Report of the Cabinet Member for Housing regarding the Local Authority Mortgage Scheme, attached.
Minutes:
The report of the Cabinet Member for Housing was submitted regarding the Local Authority Mortgage Scheme (copy of report circulated with the agenda and appended to the signed minutes).
Amendment moved by Councillor Letts and seconded by Councillor Payne:
At the end of Recommendation (i) Add“subject to the approval of the final scheme by the Executive Members for Housing and Leisure Services and Resources.”
Delete Recommendation (v) “That the Cabinet Member for Housing brings a further Executive report to Cabinet and Council once the pilot funding is exhausted, to allow evaluation of the pilot, and consideration of a wider scheme.”
AMENDED RECOMMENDATIONS TO READ:
(i) That the Council adopt the Lend a Hand Mortgage scheme as an initial pilot scheme subject to the approval of the final scheme by the Executive Members for Housing and Leisure Services and Resources.
(ii) The Lend a Hand Mortgage Scheme not to be implemented until the Director of Corporate Services is satisfied as to the lawfulness of the scheme.
(iii) To operate outside of current Council Treasury Policy to allow money to be placed on deposit for an initial fixed period of 5 years. The investment of £1 million would be deposited with Lloyds TSB to potentially underwrite a minimum of 40 deposits for First Time Buyers.
(iv) The maximum value of any loan under the scheme is set at £118,750.
(v) That the Council indemnify the Monitoring Officer against all personal liability he will incur by providing Lloyds Bank with an opinion and by providing Lloyds Bank with a signed opinion letter.
(vi) That the qualifying post codes will include all post codes within the LA boundary area and will exclude any that cross the boundary into a neighbouring authority. The qualifying post codes will be provided to the lender(s) in a schedule to the indemnity deed.
(vii) To delegate authority to the Director for Economic Development to enter into agreements with any financial institution pursuant to Sections 435 and 442 of the Housing Act 1985 in furtherance of the scheme and in consultation with the Director of Corporate Services.
UPON BEING PUT TO THE VOTE THE AMENDMENT WAS
DECLARED CARRIED
UPON BEING PUT TO THE VOTE THE MOTION AS AMENDED WAS DECLARED
CARRIED
RESOLVED:
(i) That the Council adopt the Lend a Hand Mortgage scheme as an initial pilot scheme subject to the approval of the final scheme by the Executive Members for Housing and Leisure Services and Resources.
(ii) The Lend a Hand Mortgage Scheme not to be implemented until the Director of Corporate Services is satisfied as to the lawfulness of the scheme.
(iii) To operate outside of current Council Treasury Policy to allow money to be placed on deposit for an initial fixed period of 5 years. The investment of £1 million would be deposited with Lloyds TSB to potentially underwrite a minimum of 40 deposits for First Time Buyers.
(iv) The maximum value of any loan under the scheme is set at £118,750.
(v) That the Council indemnify the Monitoring Officer against all personal liability he will incur by providing Lloyds Bank with an opinion and by providing Lloyds Bank with a signed opinion letter.
(vi) That the qualifying post codes will include all post codes within the LA boundary area and will exclude any that cross the boundary into a neighbouring authority. The qualifying post codes will be provided to the lender(s) in a schedule to the indemnity deed.
(vii) To delegate authority to the Director for Economic Development to enter into agreements with any financial institution pursuant to Sections 435 and 442 of the Housing Act 1985 in furtherance of the scheme and in consultation with the Director of Corporate Services.
Supporting documents: