APPENDIX 5
Letter from the Clerk of the Committee to the
Local Government Association and Welsh Local Government Association
Proposal for the Regulatory Reform (Housing Assistance)
(England and Wales) Order 2002
I understand that you have been involved with the
development of the above proposal, which was considered by the
House of Commons Deregulation and Regulatory Reform Committee
at its meeting earlier this week.
The Committee understands that local authorities
have broadly welcomed the proposals. However, it would be grateful
for your comments on one specific point. A number of local authorities
mention in their responses to consultation that the introduction
of the measures contained in the proposal will entail potentially
significant 'start-up' costs in the short term, particularly in
the formulation of the published policy and in setting up new
systems and processes to administer grants and loans under the
new legislation. The Committee would be grateful to know whether
you expect to receive any additional help from the Department
to meet these costs; and whether you consider the burden of these
additional short-term costs to be proportionate to the long-term
benefits claimed for these proposals of additional flexibility
and the removal of bureaucratic burdens.
The Committee would also welcome your comments on
any other aspect of the proposal, particularly on any other outstanding
difficulties with which you may be concerned (I note particularly
in this regard the fact that a number of respondents to consultation,
including several local authorities, mentioned the potential difficulties
involved in ensuring that local authorities were able to give
appropriate financial advice).
17 January 2002
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