Housing Association Guide Part 1 - Appendix 8
Total Cost Indicators 2008/2009
[Note: Major changes in land and property prices in some City/District Council areas over the past number of months have resulted in changes to some Key Multipliers etc. To take account of these changes, new TCIs have been produced and will apply to all schemes approved after 31 October 2008. Background to the changes is included at 5.00 – TCI Mid-Term Review – of Appendix: 7 to Part 1 (effective from 31 October 2008). Revised Grant Rates are included in Appendix: 9 to Part 1 (effective from 31 October 2008).]
Contents
1.01These Guidance Notes - are designed to explain the use of Total Cost Indicators (TCI) in the Housing Association Grant (HAG) funding framework, and help Associations complete a scheme submission. The notes are effective from 31 October 2008; they are issued together with separate Grant Rate Guidance Notes (see Appendix: 9 to Part 1 of the Guide).
1.03Enquiries – about the interpretation of this guidance should be directed to: NIHE Development Programme Group (DPG) in the first instance.
1.04NIHE (DPG) - can be contacted on: (028) 9031 8400.
2.01A Key Objective - of the funding system is to achieve value for money in return for grant, and to ensure the correct level of grant is paid. TCI form the basis of this system, and are divided into unit types and Cost Group areas on a City/District Council basis.
2.02TCI represent - the basis for a cost evaluation of HAG funded units. TCI are also used to calculate the maximum level of grant or other public subsidy payable. Further details on this inter-relationship between TCI and grant levels are given in the Grant Rate Guidance Notes.
2.03Key and Supplementary Multipliers - are applied to the base TCI figures to allow for scheme variations as outlined in the multiplier tables. Thus, there is a relationship between the base ‘norm’ cost of a unit and its unit type.
Different types of accommodation other than self-contained housing for general needs are classified as follows:-
3.01Accommodation for the Elderly:
(i) Category 1 - self-contained accommodation for the more active elderly, which may include an element of warden support and/or additional communal facilities;
(ii) Category 2 - warden supported self-contained accommodation for the less active elderly, which includes the full range of communal facilities;
(iii) ‘Abbeyfield’ - warden supported shared accommodation for the less active elderly with full range of communal facilities; and
(iv) Frail Elderly – supported extra care accommodation for the frail elderly. Includes the full range of communal facilities, plus additional special features, including wheelchair user environments and supportive management.
3.02Shared Accommodation - accommodation predominantly for single persons, which includes a degree of sharing between tenants of some facilities (e.g., kitchen, bathrooms, living room) and may include an element of support and/or additional communal facilities.
3.03Supported Housing - accommodation, which may be either shared or self-contained, designed to meet the needs of particular user groups (see Part 5 of the Guide, Supported Housing) requiring intensive housing management and may also include additional communal facilities.
3.04Accommodation for Wheelchair Users - accommodation, which may be either shared or self-contained, designed for independent living by people with a physical disability and wheelchair users. Where such accommodation is incorporated within schemes. containing communal facilities, these facilities should be wheelchair accessible.
3.05Communal Facilities - ancillary communal accommodation, the full range of which comprises:
- Common room - consisting of common room/s of adequate size to accommodate tenants and occasional visitors, chair store, kitchenette for tea-making and WC;
- Associated communal facilities - consisting of warden’s office, warden call/alarm facility, laundry room and guest room.
TCI comprise the following elements:-
4.01Acquisition:
- Purchase price of land/property;
- Developer contributions – i.e. levy on development land required by Statutory Bodies to finance essential infrastructure works, e.g. major road improvements.
4.02Works:
- Main works contract costs - including where applicable adjustments for additional claims and fluctuations, but excluding any costs defined as on-costs below;
- Major site development works - where applicable. These include, soil stabilisation and decontamination, piling, road and sewer construction, major demolition works etc;
- Major pre-works - (Rehabilitation only) where applicable;
- Statutory agreements and associated charges – e.g., Road Bond, Connection Charges, testing etc;
- Additional costs associated with archaeological investigations and studies, where applicable (including all fees, charges and claims arising);
- VAT on the above - where applicable.
