PENSIONERS’ FLATS

Press, Volume LXXXIX, Issue 26967, 17 February 1953, Page 5

PENSIONERS’ FLATS

INCREASED SUBSIDY WANTED REQUEST BY COUNCIL DECLINED An application to the Government for an increased rate of subsidy on the pensioners’ flats now being built by the Christchurch City Council has been declined. In a letter which came before the council last evening the Secretary of the Treasury (Mr B. C. Ashwin) said that as the council’s project was being financed to the extent of £49.400 by way of 3 per cent, loan moneys through the Stale Advances Corporation, it was not eligible for the increased subsidy rate. Mr Ashwin said that when the subsidy was increased from 25 per cent, to 33 1-3 per cent., the approval also provided that the Government would make the balance of the funds required available through the State Advances Corporation at the interest rate fixed for the time being by the Government. The interest rate was subsequently fixed at 3A per cent., and any approvals granted since that date had provided for a one-third subsidy and 34 per cent, loan money. In its report to the council the housing committee stated that the

earlier announcement regarding the increased subsidy did not include information about the interest rate. On the suggestion of the chairman (Cr. C. Baldwin) the council decided to make representations to the Minister concerned.