TNAG-0607-FCO40-755-Monitoring-progress-made-on-planning-papers-on-Hong-Kong-1977 — Page 146

33.

Finance and rents

90.

In June this year Hon. Members approved new financial

linder these the Authority's

arrangements for the Housing Authority.

outstanding debts to Government were converted into a straight Governmont

contribution assessed conservatively at more than $5,000 M. In future,

for the rented housing programme, land will be provided to the

Authority free of premium, and drawings from the Development Loan Fund

for new construction will be repaid over 40 years interest free. On the

other hand, the grants paid by the Government to cover the recurrent

deficits on Group B estates have been withdrawn.

91.

The main object of these arrangements is to enable the

Authority to ezercise greater flexibility over rents particularly in

the new estates. It is the latter that have attracted criticism, most

of it misguided, wish to assure public housing tenants and the public

that the Housing Authority accepts its obligation to provide decent

housing for low income groups at rents they can afford. In the urban

areas this is possible because the Authority has under its control a

large stock of flats of varying sizes, quality and rentals. Through

mutual exchangy and transfer schemes it is now possible for public

housing tenants to move much more freely than before to districts and

flats of their own choice and for the Authority to offer a much wider

range of flats to new tenants.

92.

In the New Towns, where public housing estates consist

almost entirely of new improved types, the Government and the

Authority realise there must be a range of accommodation and rents

that will cater for all low income houscholds above the public

assistance level, without placing excessive burdens on the taxpayer.

Home Ownership Scheme...