4.03On-Costs:
- Legal fees, disbursements and expenses;
- Stamp duty;
- Net gains/losses via interest charges on development period loans;
- Bank, Building Society or other valuation and associated administration fees;
- Fees for building control and planning permission;
- In-house or external consultants’ fees, disbursements and expenses.*
* (Note: Where the development contract is design and build, the on-costs include the builders design fee element of the contract sum. The on-costs must also be used for other non-works costs such as fees for building and planning permission, building warranty and defects/liability insurance, contract performance bond and energy rating of dwellings);
- Insurance premiums, including Building Warranty and Defects/ Liability insurance (except contract insurance included in works costs);
- Contract performance bond premiums; borrowing administration charges -including associated legal and valuation fees;
- An appropriate proportion of the Association’s development and administration costs (formerly A & D allowances) excluding Special Projects Promotion Allowances (SPPA) and including an appropriate proportion of any abortive scheme costs.*
* (Note: This includes a supplementary element for decanting costs, applicable where an existing tenant has to be temporarily relocated/accommodated during construction works);
- Furniture provision including loose fittings and furnishings – (see Appendix: 3 to Part 2 of the Guide, Annex V);
- Preliminary minor site development works - including soil investigation reports (new build), pre-works (rehabilitation) and minor works in connection with off-the-shelf or existing satisfactory purchases;
- Fees and charges associated with tendering procedures including compliance with EU Directives and the Clients’ Charter;
- Compliance with the Construction (Design and Management) Regulations;
- Energy rating of dwelling units; SAP, EPC, etc
- All fees, charges and expenses in connection with the environmental rating for homes - Code for Sustainable Homes / Eco Homes - award including the provision of energy saving lightbulbs, external storage, sheds etc.; and
- VAT on the above - where applicable.
5 The use of the TCI base table5.01The Unit Size - in square metres shown on the TCI base table relates to the total floor area of the unit. The unit size will vary depending on the type of housing to be provided and the needs group. Reference should be made to Appendix: 1 to Part 3 of the Guide for design criteria applicable to various needs groups.
5.02The TCI - for a unit where the total floor area exceeds 120 m2 will be the appropriate cost for a unit of 115-120 m2 plus for each additional 5m2 or part thereof, the difference between the cost of a unit of 110- 115 m2 and a unit of 115-120 m2.
For Self-contained Accommodation:
5.03Self-contained units - provide each household, defined as a tenancy, with all their basic facilities behind their own lockable front door.
5.04For self-contained units - the base TCI is determined by its total floor area. The dwelling floor area is determined by the area of each unit for the private use of a single household. Communal areas or any facilities shared by 2 or more households should be excluded.
5.05The total floor area of self-contained accommodation - is measured to the internal faces of the main containing walls on each floor of the accommodation and includes the space, on plan, taken up by private staircases, partitions, internal walls (but not ‘party’ or similar walls), chimney breasts, flues and heating appliances. It includes the area of tenants’ storage space, including any externally accessed storage within the main containing walls. It excludes:
- Any space where the height to the ceiling is less than 1.5 m (e.g., areas in rooms with sloping ceilings, external dustbin enclosures);
- Any porch, covered way, etc, open to air; all balconies (private, escape and access) and decks;
- Non-habitable basements and attics, conservatories, sheds etc; and
- All space for purposes other than housing (i.e., garages, commercial premises, etc).
For Shared Accommodation:
5.06This term - applies to accommodation for 2 or more people in which households with different tenancies/licences share facilities, i.e., bathroom, kitchen, etc. There may be a number of shared units within the same scheme (Note: The base TCI for shared accommodation must be calculated separately to any self-contained accommodation in the scheme).
5.07For shared units - the base TCI per person is determined by the total floor area of each shared unit divided by the number of resident’s bedspaces sharing that unit including any residential staff bedspace and any guest room bedspace contained within the shared unit. * *(Note: Where additional facilities including access is shared with another self-contained or shared unit, the floor area of such facilities is not included in the calculation of the total floor area of the unit).
