Housing Act 1988

• (a) that the residential occupier had ceased to reside in the premises in question at the time when he was deprived of occupation as mentioned in subsection (1) above or, as the case may be, when the attempt was made or the acts were done as a result of which he gave up his occupation of those premises; or

• (b) that, where the liability would otherwise arise by virtue only of the doing of acts or the withdrawal or withholding of services, he had reasonable grounds for doing the acts or withdrawing or withholding the services in question.

• (9) In this section—

• (a) “residential occupier”, in relation to any premises, has the same meaning as in section 1 of the 1977 Act;

• (b) “the right to occupy”, in relation to a residential occupier, includes any restriction on the right of another person to recover possession of the premises in question;

• (c) “landlord”, in relation to a residential occupier, means the person who, but for the occupier’s right to occupy, would be entitled to occupation of the premises and any superior landlord under whom that person derives title;

• (d) “former residential occupier”, in relation to any premises, means the person who was the residential occupier until he was deprived of or gave up his occupation as mentioned in subsection (1) or subsection (2) above (and, in relation to a former residential occupier, “the right to occupy” and “landlord” shall be construed accordingly).

The measure of damages

28

• (1) The basis for the assessment of damages referred to in section 27(3) above is the difference in value, determined as at the time immediately before the residential occupier ceased to occupy the premises in question as his residence, between—

• (a) the value of the interest of the landlord in default determined on the assumption that the residential occupier continues to have the same right to occupy the premises as before that time; and

• (b) the value of that interest determined on the assumption that the residential occupier has ceased to have that right.

• (2) In relation to any premises, any reference in this section to the interest of the landlord in default is a reference to his interest in the building in which the premises in question are comprised (whether or not that building contains any other premises) together with its curtilage.

• (3) For the purposes of the valuations referred to in subsection (1) above, it shall be assumed—

• (a) that the landlord in default is selling his interest on the open market to a willing buyer;

• (b) that neither the residential occupier nor any member of his family wishes to buy; and

• (c) that it is unlawful to carry out any substantial development of any of the land in which the landlord’s interest subsists or to demolish the whole or part of any building on that land.

• (4) In this section “the landlord in default” has the same meaning as in section 27 above and subsection (9) of that section applies in relation to this section as it applies in relation to that.

• (5) Section 113 of the Housing Act 1985 (meaning of “members of a person’s family”) applies for the purposes of subsection (3)(b) above.

• (6) The reference in subsection (3)(c) above to substantial development of any of the land in which the landlord’s interest subsists is a reference to any development other than—

• (a) development for which planning permission is granted by a general development order for the time being in force and which is carried out so as to comply with any condition or limitation subject to which planning permission is so granted; or

• (b) a change of use resulting in the building referred to in subsection (2) above or any part of it being used as, or as part of, one or more dwelling-houses;

and in this subsection “general development order”has the meaning given in section 56(6) of the Town and Country Planning Act 1990 and other expressions have the same meaning as in that Act.

Offences of harassment

29

• (1) In section 1 of the 1977 Act (unlawful eviction and harassment of occupier), with respect to acts done after the commencement of this Act, subsection (3) shall have effect with the substitution, for the word “calculated”, of the word “likely”.

• (2) After that subsection there shall be inserted the following subsections—

(3A) Subject to subsection (3B) below, the landlord of a residential occupier or an agent of the landlord shall be guilty of an offence if— (a) he does acts likely to interfere with the peace or comfort of the residential occupier or members of his household, or (b) he persistently withdraws or withholds services reasonably required for the occupation of the premises in question as a residence, and (in either case) he knows, or has reasonable cause to believe, that that conduct is likely to cause the residential occupier to give up the occupation of the whole or part of the premises or to refrain from exercising any right or pursuing any remedy in respect of the whole or part of the premises. (3B) A person shall not be guilty of an offence under subsection (3A) above if he proves that he had reasonable grounds for doing the acts or withdrawing or withholding the services in question. (3C) In subsection (3A) above “landlord”, in relation to a residential occupier of any premises, means the person who, but for— (a) the residential occupier’s right to remain in occupation of the premises, or (b) a restriction on the person’s right to recover possession of the premises, would be entitled to occupation of the premises and any superior landlord under whom that person derives title.

Variation of scope of 1977 ss. 3 and 4

30

• (1) In section 3 of the 1977 Act (prohibition of eviction without due process of law), in subsection (1) for the words “not a statutorily protected tenancy” there shall be substituted “neither a statutorily protected tenancy nor an excluded tenancy”.

• (2) After subsection (2A) of that section there shall be inserted the following subsections—

(2B) Subsections (1) and (2) above apply in relation to any premises occupied as a dwelling under a licence, other than an excluded licence, as they apply in relation to premises let as a dwelling under a tenancy, and in those subsections the expressions “let” and “tenancy” shall be construed accordingly. (2C) References in the preceding provisions of this section and section 4(2A) below to an excluded tenancy do not apply to— (a) a tenancy entered into before the date on which the Housing Act 1988 came into force, or (b) a tenancy entered into on or after that date but pursuant to a contract made before that date,but, subject to that, “excluded tenancy” and “excluded licence” shall be construed in accordance with section 3A below.

• (3) In section 4 of the 1977 Act (special provisions for agricultural employees) after subsection (2) there shall be inserted the following subsection—

(2A) In accordance with section 3(2B) above, any reference in subsections (1) and (2) above to the tenant under the former tenancy includes a reference to the licensee under a licence (other than an excluded licence) which has come to an end (being a licence to occupy premises as a dwelling); and in the following provisions of this section the expressions “tenancy” and “rent” and any other expressions referable to a tenancy shall be construed accordingly.

