The hon. Member for Glasgow, Craigton (Mr. Millan) knows that I share his high opinion of the Scottish Special Housing Association. Other Scottish hon. Members opposite know that, as I know that they, too, have a high opinion of the work done by the Association.

The object of the Amendment appears to be to remove from the Bill the proposed power of the S.S.H.A. to acquire land for its normal house-building functions under previous Acts. I apprehend that there is a fear that there would be a conflict of interests between the S.S.H.A. and the local authorities; that, indeed, the Association would take land that a local authority required for its own house-building programme. I can assure hon. Members that there is no intention whatever that the S.S.H.A. should be able to over-ride a local authority or acquire land which the local authority itself genuinely required. Indeed, the Government Amendments Nos. 177 and 179 have been put down to ensure that the Association will always consult the local authority before resorting to compulsory purchase; and to give to the local authority the same rights to voice its objection and require the holding of a public inquiry as any person who has a direct interest in the land in question. In the proceed- ings on such a compulsory purchase order the Secretary of State, of course, would take fully into account the views of the local authorities.

10.15 p.m.

The power is not being introduced to provide for a possible conflict of interest between the local authority and the Association. Its purpose is simply to relieve local authorities of a burden. It is true, as the hon. Member indicated, that houses built by the Association under Section 23(1, a) of the 1957 Act are to assist the local authority's own housing programme where the authority's own resources are inadequate. But the Association also builds for several other purposes. Under Section 23(1, b) of the 1957 Act it builds for overspill, and under subsection (1, c), which is being introduced under this Bill, the Association is to be empowered to build for incoming industrial workers. Under Section 18(1, b) of the 1962 Act it is empowered to provide housing accommodation for letting at economic rents or for joint ownership on a non-profit-making basis.

Those are examples of the Association's functions, which we visualise as increasing in future, where the local authority would be less interested in the Association's building than in the building which the Association has carried out in the past on behalf of local authorities. The houses are not being provided for people already living in the local authority's area and to that extent the local authority has much less direct interest in the housing provision than in the days when the Association built solely to assist the local authority itself. It is also the intention that the Association should do a large majority of this building in growth areas in Scotland and less building in direct support of and on behalf of local authorities. This building should not lead to a conflict of interest with the local authorities. It will be supplementary and complementary to what they are doing.

We visualise therefore this power of compulsory purchase for the Association, in addition to the compulsory purchase which is also proposed in the Clause for the Association when it is working on behalf of the Housing Corporation. We consider that this will be helpful in Scotland and that the Association will be able to relieve local authorities of some of their work when these cases arise. They may not be frequent, but there may be occasions when the local authority does not want to go to the trouble and bother of carrying out compulsory purchase itself, because it is not itself interested and concerned in what is happening. If there should be a conflict I give an assurance that with the two Government Amendments the local authority will have every chance to express its view and to make clear that there is a conflict.