5.08The total floor area of shared accommodation - is measured to the internal faces of the main containing walls on each floor of the unit and includes all space for shared facilities for services and the space, on plan, taken up by staircases, partitions, internal walls (but not ‘party’ or similar walls), chimney breasts, flues and heating appliances. It includes the area of residents’ storage space, (including any externally accessed storage within the main containing walls) except where a non-habitable basement or attic is used exclusively as storage space. It excludes:
- Any space where the height to the ceiling is less than 1.5 m (e.g., areas in rooms with sloping ceilings, external dustbin enclosures);
- Any porch, covered way, etc, open to air;
- All balconies (private, escape and access) and decks;
- Non-habitable basements and attics, conservatories, sheds etc;
- All space for purposes other than housing (i.e., garages, commercial premises, etc); and
- Any space including access shared with another self-contained or shared unit.
6.00 TCI Base Table: Self-Contained and Shared AccommodationTOTAL COST INDICATORS - 2008/09 (effective 31.10.08)
Total Unit Cost – (£ Per Unit)
TCI – Cost Group
Unit Floor Area m2 |
A |
B |
C |
D |
E |
F |
| up to 25 |
85,800 |
81,800 |
77,100 |
74,200 |
72,400 |
70,500 |
| 25/30* |
91,700 |
87,400 |
82,400 |
79,300 |
77,300 |
75,400 |
| 30/35* |
97,600 |
93,000 |
87,700 |
84,400 |
82,300 |
80,200 |
| 35/40* |
103,500 |
98,600 |
93,000 |
89,500 |
87,300 |
85,100 |
| 40/45* |
109,400 |
104,300 |
98,300 |
94,600 |
92,200 |
89,900 |
| 45/50* |
115,300 |
109,900 |
103,600 |
99,700 |
97,200 |
94,700 |
| 50/55* |
121,200 |
115,500 |
108,900 |
104,800 |
102,200 |
99,600 |
| 55/60* |
127,100 |
121,100 |
114,200 |
109,900 |
107,100 |
104,400 |
| 60/65* |
133,000 |
126,700 |
119,400 |
114,900 |
112,100 |
109,300 |
| 65/70* |
138,800 |
132,300 |
124,700 |
120,000 |
117,100 |
114,100 |
| 70/75* |
144,700 |
137,900 |
130,000 |
125,100 |
122,000 |
118,900 |
| 75/80* |
150,600 |
143,600 |
135,300 |
130,200 |
127,000 |
123,800 |
| 80/85* |
156,500 |
149,200 |
140,600 |
135,300 |
132,000 |
128,600 |
| 85/90* |
162,400 |
154,800 |
145,900 |
140,400 |
136,900 |
133,500 |
| 90/95* |
168,300 |
160,400 |
151,200 |
145,500 |
141,900 |
138,300 |
| 95/100* |
175,000 |
166,800 |
157,200 |
151,300 |
147,600 |
143,800 |
| 100/105* |
181,800 |
173,200 |
163,300 |
157,100 |
153,300 |
149,400 |
| 105/110* |
188,500 |
179,600 |
169,300 |
163,000 |
158,900 |
154,900 |
| 110/115* |
195,200 |
186,100 |
175,400 |
168,800 |
164,600 |
160,400 |
| 115/120* |
202,000 |
192,500 |
181,400 |
174,600 |
170,300 |
166,000 |
* exceeding/not exceeding
7 Selection of key multipliers
7.01Only one Key Multiplier - can be used per unit.
7.02The New Build Acquisition and Works multiplier - is used where a site is purchased and the Association commissions a new build development via a building contract.
7.03The Off-the-Shelf Multiplier - is used where new dwellings are purchased, following inspection, from contractors/developers without the Association having commissioned works via a building contract. The cost of any minor works required should be set against the on-cost allowance.
7.04The Rehabilitation Acquisition and Works multiplier - is used where existing buildings are purchased and require substantial repair and improvement, conversion, or extension for housing use.
7.05The Existing Satisfactory Purchase (ESP) Multiplier - is used where existing dwellings are purchased, following inspection, from the property market without the Association having commissioned works via a building contract. The condition of these dwellings are such that they do not require full rehabilitation, but may require a degree of repair/checks/upgrading to bring them up to an acceptable standard for letting. The estimated repair/checks/upgrading cost of each dwelling should not normally exceed £10,000.
