To ask the Secretary of State for Transport, Local Government and the Regions
(1) what the annual level of national housing revenue accounts load debt was in each year from 1997–98 to date; and what the capital financing costs of that debt were;
(2) what estimate he has made of the cost of paying off all local authority historic housing debt.
Local authority debt is held and managed centrally within each authority. For the purposes of determining the Housing Revenue Account's (HRA) contribution to the cost of overall debt, a notional level of HRA indebtedness is calculated each financial year. This is known as the HRA credit ceiling. The table sets out the HRA credit ceiling at the start of each financial year, together with the associated capital financing costs, for financial years 1997–98 to 2001–02:
|HRA credit ceiling||Capital financing costs|
(23) No data available for 2001–02 at present, it is estimated to be £1,793 million.
Repayment of an amount equivalent to the HRA credit ceiling will give rise to additional liabilities in respect of early redemption premiums, which will depend on the profile of each authority's own debt portfolio. It is therefore not possible to estimate the cost of repaying this debt.