Dear Sir or Madam,

The Housing Corporation allocated public money for the building of
a large number of homes in Hampshire that were intended for key
worker shared-ownership purchase, but were instead transferred to
the rental sector. Have arrangements been put in place for the
Housing Associations that consequently benefited from increased
stocks of rental properties to now pay back the money to the public
purse?

Yours faithfully,

Rosalind Kellett

Dear Ms Kellett

Thank you for your Freedom of Information request. We will deal with
the matter and return to you in due course.

Marianne Zierau | Information and Complaints Assistant
Housing Corporation | Maple House | 149 Tottenham Court Road | London
W1T 7BN
Tel: 020 7393 2283 | Fax: 020 7393 2099
E-mail [email address]
www.housingcorp.gov.uk

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Dear Ms Kellett

I am now able to reply to your recent requests under the Freedom of Information Act 2000.

You have asked us whether arrangements have been put in place for housing associations that benefit from increased stock of rental properties to pay back money to the public purse.

The Housing Corporation allocates public funds for housing associations to provide housing for rent as well as for Key Worker housing. For Key Worker New Build 2004-06 there is specific provision to "cascade" Key Worker units which have been void for more than three months or which due to local market conditions are unlikely to sell within three months. This means that the association can then apply to the Corporation for approval to re-let the properties as social rent. As this is within the rules of such schemes the Corporation would not seek to recover the grant provided. Further information can be found on the Corporation's website www.housingcorp.gov.uk . On our homepage click on 'Investing', then on 'Capital Funding Guide', on 'Key Worker Living' and on 'KWL Products'. The relevant sections are 3.3.9 to 3.3.14; alternatively you can use this link http://cfg.housingcorp.gov.uk/server/sho... <http://cfg.housingcorp.gov.uk/server/sho...> .

I hope this information is useful to you.

Final comments:
If you are dissatisfied with my response, you may request an internal review. To do this you should contact Mr Peter Driver, Board Secretary, at The Housing Corporation, Maple House, 149 Tottenham Court Road, London W1T 7BN. You should make your application no later than 40 working days from when you receive this response. Once you have been through our internal review process you may then contact the Information Commissioner whose address is Wycliffe House, Water Lane, Wilmslow, Cheshire SK9 5AF.

Marianne Zierau | Information and Complaints Assistant
Housing Corporation | Maple House | 149 Tottenham Court Road | London W1T 7BN
Tel: 020 7393 2283 | Fax: 020 7393 2099
E-mail [email address]
www.housingcorp.gov.uk <http://www.housingcorp.gov.uk/>

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