7.06The Works Only Multiplier - is used for accommodation which involves the development of land or property already in the Association’s ownership and for which no acquisition costs (other than legal charges) apply.
7.07The Re-improvement Multiplier - is used for dwellings which have already received some form of public/grant subsidy and now require major improvement works (Re-improvement). Re-improvement schemes are generally expected to be submitted no less than 15 years after a rehabilitation or 30 years after new build construction.*
*(Note: For further details on Re-improvements see Appendix: 3 to Part 2 of the Guide, Annex P. It should be noted that the outstanding loan of the original works can be considered an eligible cost and will attract the grant rate applicable to the new scheme as a whole).
7.08The ‘Tenanted/Decanting’ Multiplier – is used in:
- New Build – Acquisition and Works schemes;
- Rehabilitation – Acquisition and Works schemes;
- Works Only schemes; and
- Re-improvement schemes
where land and property, or property only, is acquired or exists with a tenant or tenants who have to be decanted to temporary accommodation – such as another dwelling, mobile home or caravan – until the new build, rehabilitated or re-improved dwelling is completed.
9 Selection of Supplementary Multipliers
9.01Supplementary Multipliers - can be applied to new build and rehabilitation units when the accommodation is designed to meet the relevant standards set out in the Design Requirements (see Appendix: 1 to Part 3 of the Guide).
9.02More than one Supplementary Multiplier - can be used per unit. However, certain combinations of multipliers are invalid. Multipliers for elderly, frail elderly and supported housing cannot be combined. *
*(Note: The matrix at Section 18 gives a comprehensive list of valid combinations of multipliers.)
9.03The main reason for combinations of multipliers being invalid is that the combination of those multipliers would lead to a duplication of the financial provision for the facilities accounted for in the multipliers, e.g., category 2 includes new lifts and single storey. This means that in these circumstances the other relevant multiplier does not apply, i.e., a new lift or single storey multiplier cannot be used with a category 2 multiplier.
9.04The Frail Elderly Multiplier – applies mainly to ‘shared’ schemes, but can be applied in whole or in part to ‘self-contained’ type schemes at the discretion of NIHE (DPG).
9.05The Supported Housing Multiplier - applies to schemes following the procedures outlined in Part 5 of the Guide, Supported Housing.
- Supported housing schemes with shared facilities cannot be combined with either of the 3 common room multipliers in part h of the supplementary multiplier table, but can be combined with the small common room multiplier in part k;
- The Supported Housing multiplier cannot be used for self-contained staff units.
9.06The Listed Building/Conservation Area Multiplier - applies to schemes or parts of schemes where a listed building or building in a conservation area is being rehabilitated or re-improved.
9.07The Appropriate ‘Shared’ Multiplier - is determined by the number of persons sharing facilities within the shared unit. For the purposes of determining the appropriate supplementary multipliers a shared housing scheme may comprise more than one shared unit, provided they are entirely self-sufficient. The new TCI base table is deemed to include all communal and ancillary facilities.
9.08The Served by New Lifts Multiplier - is used when new vertical wheelchair accessible passenger lift provision is incorporated in a block for access to dwelling entrances and communal accommodation.
9.09The Common Room Multiplier - in part h applies only to Elderly Category 1 and self-contained supported housing designed to meet the relevant standards set out in the Design Requirements (see Appendix: 1 to Part 3 of the Guide). It should be noted that for Category 1 schemes claiming the Associated Communal Facilities, the warden call/alarm facility must be provided and at least 2 other facilities (i.e., warden’s office, laundry room or guest room). For self-contained supported housing schemes claiming the Associated Communal Facilities, at least 3 facilities must be provided (i.e., warden’s office, warden call/alarm facility, laundry room, guest room or staff sleep-over room).
9.10The Zero-rated VAT Rehabilitation Multiplier - is used where the scope of the rehabilitation or conversion work is such that the relevant local VAT office determines that the work is zero-rated for VAT purposes. This applies mainly to dwellings created by conversion of existing buildings in non-residential use. This multiplier does not apply to situations where the listed building multiplier applies.
9.11The Wheelchair Multiplier - applies to self-contained units designed for wheelchair use; and to shared units designed for wheelchair use where wheelchair use is the predominant occupancy within that unit.
