asked the Minister of Housing and Local Government whether he will make a study of the social effects of reducing the amount of money available for local authority mortgages; and if he will make a statement.

The social effects of local authority mortgage lending come under discussion frequently with the local authority associations, and I see no need for a separate Departmental survey. As the hon. Gentleman will know, the Secretary of State for Wales and I have recently increased by £25 million the overall limit of mortgage lending by local authorities in England and Wales during the current financial year.

Is the right hon. Gentleman aware that even after that increase it is still £120 million below what it was when the Socialists came to power? Will he promise to restore it in the next year to at least the level that he inherited?

The hon. Gentleman will appreciate that it was at a very high level during the first four years of Labour Administration. I appreciate the importance of this matter, particularly in respect of older houses, and I have advised local authorities to make money available to those who otherwise would find it difficult to raise mortgages. However, any question of an increase must depend on the progress we make with our economic recovery, and the prospects of this are very good.

Would the right hon. Gentleman take this matter extremely seriously? Is he aware that a local authority in my part of the world, with a population of 10,000, has precisely £11,000 available for mortgages, a very miserable sum indeed when one realises the number of people who are desirous of getting their own homes on mortgage?

We would all agree that it is desirable that the amount should be substantially increased, but within the amount that has been available we have done our best to see that it is distributed fairly between one local authority and another.