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(1)It shall be the duty of every urban development corporation to bring into operation and to maintain a scheme for granting, to persons who occupy as their homes dwellings let to them by the corporation rebates from rent, calculated in accordance with the provisions of the scheme by reference to their needs and their resources.
(2)No rebate from the rent for any dwelling shall be granted by virtue of this section to any person—
(a)if he occupies the dwelling in England and Wales under a licence which was granted as a temporary expedient to a person who entered it, or any other land, as a trespasser (whether or not before the grant another licence of that or any other dwelling has been granted to him); or
(b)if he occupies the dwelling in pursuance of a contract of service with the corporation the terms of which require that he shall be provided with a dwelling at a rent specified in the contract; or
(c)if Part II of the [1954 c. 56.] Landlord and Tenant Act 1954 (security of business tenants) applies to his tenancy.
(3)The corporation shall perform the duty to bring a scheme into force which is imposed on them by subsection (1) above as soon as practicable after it first lets dwellings as there mentioned, and then so much of Part II of the [1972 c. 47.] Housing Finance Act 1972 or of Part II of the [1972 c. 46.] Housing (Financial Provisions) (Scotland) Act 1972 as relates to rent rebates shall apply (with the necessary modifications) as if a corporation were a housing authority.
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