Housing Act 1985

3 (1) The Secretary of State may reduce or discontinue a sending authority’s transitional town development subsidy if a dwelling in respect of which it is payable—

(a) has been demolished,

(b) has been disposed of by the receiving authority,

(c) is not fit to be used, or is not being used, for letting as a dwelling, or

(d) in any other circumstances he considers relevant.

(2) The Secretary of State may from time to time determine for the purposes of sub-paragraph (1)—

(a) the circumstances in which a dwelling is to be treated as having been demolished or disposed of,

(b) the circumstances in which a dwelling is to be treated as not fit to be used, or as not being used, for letting as a dwelling,

(c) in which circumstances other than those mentioned in sub-paragraph (1)(a) to (c) an authority’s transitional town development subsidy is to be reduced or discontinued, and

(d) the method by which any calculation is to be made;

and the power conferred by paragraph (b) above also includes power to determine what constitutes letting as a dwelling.

(3) A determination under this paragraph may contain supplementary or incidental provisions and may be made to apply to a specified description of authorities or dwellings or to a specified authority.