Excluded tenancies and licences

31

After section 3 of the 1977 Act there shall be inserted the following section—

(3A) (1) Any reference in this Act to an excluded tenancy or an excluded licence is a reference to a tenancy or licence which is excluded by virtue of any of the following provisions of this section. (2) A tenancy or licence is excluded if— (a) under its terms the occupier shares any accommodation with the landlord or licensor; and (b) immediately before the tenancy or licence was granted and also at the time it comes to an end, the landlord or licensor occupied as his only or principal home premises of which the whole or part of the shared accommodation formed part. (3) A tenancy or licence is also excluded if— (a) under its terms the occupier shares any accommodation with a member of the family of the landlord or licensor; (b) immediately before the tenancy or licence was granted and also at the time it comes to an end, the member of the family of the landlord or licensor occupied as his only or principal home premises of which the whole or part of the shared accommodation formed part; and (c) immediately before the tenancy or licence was granted and also at the time it comes to an end, the landlord or licensor occupied as his only or principal home premises in the same building as the shared accommodation and that building is not a purpose-built block of flats. (4) For the purposes of subsections (2) and (3) above, an occupier shares accommodation with another person if he has the use of it in common with that person (whether or not also in common with others) and any reference in those subsections to shared accommodation shall be construed accordingly, and if, in relation to any tenancy or licence, there is at any time more than one person who is the landlord or licensor, any reference in those subsections to the landlord or licensor shall be construed as a reference to any one of those persons. (5) In subsections (2) to (4) above— (a) “accommodation” includes neither an area used for storage nor a staircase, passage, corridor or other means of access; (b) “occupier” means, in relation to a tenancy, the tenant and, in relation to a licence, the licensee; and (c) “purpose-built block of flats” has the same meaning as in Part III of Schedule 1 to the Housing Act 1988; and section 113 of the Housing Act 1985 shall apply to determine whether a person is for the purposes of subsection (3) above a member of another’s family as it applies for the purposes of Part IV of that Act. (6) A tenancy or licence is excluded if it was granted as a temporary expedient to a person who entered the premises in question or any other premises as a trespasser (whether or not, before the beginning of that tenancy or licence, another tenancy or licence to occupy the premises or any other premises had been granted to him). (7) A tenancy or licence is excluded if— (a) it confers on the tenant or licensee the right to occupy the premises for a holiday only; or (b) it is granted otherwise than for money or money’s worth. (8) A licence is excluded if it confers rights of occupation in a hostel, within the meaning of the Housing Act 1985, which is provided by— (a) the council of a county, district or London Borough, the Common Council of the City of London, the Council of the Isles of Scilly, the Inner London Education Authority, a joint authority within the meaning of the Local Government Act 1985 or a residuary body within the meaning of that Act; (b) a development corporation within the meaning of the New Towns Act 1981; (c) the Commission for the New Towns; (d) an urban development corporation established by an order under section 135 of the Local Government, Planning and Land Act 1980; (e) a housing action trust established under Part III of the Housing Act 1988; (f) the Development Board for Rural Wales; (g) the Housing Corporation or Housing for Wales; (h) a housing trust which is a charity or a registered housing association, within the meaning of the Housing Associations Act 1985; or (i) any other person who is, or who belongs to a class of person which is, specified in an order made by the Secretary of State. (9) The power to make an order under subsection (8)(i) above shall be exercisable by statutory instrument which shall be subject to annulment in pursuance of a resolution of either House of Parliament.

Notice to quit etc

32

• (1) In section 5 of the 1977 Act (validity of notices to quit) at the beginning of subsection (1) there shall be inserted the words “Subject to subsection (1B) below”.

• (2) After subsection (1) of that section there shall be inserted the following subsections—

(1A) Subject to subsection (1B) below, no notice by a licensor or a licensee to determine a periodic licence to occupy premises as a dwelling (whether the licence was granted before or after the passing of this Act) shall be valid unless— (a) it is in writing and contains such information as may be prescribed, and (b) it is given not less than 4 weeks before the date on which it is to take effect. (1B) Nothing in subsection (1) or subsection (1A) above applies to— (a) premises let on an excluded tenancy which is entered into on or after the date on which the Housing Act 1988 came into force unless it is entered into pursuant to a contract made before that date; or (b) premises occupied under an excluded licence.

Interpretation of Chapter IV and the 1977 Act

33

• (1) In this Chapter “the 1977 Act” means the Protection from Eviction Act 1977.

• (2) In section 8 of the 1977 Act (interpretation) at the end of subsection (1) (statutory protected tenancy) there shall be inserted—

(e) an assured tenancy or assured agricultural occupancy under Part I of the Housing Act 1988.

• (3) At the end of that section there shall be added the following subsections—

(4) In this Act “excluded tenancy” and “excluded licence” have the meaning assigned by section 3A of this Act. (5) If, on or after the date on which the Housing Act 1988 came into force, the terms of an excluded tenancy or excluded licence entered into before that date are varied, then— (a) if the variation affects the amount of the rent which is payable under the tenancy or licence, the tenancy or licence shall be treated for the purposes of sections 3(2C) and 5(1B) above as a new tenancy or licence entered into at the time of the variation; and (b) if the variation does not affect the amount of the rent which is so payable, nothing in this Act shall affect the determination of the question whether the variation is such as to give rise to a new tenancy or licence. (6) Any reference in subsection (5) above to a variation affecting the amount of the rent which is payable under a tenancy or licence does not include a reference to— (a) a reduction or increase effected under Part III or Part VI of the Rent Act 1977 (rents under regulated tenancies and housing association tenancies), section 78 of that Act (power of rent tribunal in relation to restricted contracts) or sections 11 to 14 of the Rent (Agriculture) Act 1976; or (b) a variation which is made by the parties and has the effect of making the rent expressed to be payable under the tenancy or licence the same as a rent for the dwelling which is entered in the register under Part IV or section 79 of the Rent Act 1977.

Chapter V — Phasing out of Rent Acts and other Transitional Provisions

New protected tenancies and agricultural occupancies restricted to special cases

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• (1) A tenancy which is entered into on or after the commencement of this Act cannot be a protected tenancy, unless—

• (a) it is entered into in pursuance of a contract made before the commencement of this Act; or

• (b) it is granted to a person (alone or jointly with others) who, immediately before the tenancy was granted, was a protected or statutory tenant and is so granted by the person who at that time was the landlord (or one of the joint landlords) under the protected or statutory tenancy; or

• (c) it is granted to a person (alone or jointly with others) in the following circumstances—

• (i) prior to the grant of the tenancy, an order for possession of a dwelling-house was made against him (alone or jointly with others) on the court being satisfied as mentioned in section 98(1)(a) of, or Case 1 in Schedule 16 to, the Rent Act 1977 or Case 1 in Schedule 4 to the Rent (Agriculture) Act 1976 (suitable alternative accommodation available); and

• (ii) the tenancy is of the premises which constitute the suitable alternative accommodation as to which the court was so satisfied; and

• (iii) in the proceedings for possession the court considered that, in the circumstances, the grant of an assured tenancy would not afford the required security and, accordingly, directed that the tenancy would be a protected tenancy; or

• (d) it is a tenancy under which the interest of the landlord was at the time the tenancy was granted held by the Commission for the New Towns or a development corporation, within the meaning of section 80 of the Housing Act 1985, and, before the date which has effect by virtue of paragraph (a) or paragraph (b) of subsection (4) of section 38 below, ceased to be so held by virtue of a disposal by the Commission for the New Towns made pursuant to a direction under section 37 of the New Towns Act 1981

• (2) In subsection (1)(b) above “protected tenant” and “statutory tenant” do not include—

• (a) a tenant under a protected shorthold tenancy;

• (b) a protected or statutory tenant of a dwelling-house which was let under a protected shorthold tenancy which ended before the commencement of this Act and in respect of which at that commencement either there has been no grant of a further tenancy or any grant of a further tenancy has been to the person who, immediately before the grant, was in possession of the dwelling-house as a protected or statutory tenant;

and in this subsection “protected shorthold tenancy” includes a tenancy which, in proceedings for possession under Case 19 in Schedule 15 to the Rent Act 1977, is treated as a protected shorthold tenancy.

