon as reasonably practicable, and, in any event, not later than six months after the date of the application concerned, whether the application is approved or refused.
(2)Where an authority decide to approve an application for a grant, they shall determine—
(a)which of the relevant works, taking into account any variation of the application under section 108(4)(a) or section 115(7) above, are eligible for grant (in this Part referred to as “the eligible works”);
(b)the amount of the expenses which in their opinion are properly to be incurred in the execution of the eligible works;
(c)the amount of the costs which in their opinion have been or are to be properly incurred with respect to preliminary or ancillary services and charges; and
(d)the amount of grant they have decided to pay in respect of the eligible works, taking into account paragraphs (b) and (c) above, subsection (5) below and such of sections 109 to 115 above as may be applicable;
and shall specify in the notice under subsection (1) above the eligible works, the total of the amounts referred to in paragraphs (b) and (c) above (in this Part referred to as “the estimated expense”) and the amount of the grant.
(3)Where an application for a grant is approved, then, except—
(a)with the consent of the Secretary of State, or
(b)as provided by section 118(1) below,
the local housing authority may not impose any condition in relation to the approval or making of the grant, whether purporting to operate by way of a condition of the grant, a personal covenant or otherwise; and the consent of the Secretary of State under paragraph (a) above may be given either generally or in relation to any one or more specified authorities.
(4)If, after an application for a grant has been approved, the authority are satisfied that, owing to circumstances beyond the control of the applicant, —
(a)the eligible works cannot be, or could not have been, carried out on the basis of the amount of expenses referred to in subsection (2)(b) above, or
(b)the eligible works cannot be, or could not have been, carried out without carrying out additional works which could not have been reasonably foreseen at the time the application was made,
the authority may re-determine the estimated expense and, subject to subsection (5) below, the amount of the grant.
(5)The Secretary of State may, if he thinks fit, by order prescribe a maximum amount, or a formula for calculating a maximum amount, of grant which a local housing authority may pay in respect of an application for a grant; and an authority may not pay any grant in excess of that amount.
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