SCHEDULE 5 continued PART II continued
38In section 459 of the Housing Act 1985 (the index to Part XIV), at the appropriate places insert—
| “housing authority | sections 4(a) and 458” |
| “service charge | section 621 A”. |
C1Sch. 5 para. 38 restricted (11.7.1992) by S.I. 1992/1753, art. 2(2), Sch. para. 4.
I1Sch. 5 para. 38 wholly in force at 17.8.1992 see s. 57 and S.I. 1992/1753, art. 2(2).
39After section 621 of the Housing Act 1985 insert—
(1)In this Act “service charge” means an amount payable by a purchaser or lessee of premises—
(a)which is payable, directly or indirectly, for services, repairs, maintenance or insurance or the vendor’s or lessor’s costs of management, and
(b)the whole or part of which varies or may vary according to the relevant costs.
(2)The relevant costs are the costs or estimated costs incurred or to be incurred by or on behalf of the payee, or (in the case of a lease) a superior landlord, in connection with the matters for which the service charge is payable.
(3)For this purpose—
(a)“costs” includes overheads, and
(b)costs are relevant costs in relation to a service charge whether they are incurred, or to be incurred, in the period for which the service charge is payable or in an earlier or later period.
(4)In relation to a service charge—
(a)the “payee” means the person entitled to enforce payment of the charge, and
(b)the “payer” means the person liable to pay it.”.
40(1)Schedule 4 to the M1Housing Act 1985 (the qualifying period for the right to buy) is amended as follows.
(2)After paragraph 5 insert—
5AA period qualifies under this paragraph if it is a period during which, before the relevant time—
(a)the secure tenant, or
(b)his spouse (if they are living together at the relevant time), or
(c)a deceased spouse of his (if they were living together at the time of the death),
was a qualifying person for the purposes of the preserved right to buy or was the spouse of such a person and occupied the qualifying dwelling-house as his only or principal home.”.
(3)In paragraph 7 (the landlord condition for qualifying period)—
(a)in sub-paragraph (1), in the opening words, after “subject to” insert “paragraph 7A and to”, and omit the words from “a housing co-operative” to “management functions)”;
(b)in sub-paragraph (2), omit the words from “a housing co-operative” to “1975”.
(4)After paragraph 7 insert—
“7A(1)The landlord condition shall be treated as having been satisfied in the case of a dwelling-house comprised in a housing co-operative agreement made—
(a)in England and Wales, by a local housing authority, new town corporation or the Development Board for Rural Wales, or
(b)in Scotland, by an islands or district council,
if the interest of the landlord belonged to the housing co-operative.
(2)In sub-paragraph (1) “housing co-operative agreement” and “housing co-operative”—
(a)as regards England and Wales have the same meaning as in section 27B (agreements with housing co-operatives under superseded provisions), and
(b)as regards Scotland mean an agreement made under section 5 of the Housing Rents and Subsidies (Scotland) Act 1975 and a housing co-operative within the meaning of that section.”.
C1Sch. 5 para. 40(2)(3)(4) restricted (11.7.1992) by S.I. 1992/1753, art. 2(2), Sch. para. 5.
I1Sch. 5 para. 40 wholly in force at 17.8.1992 see s. 57 and S.I. 1992/1753, art. 2(2).
M11985 c. 68.
41(1)Paragraph 14 of Schedule 6 to the M1Housing Act 1985 (terms of lease granted in pursuance of right to buy: implied covenants by landlord) is amended as follows.
(2)In sub-paragraph (2), omit the words following paragraph (c).
(3)In sub-paragraph (3), for the words from the beginning to “requirement” insert “There is an implied covenant”.
(4)After sub-paragraph (3) insert—
“(3A)Sub-paragraphs (2) and (3) have effect subject to paragraph 15(3) (certain obligations not to be imposed, where landlord’s title is leasehold, by reason of provisions of superior lease).”.
42In Part II of the M1Housing Associations Act 1985 (financial provisions), after section 69 insert—
A housing association is not entitled to a housing association grant, revenue deficit grant or hostel deficit grant in respect of land comprised in—
(a)a management agreement within the meaning of the Housing Act 1985 (see sections 27(2) and 27B(4) of that Act; delegation of housing management functions by certain authorities), or
(b)an agreement to which section 5 of the Housing Rents and Subsidies (Scotland) Act 1975 applies (agreements for exercise by housing co-operatives of certain local authority housing functions).”.