• (3) In any case where—

• (a) by virtue of subsections (1) and (2) above, a tenancy entered into on or after the commencement of this Act is an assured tenancy, but

• (b) apart from subsection (2) above, the effect of subsection (1)(b) above would be that the tenancy would be a protected tenancy, and

• (c) the landlord and the tenant under the tenancy are the same as at the coming to an end of the protected or statutory tenancy which, apart from subsection (2) above, would fall within subsection (1)(b) above,

the tenancy shall be an assured shorthold tenancy (whether or not , in the case of a tenancy to which the provision applies, it fulfils the conditions in section 20(1) above) unless, before the tenancy is entered into, the landlord serves notice on the tenant that it is not to be a shorthold tenancy.

• (4) A licence or tenancy which is entered into on or after the commencement of this Act cannot be a relevant licence or relevant tenancy for the purposes of the Rent (Agriculture) Act 1976 (in this subsection referred to as “the 1976 Act”) unless—

• (a) it is entered into in pursuance of a contract made before the commencement of this Act; or

• (b) it is granted to a person (alone or jointly with others) who, immediately before the licence or tenancy was granted, was a protected occupier or statutory tenant, within the meaning of the 1976 Act, and is so granted by the person who at that time was the landlord or licensor (or one of the joint landlords or licensors) under the protected occupancy or statutory tenancy in question.

• (5) Except as provided in subsection (4) above, expressions used in this section have the same meaning as in the Rent Act 1977.

Removal of special regimes for tenancies of housing associations etc

35

• (1) In this section “housing association tenancy” has the same meaning as in Part VI of the Rent Act 1977.

• (2) A tenancy which is entered into on or after the commencement of this Act cannot be a housing association tenancy unless—

• (a) it is entered into in pursuance of a contract made before the commencement of this Act; or

• (b) it is granted to a person (alone or jointly with others) who, immediately before the tenancy was granted, was a tenant under a housing association tenancy and is so granted by the person who at that time was the landlord under that housing association tenancy; or

• (c) it is granted to a person (alone or jointly with others) in the following circumstances—

• (i) prior to the grant of the tenancy, an order for possession of a dwelling-house was made against him (alone or jointly with others) on the court being satisfied as mentioned in paragraph (b) or paragraph (c) of subsection (2) of section 84 of the Housing Act 1985; and

• (ii) the tenancy is of the premises which constitute the suitable accommodation as to which the court was so satisfied; and

• (iii) in the proceedings for possession the court directed that the tenancy would be a housing association tenancy; or

• (d) it is a tenancy under which the interest of the landlord was at the time the tenancy was granted held by the Commission for the New Towns or a development corporation, within the meaning of section 80 of the Housing Act 1985, and, before the date which has effect by virtue of paragraph (a) or paragraph (b) of subsection (4) of section 38 below, ceased to be so held by virtue of a disposal by the Commission for the New Towns made pursuant to a direction under section 37 of the New Towns Act 1981

• (3) Where, on or after the commencement of this Act, a private registered provider of social housing or a registered social lanlord, within the meaning of the Housing Act 1985 (see section 5(4) and (5) of the Act), grants a secure tenancy or a secure contract pursuant to an obligation under section 554(2A) of the Housing Act 1985 (as set out in Schedule 17 to this Act) then, in determining whether that tenancy is a housing association tenancy, it shall be assumed for the purposes only of section 86(2)(b) of the Rent Act 1977 (tenancy would be a protected tenancy but for section 15 or 16 of that Act) that the tenancy was granted before the commencement of this Act.

• (4) Subject to section 38(4A) below a tenancy or licence which is entered into on or after the commencement of this Act cannot be a secure tenancy unless—

• (a) the interest of the landlord belongs to a local authority, a development corporation or an urban development corporation, all within the meaning of section 80 of the Housing Act 1985 or a housing action trust established under Part III of this Act; or

• (aa) the interest of the landlord belongs to a Mayoral development corporation; or

• (b) the interest of the landlord belongs to a housing co-operative within the meaning of section 27B of the Housing Act 1985 (agreements between local housing authorities and housing co-operatives) and the tenancy or licence is of a dwelling-house comprised in a housing co-operative agreement falling within that section; or

• (ba) the interest of the landlord belongs to the Homes and Communities Agency, the Greater London Authority or the Welsh Ministers and the tenancy or licence falls within section 80(2A) to (2E) of the Housing Act 1985; or

• (c) it is entered into in pursuance of a contract made before the commencement of this Act; or

• (d) it is granted to a person (alone or jointly with others) who, immediately before it was entered into, was a secure tenant and is so granted by the body which at that time was the landlord or licensor under the secure tenancy; or

• (e) it is granted to a person (alone or jointly with others) in the following circumstances—

• (i) prior to the grant of the tenancy or licence, an order for possession of a dwelling-house was made against him (alone or jointly with others) on the court being satisfied as mentioned in paragraph (b) or paragraph (c) of subsection (2) of section 84 of the Housing Act 1985; and

• (ii) the tenancy or licence is of the premises which constitute the suitable accommodation as to which the court was so satisfied; and

• (iii) in the proceedings for possession the court considered that, in the circumstances, the grant of an assured tenancy would not afford the required security and, accordingly, directed that the tenancy or licence would be a secure tenancy; or

• (f) it is granted pursuant to an obligation under section 554(2A) of the Housing Act 1985 (as set out in Schedule 17 to this Act).

• (5) If, on or after the commencement of this Act, the interest of the landlord under a protected or statutory tenancy becomes held by a housing association, a housing trust or the Regulator of Social Housingor, where that interest becomes held by him as the result of the exercise by him of functions under Part III of the Housing Association Act 1985, the Secretary of State, nothing in the preceding provisions of this section shall prevent the tenancy from being a housing association tenancy or a secure tenancy and, accordingly, in such a case section 80 of the Housing Act 1985 (and any enactment which refers to that section) shall have effect without regard to the repeal of provisions of that section effected by this Act.

• (6) In subsection (5) above “housing association” and “housing trust” have the same meaning as in the Housing Act 1985.

New restricted contracts limited to transitional cases

36

• (1) A tenancy or other contract entered into after the commencement of this Act cannot be a restricted contract for the purposes of the Rent Act 1977 unless it is entered into in pursuance of a contract made before the commencement of this Act.

• (2) If the terms of a restricted contract are varied after this Act comes into force then, subject to subsection (3) below,—

• (a) if the variation affects the amount of the rent which, under the contract, is payable for the dwelling in question, the contract shall be treated as a new contract entered into at the time of the variation (and subsection (1) above shall have effect accordingly); and

• (b) if the variation does not affect the amount of the rent which, under the contract, is so payable, nothing in this section shall affect the determination of the question whether the variation is such as to give rise to a new contract.

• (3) Any reference in subsection (2) above to a variation affecting the amount of the rent which, under a contract, is payable for a dwelling does not include a reference to—

• (a) a reduction or increase effected under section 78 of the Rent Act 1977 (power of appropriate tribunal); or

• (b) a variation which is made by the parties and has the effect of making the rent expressed to be payable under the contract the same as the rent for the dwelling which is entered in the register under section 79 of the Rent Act 1977.

• (4) In subsection (1) of section 81A of the Rent Act 1977 (cancellation of registration of rent relating to a restricted contract) paragraph (a) (no cancellation until two years have elapsed since the date of the entry) shall cease to have effect.

• (5) In this section “rent” has the same meaning as in Part V of the Rent Act 1977.

No further assured tenancies under Housing Act 1980

37

• (1) A tenancy which is entered into on or after the commencement of this Act cannot be an assured tenancy for the purposes of sections 56 to 58 of the Housing Act 1980 (in this section referred to as a “1980 Act tenancy”).

• (2) In any case where—

• (a) before the commencement of this Act, a tenant under a 1980 Act tenancy made an application to the court under section 24 of the Landlord and Tenant Act 1954 (for the grant of a new tenancy), and

• (b) at the commencement of this Act the 1980 Act tenancy is continuing by virtue of that section or of any provision of Part IV of the said Act of 1954,

section 1(3) of this Act shall not apply to the 1980 Act tenancy.

• (3) If, in a case falling within subsection (2) above, the court makes an order for the grant of a new tenancy under section 29 of the Landlord and Tenant Act 1954, that tenancy shall be an assured tenancy for the purposes of this Act.

• (4) In any case where—

• (a) before the commencement of this Act a contract was entered into for the grant of a 1980 Act tenancy, but

• (b) at the commencement of this Act the tenancy had not been granted,

the contract shall have effect as a contract for the grant of an assured tenancy (within the meaning of this Act).

• (5) In relation to an assured tenancy falling within subsection (3) above or granted pursuant to a contract falling within subsection (4) above, Part I of Schedule 1 to this Act shall have effect as if it consisted only of paragraphs 11 and 12; and, if the landlord granting the tenancy is a fully mutual housing association, then, so long as that association remains the landlord under that tenancy (and under any statutory periodic tenancy which arises on the coming to an end of that tenancy), the said paragraph 12 shall have effect in relation to that tenancy with the omission of sub-paragraph (1)(h).

• (6) Any reference in this section to a provision of the Landlord and Tenant Act 1954 is a reference only to that provision as applied by section 58 of the Housing Act 1980.

• (7) Nothing in this section that purports to grant an assured tenancy, or purports to grant a contract for the grant of an assured tenancy, applies to a dwelling-house in Wales (see section 240 of the Renting Homes (Wales) Act 2016 (anaw 1) for provision about the conversion of existing tenancies to occupation contracts, and section 241 for provision about pre-existing contracts).

Transfer of existing tenancies from public to private sector

38

• (1) The provisions of subsection (3) below apply in relation to a tenancy which was entered into before, or pursuant to a contract made before, the commencement of this Act if,—

• (a) at that commencement or, if it is later, at the time it is entered into, the interest of the landlord is held by a public body (within the meaning of subsection (5) below); and

• (b) at some time after that commencement, the interest of the landlord ceases to be so held.

• (2) The provisions of subsection (3) below also apply in relation to a tenancy which was entered into before, or pursuant to a contract made before, the commencement of this Act if,—

• (a) at the commencement of this Act or, if it is later, at the time it is entered into, it is a housing association tenancy; and

• (b) at some time after that commencement, it ceases to be such a tenancy.

• (3) Subject to subsections (4) (4ZA), (4A), (4BA) and (4B), below on and after the time referred to in subsection (1)(b) or, as the case may be, subsection (2)(b) above—

• (a) the tenancy shall not be capable of being a protected tenancy, a protected occupancy or a housing association tenancy;

• (b) the tenancy shall not be capable of being a secure tenancy unless (and only at a time when) the interest of the landlord under the tenancy is (or is again) held by a public body; and

• (c) paragraph 1 of Schedule 1 to this Act shall not apply in relation to it, and the question whether at any time thereafter it becomes (or remains) an assured tenancy shall be determined accordingly.

• (4) In relation to a tenancy under which, at the commencement of this Act or, if it is later, at the time the tenancy is entered into, the interest of the landlord is held by the Commission for the New Towns or a development corporation, within the meaning of section 80 of the Housing Act 1985 and which subsequently ceases to be so held by virtue of a disposal by the Commission for the New Towns made pursuant to a direction under section 37 of the New Towns Act 1981, subsections (1) and (3) above shall have effect as if any reference in subsection (1) above to the commencement of this Act were a reference to—

• (a) the date on which expires the period of two years beginning on the day this Act is passed; or

• (b) if the Secretary of State by order made by statutory instrument within that period so provides, such other date (whether earlier or later) as may be specified by the order for the purposes of this subsection.

• (4ZA) In relation to any time on or after the coming into force of this subsection, subsection (4) applies as if—

• (a) the references to the Commission for the New Towns were references to the new towns residuary body;

• (b) in the case of a disposal by the English new towns residuary body, the reference to section 37 of the New Towns Act 1981 were a reference to section 47 of the Housing and Regeneration Act 2008; and

• (c) in the case of a disposal by the Welsh new towns residuary body, the words “made pursuant to a direction under section 37 of the New Towns Act 1981” were omitted.

• (4A) Where, by virtue of a disposal falling within subsection (4) above and made before the date which has effect by virtue of paragraph (a) or paragraph (b) of that subsection, the interest of the landlord under a tenancy passes to a private registered provider of social housing or a registered social landlord (within the meaning of the Housing Act 1985 (see section 5(4) and (5) of that Act)), then, notwithstanding anything in subsection (3) above, so long as the tenancy continues to be held by a body which would have been specified in subsection (1) of section 80 of the Housing Act 1985 if the repeal of provisions of that section effected by this Act had not been made, the tenancy shall continue to be a secure tenancy or a secure contract and to be capable of being a housing association tenancy.

• (4B) Where, by virtue of a disposal by the Secretary of State made in the exercise by him of functions under Part III of the Housing Associations Act 1985, the interest of the landlord under a secure tenancy or a secure contract passes to a registered social landlord (within the meaning of the Housing Act 1985) then, notwithstanding anything in subsection (3) above, so long as the tenancy continues to be held by a body which would have been specified in subsection (1) of section 80 of the Housing Act 1985 if the repeal of provisions of that section effected by this Act had not been made, the tenancy shall continue to be a secure tenancy or secure contract and to be capable of being a housing association tenancy.

• (4BA) The references in subsections (4A) and (4B) to a body which would have been specified in subsection (1) of section 80 of the Housing Act 1985 if the repeal of provisions of that section effected by this Act had not been made includes a reference to the new towns residuary body.

• (5) For the purposes of this section, the interest of a landlord under a tenancy is held by a public body at a time when—

• (a) it belongs to a local authority, a development corporation or an urban development corporation, all within the meaning of section 80 of the Housing Act 1985 or to the English new towns residuary body; or

• (aa) it belongs to a Mayoral development corporation; or

• (b) it belongs to a housing action trust established under Part III of this Act; or

• (c) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (d) it belongs to Her Majesty in right of the Crown or to a government department or is held in trust for Her Majesty for the purposes of a government department.

• (5A) In this section “ new towns residuary body ” means—

• (a) in relation to times before the coming into force of this subsection, the Commission for the New Towns; and

• (b) in relation to other times—

• (i) in relation to England, the Homes and Communities Agency so far as exercising functions in relation to anything transferred (or to be transferred) to it as mentioned in section 52(1)(a) to (d) of the Housing and Regeneration Act 2008 or the Greater London Authority so far as exercising its new towns and urban development functions (and any reference to the English new towns residuary body shall be construed accordingly); and

• (ii) in relation to Wales, the Welsh Ministers so far as exercising functions in relation to anything transferred (or to be transferred) to them as mentioned in section 36(1)(a)(i) to (iii) of the New Towns Act 1981 (and any reference to the Welsh new towns residuary body shall be construed accordingly).

• (6) In this section—

• (a) “housing association tenancy” means a tenancy to which Part VI of the Rent Act 1977 applies;

• (b) “protected tenancy” has the same meaning as in that Act; and

• (c) “protected occupancy” has the same meaning as in the Rent (Agriculture) Act 1976.

Statutory tenants: succession

39

• (1) In section 2(1)(b) of the Rent Act 1977 (which introduces the provisions of Part I of Schedule 1 to that Act relating to statutory tenants by succession) after the words “statutory tenant of a dwelling-house” there shall be inserted “or, as the case may be, is entitled to an assured tenancy of a dwelling-house by succession”.

• (2) Where the person who is the original tenant, within the meaning of Part I of Schedule 1 to the Rent Act 1977, dies after the commencement of this Act, that Part shall have effect subject to the amendments in Part I of Schedule 4 to this Act.

• (3) Where subsection (2) above does not apply but the person who is the first successor, within the meaning of Part I of Schedule 1 to the Rent Act 1977, dies after the commencement of this Act, that Part shall have effect subject to the amendments in paragraphs 5 to 9 of Part I of Schedule 4 to this Act.

• (4) In any case where the original occupier, within the meaning of section 4 of the Rent (Agriculture) Act 1976 (statutory tenants and tenancies) dies after the commencement of this Act, that section shall have effect subject to the amendments in Part II of Schedule 4 to this Act.

• (5) In any case where, by virtue of any provision of—

• (a) Part I of Schedule 1 to the Rent Act 1977, as amended in accordance with subsection (2) or subsection (3) above, or

• (b) section 4 of the Rent (Agriculture) Act 1976, as amended in accordance with subsection (4) above,

a person (in the following provisions of this section referred to as “the successor”) becomes entitled to an assured tenancy of a dwelling-house by succession, that tenancy shall be a periodic tenancy arising by virtue of this section.

• (6) Where, by virtue of subsection (5) above, the successor becomes entitled to an assured periodic tenancy, that tenancy is one—

• (a) taking effect in possession immediately after the death of the protected or statutory tenant or protected occupier (in the following provisions of this section referred to as “the predecessor”) on whose death the successor became so entitled;

• (b) deemed to have been granted to the successor by the person who, immediately before the death of the predecessor, was the landlord of the predecessor under his tenancy;

• (c) under which the premises which are let are the same dwelling-house as, immediately before his death, the predecessor occupied under his tenancy;

• (d) under which the periods of the tenancy are the same as those for which rent was last payable by the predecessor under his tenancy;

• (e) under which, subject to sections 13 to 15 above, the other terms are the same as those on which, under his tenancy, the predecessor occupied the dwelling-house immediately before his death; and

• (f) which, for the purposes of section 13(2) above, is treated as a statutory periodic tenancy;

and in paragraphs (b) to (e) above “under his tenancy”, in relation to the predecessor, means under his protected tenancy or protected occupancy or in his capacity as a statutory tenant.

• (7) If, immediately before the death of the predecessor, the landlord might have recovered possession of the dwelling-house under Case 19 in Schedule 15 to the Rent Act 1977, the assured periodic tenancy to which the successor becomes entitled shall be an assured shorthold tenancy (whether or not , in the case of a tenancy to which the provision applies it fulfils the conditions in section 20(1) above).

• (8) If, immediately before his death, the predecessor was a protected occupier or statutory tenant within the meaning of the Rent (Agriculture) Act 1976, the assured periodic tenancy to which the successor becomes entitled shall be an assured agricultural occupancy (whether or not it fulfils the conditions in section 24(1) above).

• (9) Where, immediately before his death, the predecessor was a tenant under a fixed term tenancy, section 6 above shall apply in relation to the assured periodic tenancy to which the successor becomes entitled on the predecessor’s death subject to the following modifications—

• (a) for any reference to a statutory periodic tenancy there shall be substituted a reference to the assured periodic tenancy to which the successor becomes so entitled;

• (b) in subsection (1) of that section, paragraph (a) shall be omitted and the reference in paragraph (b) to section 5(3)(e) above shall be construed as a reference to subsection (6)(e) above; and

• (c) for any reference to the coming to an end of the former tenancy there shall be substituted a reference to the date of the predecessor’s death.

• (10) If and so long as a dwelling-house is subject to an assured tenancy to which the successor has become entitled by succession, section 7 above and Schedule 2 to this Act shall have effect subject to the modifications in Part III of Schedule 4 to this Act; and in that Part “the predecessor” and “the successor” have the same meaning as in this section.

Chapter VI — General Provisions

Jurisdiction of county courts

40

• (1) The county court shall have jurisdiction to hear and determine any question arising under any provision of—

• (a) Chapters I to III and V above, or

• (b) sections 27 and 28 above,

other than a question falling within the jurisdiction of the appropriate tribunal by virtue of any such provision.

• (2) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (3) Where any proceedings under any provision mentioned in subsection (1) above are being taken in the county court, the court shall have jurisdiction to hear and determine any other proceedings joined with those proceedings, notwithstanding that, apart from this subsection, those other proceedings would be outside the court’s jurisdiction.

• (4) If any person takes any proceedings under any provision mentioned in subsection (1) above in the High Court, he shall not be entitled to recover any more costs of those proceedings than those to which he would have been entitled if the proceedings had been taken in the county court: and in such a case the taxing master shall have the same power of directing on what county court scale costs are to be allowed, and of allowing any item of costs, as the judge would have had if the proceedings had been taken in the county court.

• (5) Subsection (4) above shall not apply where the purpose of taking the proceedings in the High Court was to enable them to be joined with any proceedings already pending before that court (not being proceedings taken under any provision mentioned in subsection (1) above).

Rent assessment committees: procedure and information powers

41

• (1) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (2) The rent assessment committee to whom a matter is referred under Chapter I or Chapter II above may by notice in the prescribed form served on the landlord or the tenant require him to give to the committee, within such period of not less than fourteen days from the service of the notice as may be specified in the notice, such information as they may reasonably require for the purposes of their functions.

• (3) If any person fails without reasonable excuse to comply with a notice served on him under subsection (2) above, he shall be liable on summary conviction to a fine not exceeding level 3 on the standard scale.

• (4) Where an offence under subsection (3) above committed by a body corporate is proved to have been committed with the consent or connivance of, or to be attributable to any neglect on the part of, any director, manager or secretary or other similar officer of the body corporate or any person who was purporting to act in any such capacity, he as well as the body corporate shall be guilty of that offence and shall be liable to be proceeded against and punished accordingly.

Information as to determinations of rents

42

• (1) The President of the rent assessment panel shall keep and make publicly available, in such manner as is specified in an order made by the Welsh Ministers, such information as may be so specified with respect to rents under assured tenancies and assured agricultural occupancies which have been the subject of references or applications to, or determinations by, rent assessment committees in areas in Wales.

• (2) A copy of any information certified under the hand of an officer duly authorised by the President of the rent assessment panel ... shall be receivable in evidence in any court and in any proceedings.

• (3) An order under subsection (1) above—

• (a) may prescribe the fees to be charged for the supply of a copy, including a certified copy, of any of the information kept by virtue of that subsection; and

• (b) may make different provision with respect to different cases or descriptions of case, including different provision for different areas.

• (4) The power to make an order under subsection (1) above shall be exercisable by statutory instrument which shall be subject to annulment in pursuance of a resolution of the National Assembly for Wales.

Powers of local authorities for purposes of giving information

43

In section 149 of the Rent Act 1977 (which, among other matters, authorises local authorities to publish information for the benefit of landlords and tenants with respect to their rights and duties under certain enactments), in subsection (1)(a) after sub-paragraph (iv) there shall be inserted—

(v) Chapters I to III of Part I of the Housing Act 1988

.

Application to Crown Property

44

• (1) Subject to paragraph 11 of Schedule 1 to this Act and subsection (2) below, Chapters I to IV above apply in relation to premises in which there subsists, or at any material time subsisted, a Crown interest as they apply in relation to premises in relation to which no such interest subsists or ever subsisted.

• (2) In Chapter IV above—

• (a) sections 27 and 28 do not bind the Crown; and

• (b) the remainder binds the Crown to the extent provided for in section 10 of the Protection from Eviction Act 1977.

• (3) In this section “Crown interest” means an interest which belongs to Her Majesty in right of the Crown or of the Duchy of Lancaster or to the Duchy of Cornwall, or to a government department, or which is held in trust for Her Majesty for the purposes of a government department.

• (4) Where an interest belongs to Her Majesty in right of the Duchy of Lancaster, then, for the purposes of Chapters I to IV above, the Chancellor of the Duchy of Lancaster shall be deemed to be the owner of the interest.

Interpretation of Part I

45

• (1) In this Part of this Act, except where the context otherwise requires,—

• “appropriate tribunal” means—in relation to a dwelling-house in England, the First-tier Tribunal or, where determined by or under Tribunal Procedure Rules, the Upper Tribunal;in relation to a dwelling-house in Wales, a rent assessment committee;

• “dwelling-house” may be a house or part of a house;

• “fixed term tenancy” means any tenancy other than a periodic tenancy;

• “fully mutual housing association” has the same meaning as in Part I of the Housing Associations Act 1985;

• “landlord” includes any person from time to time deriving title under the original landlord and also includes, in relation to a dwelling-house, any person other than a tenant who is, or but for the existence of an assured tenancy would be, entitled to possession of the dwelling-house;

• “let” includes “sub-let”;

• “prescribed” means prescribed by regulations made by the Secretary of State by statutory instrument;

• “rates” includes water rates and charges but does not include an owner’s drainage rate, as defined in section 63(2)(a) of the Land Drainage Act 1976;

• “secure contract” has the same meaning as in the Renting Homes (Wales) Act 2016 (anaw 1) (see section 8 of that Act);

• “secure tenancy” has the meaning assigned by section 79 of the Housing Act 1985;

• “statutory periodic tenancy” has the meaning assigned by section 5(7) above;

• “tenancy” includes a sub-tenancy and an agreement for a tenancy or sub-tenancy; and

• “tenant” includes a sub-tenant and any person deriving title under the original tenant or sub-tenant.

• (2) Subject to paragraph 11 of Schedule 2 to this Act, any reference in this Part of this Act to the beginning of a tenancy is a reference to the day on which the tenancy is entered into or, if it is later, the day on which, under the terms of any lease, agreement or other document, the tenant is entitled to possession under the tenancy.

• (3) Where two or more persons jointly constitute either the landlord or the tenant in relation to a tenancy, then, except where this Part of this Act otherwise provides, any reference to the landlord or to the tenant is a reference to all the persons who jointly constitute the landlord or the tenant, as the case may require.

• (4) For the avoidance of doubt, it is hereby declared that any reference in this Part of this Act (however expressed) to a power for a landlord to determine a tenancy does not include a reference to a power of re-entry or forfeiture for breach of any term or condition of the tenancy.

• (5) Regulations under subsection (1) above may make different provision with respect to different cases or descriptions of case, including different provision for different areas.

Part II — Housing Associations

Housing for Wales

Housing for Wales

46

Transfer to Housing for Wales of regulation etc. of housing associations based in Wales

47

Registration and issue of guidance

Permissible purposes, objects or powers

48

Guidance as to management of accommodation by registered housing associations

49

Grants...

Housing association grants

50

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Revenue deficit grants

51

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Recovery etc. of grants

52

• (1) Where a grant to which this section applies, that is to say—

• (a) a grant under section 50 or 51 above, or

• (b) a grant under section 41 of the 1985 Act or any enactment replaced by that section, or

• (c) a grant under section 2(2) of the Housing (Scotland) Act 1988,

has been made to a relevant housing association, the powers conferred by subsection (2) below are exercisable in such events (including the association not complying with any conditions) as the appropriate authority may from time to time determine (in this section referred to as “relevant events”).

• (2) The appropriate authority. . . may—

• (a) reduce the amount of, or of any payment in respect of, the grant;

• (b) suspend or cancel any instalment of the grant; or

• (c) direct the association to apply or appropriate for such purposes as the appropriate authority may specify, or to pay to the appropriate authority an amount equal to the whole, or such proportion as it may specify, of the amount of any payment made to the association in respect of the grant,

and a direction under paragraph (c) above may require the application, appropriation or payment of an amount with interest in accordance with subsections (7) to (9) below.

• (3) Where, after a grant to which this section applies has been made to an association, a relevant event occurs, the association shall notify the appropriate authority and, if so required by written notice of the appropriate authority, shall furnish it with such particulars of and information relating to the event as are specified in the notice.

• (4) Where a grant to which this section applies (other than one falling within subsection (1)(c) above) has been made to an association, the Chief Land Registrar may furnish the appropriate authority with such particulars and information as it may reasonably require for the purpose of ascertaining whether a relevant event has occurred; but this subsection shall cease to have effect on the day appointed under section 3(2) of the Land Registration Act 1988 for the coming into force of that Act.

