HOUSING LOANS.

Press, Volume LXIV, Issue 19198, 3 January 1928, Page 10

HOUSING LOANS.

STATEMENT BY CR. SULLIVAN. Replying to a letter by "Ratepayer" regarding the City Council Housing loans, which appeared in The Press on Saturday, Cr. D. G. Sullivan, chairman of the Finance Committee of the City Council, states:— "The position is that the Council does not raise any sums for the purpose of making advances for the erection of workers' dwellings until it has in hand suitable applications amounting to considerably more than the actual amount to be raised. The whole scheme is self-supporting and does not come as a charge upon the ratepayers. The money is raised at a fixed rate of interest, and is advanced to workers for the erection of houses, they paying sufficient interest and sinking fund to cover the whole • costs which are required to be paid by the Council. Houses are not built in advance, nor is the money loaned for the purchase of houses already erected: therefore, there is no danger of the Council suffering financial loss through houses remaining empty. The Council insists upon a reasonable deposit being paid by the worker, and in no cases have properties fallen back on the Council's hands. The present loan is being raised after a thorough investigation by the Local Government Loans Board of the whole position, not onlv as regards the necessity for more houses, but from the point of view of the scheme being on a sound financial basis. 'Ratepayer' need have no fears' that the housing scheme will entail any charge upon the rates." ■•