• (5) Where—

• (a) a grant to which this section applies has been made to an association, and

• (b) at any time property to which the grant relates becomes vested in, or is leased for a term of years to, or reverts to, some other relevant housing association, or trustees for some other such association,

this section (including this subsection) shall have effect after that time as if the grant, or such proportion of it as is specified or determined under subsection (6) below, had been made to that other association.

• (6) The proportion referred to in subsection (5) above is that which, in the circumstances of the particular case,—

• (a) the appropriate authority, acting in accordance with such principles as it may from time to time determine, may specify as being appropriate; or

• (b) the appropriate authority may determine to be appropriate.

• (7) A direction under subsection (2)(c) above requiring the application, appropriation or payment of an amount with interest shall specify, in accordance with subsection (9) below,—

• (a) the rate or rates of interest (whether fixed or variable) which is or are applicable;

• (b) the date from which interest is payable, being not earlier than the date of the relevant event; and

• (c) any provision for suspended or reduced interest which is applicable.

• (8) In subsection (7)(c) above—

• (a) the reference to a provision for suspended interest is a reference to a provision whereby, if the principle amount is applied, appropriated or paid before a date specified in the direction, no interest will be payable for any period after the date of the direction; and

• (b) the reference to a provision for reduced interest is a reference to a provision whereby, if the principle amount is so applied, appropriated or paid, any interest payable will be payable at a rate or rates lower than the rate or rates which would otherwise be applicable.

• (9) The matters specified in a direction as mentioned in paragraphs (a) to (c) of subsection (7) above shall be either—

• (a) such as the appropriate authority, acting in accordance with such principles as it may from time to time determine, may specify as being appropriate, or

• (b) such as the appropriate authority may determine to be appropriate in the particular case.

• (9A) In this section and sections 53 and 54—

• “the appropriate authority”—in relation to an English relevant housing association and property outside Greater London, means the Homes and Communities Agency, in relation to an English relevant housing association and property in Greater London, means the Greater London Authority, andin relation to a Welsh relevant housing association, means the Welsh Ministers,

• “ relevant housing association ” means— a housing association which is a registered provider of social housing (“an English relevant housing association”), anda housing association which is a registered social landlord (“a Welsh relevant housing association”).

• (9B) In this section a reference to registration as a provider of social housing, so far as the context permits, is to be construed as including, in relation to times, circumstances and purposes before the commencement of section 111 of the Housing and Regeneration Act 2008, a reference to registration under—

• (a) Part 1 of the Housing Act 1996,

• (b) Part 1 of the 1985 Act, or

• (c) any corresponding earlier enactment.

Determinations under Part II

53

• (1) A general determination may either—

• (a) make the same provision for all cases; or

• (b) make different provision for different cases or descriptions of cases, including different provision for different areas or for different descriptions of housing associations or housing activities;

and for the purposes of this subsection descriptions may be framed by reference to any matters whatever, including in particular, in the case of housing activities, the manner in which they are financed.

• (2) The Homes and Communities Agency shall not make a general determination under the foregoing provisions of this Part except with the approval of the Secretary of State

• (3) Before making a general determination, the appropriate authority shall consult such bodies appearing to it to be representative of housing associations as it considers appropriate; and after making such a determination, the appropriate authority shall publish the determination in such manner as it considers appropriate for bringing the determination to the notice of the associations concerned.

• (4) In this section “general determination” means a determination under section 52 above, other than a determination relating solely to a particular case.

Grants: functions of Secretary of State

Tax relief grants

54

• (1) If a housing association makes a claim to the Secretary of State in respect of a period and satisfies him that throughout the period it was a housing association to which this section applies and its functions either—

• (a) consisted exclusively of the function of providing or maintaining housing accommodation for letting or hostels and activities incidental to that function, or

• (b) included that function and activities incidental to that function,

the Secretary of State may make grants to the association for affording relief from tax chargeable on the association.

• (2) This section applies to a housing association at any time if, at that time—

• (a) it is a relevant housing association;

• (b) it does not trade for profit; and

• (c) it is not approved for the purposes of Chapter 7 of Part 13 of the Corporation Tax Act 2010 (tax treatment of co-operative housing associations).

• (3) References in this section to tax chargeable on an association are to income tax (other than income tax which the association is entitled to deduct on making any payment) and corporation tax.

• (4) A grant under this section may be made—

• (a) in a case falling within subsection (1)(a) above, for affording relief from any tax chargeable on the association for the period in respect of which the claim is made; and

• (b) in a case falling within subsection (1)(b) above, for affording relief from such part of any tax so chargeable as the Secretary of State considers appropriate having regard to the other functions of the association;

and in any case shall be of such amount, shall be made at such times and shall be subject to such conditions as the Secretary of State thinks fit.

• (5) The conditions may include conditions for securing the repayment in whole or in part of a grant made to an association—

• (a) in the event of tax in respect of which it was made being found not to be chargeable; or

• (b) in such other events (including the association beginning to trade for profit) as the Secretary of State may determine.

• (6) A claim under this section shall be made in such manner and shall be supported by such evidence as the Secretary of State may direct.

• (7) The Commissioners of Inland Revenue and their officers may disclose to the Secretary of State such particulars as he may reasonably require for determining whether a grant should be made on a claim or whether a grant should be repaid or the amount of such grant or repayment.

• (8) In this section “letting” includes—

• (a) in England and Wales, the grant of a shared ownership lease or a licence to occupy;

• (b) in Scotland, disposal under a shared ownership agreement or the grant of a right or permission to occupy.

Surplus rental income

55

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Miscellaneous and supplemental

Duty of Housing Corporation and Housing for Wales in relation to racial discrimination

56

Delegation of certain functions

57

The Secretary of State may delegate to the Housing Corporation, to such extent and subject to such conditions as he may specify, any of his functions , so far as they relate to English registered social landlords, under—

• (a) section 54 . . . above;

• (b) sections 53 (recoupment of surplus rental income), 54 to 57 (deficit grants) and 62 (grants for affording tax relief) of the 1985 Act, so far as continuing in force after the passing of this Act; and

• (c) Parts I and II of Schedule 5 to the 1985 Act (residual subsidies);

and where he does so, references to him in those provisions shall be construed accordingly.

Application of Housing Acts to certain transactions

58

• (1) This section applies to any tenant of a publicly-funded house who, but for paragraph 1 of Schedule 5 to the Housing Act 1985 (no right to buy where landlord a charitable housing trust or housing association), would have the right to buy under Part V of the Housing Act 1985.

• (2) A house is publicly-funded for the purposes of subsection (1) above if a grant under section 50 above, or a grant under section 41 of the 1985 Act or any enactment replaced by that section, has been paid in respect of a project which included—

• (a) the acquisition of the house;

• (b) the acquisition of a building and the provision of the house by means of the conversion of the building; or

• (c) the acquisition of land and the construction of the house on the land.

• (3) Where a registered housing association contracts for the acquisition of a house and, without taking the conveyance, grant or assignment, disposes of its interest at a discount to a tenant to whom this section applies, the provisions mentioned in subsection (4) below shall have effect as if the association first acquired the house and then disposed of it to the tenant.

• (4) The said provisions are—

• section 4 of the 1985 Act (eligibility for registration);

• section 8 of that Act (disposal of land by registered housing associations);

• section 9 of that Act (consent of Corporation to disposals);

• section 79(2) of that Act (power of Corporation to lend to person acquiring interest from registered housing association);

• Schedule 2 to that Act (covenants for repayments of discount on early disposal and restricting disposal of houses in National Parks etc. ); and

• section 130 of the Housing Act 1985 (reduction of discount on exercise of right to buy where previous discount given).

Interpretation of Part II and amendments of Housing Associations Act 1985

59

• (1) In this Part of this Act—

• (a) “the 1985 Act” means the Housing Associations Act 1985; and

• (b) subject to subsections (1A) and (1B) below expressions used in this Part have the same meaning as in the 1985 Act.

• (1A) Expressions used in sections 52 to 54 ... above have the same meaning as in Part I of the Housing Act 1996, subject as follows.

• (1B) In those sections “housing activities” and “shared ownership lease”, in relation to times, circumstances and purposes before the commencement of section 1 of the Housing Act 1996 (the register of social landlords), have the same meaning as in the 1985 Act.

• (2) The 1985 Act shall have effect subject to the amendments in Schedule 6 to this Act, being amendments—

• (a) extending the supervisory powers conferred by Part I of the 1985 Act;

• (b) making provision incidental to and consequential upon . . . the establishment by the Housing (Scotland) Act 1988 of Scottish Homes;

• (c) making provision incidental to and consequential upon the provisions of this Part of this Act and the provisions of Part IV of this Act; and

• (d) varying the grounds on which the Secretary of State may remove a member of the Housing Corporation from office.

• (3) In Schedule 6 to this Act,—

• (a) Part I contains amendments of Part I of the 1985 Act, including amendments which reproduce the effect of amendments made by Schedule 3 to the Housing (Scotland) Act 1988 with respect to Scottish Homes; and

• (b) Parts II and III contain amendments of Parts II and III respectively of the 1985 Act.

• (4) Without prejudice to the operation of Schedule 3 to the Housing (Scotland) Act 1988 in relation to anything done before the day appointed for the coming into force of this section, for the purpose of giving effect to the amendments in Part I of Schedule 6 to this Act, the said Schedule 3 shall be deemed never to have come into force.

Part III — Housing Action Trust Areas

Areas and trusts

Housing action trust areas

60

• (1) Subject to section 61 below, the Secretary of State may by order designate an area of land in England for which, in his opinion, it is expedient that a corporation, to be known as a housing action trust, having the functions specified in this Part of this Act, should be established.

• (2) The area designated by an order under this section may comprise two or more parcels of land which—

• (a) need not be contiguous; and

• (b) need not be in the district of the same local housing authority.

• (3) An order under this section shall be made by statutory instrument but no such order shall be made unless a draft of it has been laid before, and approved by a resolution of, each House of Parliament.

• (4) In deciding whether to make an order under this section designating any area of land, the Secretary of State shall have regard to such matters as he thinks fit.

• (5) Without prejudice to the generality of subsection (4) above, among the matters to which the Secretary of State may have regard in deciding whether to include a particular area of land in an order under this section, are—

• (a) the extent to which the housing accommodation in the area as a whole is occupied by tenants or owner-occupiers and the extent to which it is local authority housing;

• (b) the physical state and design of the housing accommodation in the area and any need to repair or improve it;

• (c) the way in which the local authority housing in the area is being managed; and

• (d) the living conditions of those who live in the area and the social conditions and general environment of the area.

• (6) An area designated by an order under this section shall be known as a housing action trust area and in the following provisions of this Part of this Act—

• (a) such an area is referred to as a “designated area”; and

• (b) an order under this section is referred to as a “designation order”.

Consultation and publicity

61

• (1) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (2) Where the Secretary of State is considering a proposal to make a designation order, he shall use his best endeavours to secure that notice of the proposal is given to all tenants of houses in the area proposed to be designated who are either secure tenants or introductory tenants ... or tenants of such description as may be prescribed by regulations.

• (3) After having taken the action required by subsection (2) above, the Secretary of State shall either—

• (a) make arrangements for such independent persons as appear to him to be appropriate to conduct, in such manner as seems best to them, a ballot or poll of the tenants who have been given notice of the proposal as mentioned in that subsection with a view to establishing their opinions about the proposal to make a designation order; or

• (b) if it seems appropriate to him to do so, arrange for the conduct of a ballot or poll of those tenants in such manner as appears to him best suited to establish their opinions about the proposal.

• (4) If it appears from a ballot or poll conducted as mentioned in subsection (3) above that a majority of the tenants who, on that ballot or poll, express an opinion about the proposal to make the designation order are opposed to it, the Secretary of State shall not make the order proposed.

• (5) The power to make regulations under subsection (2) above shall be exercisable by the Secretary of State by statutory instrument which shall be subject to annulment in pursuance of a resolution of either House of Parliament.

• (6) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Housing action trusts

62

• (1) Subject to subsection (2) below, where the Secretary of State makes a designation order, he shall, in that order or by a separate order, either—

• (a) establish a housing action trust for the designated area; or

• (b) specify as the housing action trust for the designated area a housing action trust already established for another designated area.

• (2) Such a separate order as is referred to in subsection (1) above shall be made by statutory instrument but no such order shall be made unless a draft of it has been laid before, and approved by a resolution of, each House of Parliament.

• (3) Subject to subsection (4) below, a housing action trust shall be a body corporate by such name as may be prescribed by the order establishing it.

• (4) Where the Secretary of State makes the provision referred to in subsection (1)(b) above,—

• (a) the housing action trust specified in the order shall, by virtue of the order, be treated as established for the new designated area (as well as for any designated area for which it is already established); and

• (b) the order may alter the name of the trust to take account of the addition of the new designated area.

• (5) Schedule 7 to this Act shall have effect with respect to the constitution of housing action trusts and Schedule 8 to this Act shall have effect with respect to their finances.

• (6) It is hereby declared that a housing action trust is not to be regarded as the servant or agent of the Crown or as enjoying any status, immunity or privilege of the Crown and that the trust’s property is not to be regarded as the property of, or property held on behalf of, the Crown.

• (7) At the end of section 4 of the Housing Act 1985 (descriptions of authority) there shall be added—

(f) “housing action trust” means a housing action trust established under Part III of the Housing Act 1988

; and at the end of section 14 of the Rent Act 1977 (landlord’s interest belonging to local authority etc.) there shall be added—

(h) a housing action trust established under Part III of the Housing Act 1988

.