9.12The Small Common Room Multiplier - applies only to:
- Schemes consisting of 25% wheelchair units: 75% general needs units; or
- Schemes consisting of two or more shared supported housing units, where each shared unit is self-sufficient, e.g., cluster flats.
9.13The Design and Build Contract Multiplier - is used when the main contractual responsibility for design rests with the contractor.
9.14The Special Planning Requirements Multiplier - is used when one of the following applies:
- New build in designated conservation areas or new build associated with a listed or de-listed building where special planning conditions apply; or
- New build or rehabilitation in designed Areas of Outstanding Natural Beauty.
9.15The Special Services Requirements Multiplier – is used where mains drainage is not available and a small sewage treatment plant or pumping station has to be provided by the Association in undertaking new build or rehabilitation.
9.16The Lifetime Homes Multiplier - applies only to:
- 2 and 3 storey houses, having at least one bedroom at first floor level; bungalows, ground floor flats and flats served with a lift; and one & a-half storey houses, having at least one bedroom at ground floor level. It can also apply to individual first floor flats without a lift, but where the stairs are designed to allow a future stairlift to be provided (See Part 3 of the Guide for further details).
- Dwellings complying with lifetime homes criteria as defined in the Housing Association Guide.*
*(Note: This supplementary multiplier applies only to general needs and supported housing self-contained units as described above. It does not apply to shared accommodation, category 1 units, category 2 units or wheelchair units).
9.17The EcoHomes Multiplier - applies to newbuild situations where self-contained or shared units have been assessed by a BRE licensed assessor and subsequently awarded an environmental rating. Since April 2007 the minimum requirement for new build has been the EcoHomes ‘Very Good’ standard or better (see 9.21 below). From April 2008, major Rehabilitation and Re-improvement schemes should meet the EcoHomes ‘good’ standard or better. The EcoHomes multipliers also includes the cost of meeting the Building Regulations (NI) 2000, operational from November 2006.
9.18The ‘Secured by Design’ Multiplier – is used when a new build or rehab scheme will achieve the Secured by Design award.
9.19The Future Roofspace Development Multiplier – is used where the dwelling design allows for future roofspace development and would provide, to Building Regulation requirements:
- The net addition of at least one bedroom and bedspace within the dwelling shell;
- A clear roofspace that would provide a satisfactory bedroom and access thereto;
- A gable window or roof window pre-installed in the future bedroom or bedrooms;
- Internal dwelling layout that will easily accommodate a new staircase access to the roofspace;
- Roofspace floor joists sized for future bedroom use and pre-trimmed for future stair provision; and
- Heating and electrical services installed for easy extension to the roofspace.
9.20Part F (Building Regulations) – is used only in non-EcoHome or non-Code for Sustainable Homes schemes where Part F of the Building Regulations (NI) 2000, operational from November 2006 will apply. This multiplier cannot be used in conjunction with the EcoHomes Multiplier or the Code for Sustainable Homes Multiplier and does not apply to ESPs or Off-the Shelf schemes.
9.21Code for Sustainable Homes – applies to new build situations where self-contained units have been assessed by a licensed Code assessor and subsequently awarded a Code Level 3 rating. This multiplier will replace the EcoHomes requirement in such circumstances and can be used in conjunction with the Lifetimes Homes and the Secured by Design Supplementary Multipliers. It can also be used for Category 1 Elderly, Category 2 Elderly and self-contained wheelchair units, where applicable. The multiplier cannot be used in conjunction with EcoHomes or Part F (Building Regulations) Multipliers and does not apply to ESPs or Off-the Shelf schemes.
[General Note - where an Association is in any doubt concerning the appropriateness of the application of any supplementary multiplier, it is advised to seek advice from NIHE Development Programme Group (DPG), Standards & Technical Team, 4th Floor, Housing Centre (028) 9031 8400.]
11.01The TCI Costs Group applicable is determined by the City/District Council area in which the scheme is located. The table below gives the Cost Groups and the relevant City/District Council Area. The table also gives the Existing Satisfactory Purchase (ESP) Key Multiplier for each City/District Council area within that TCI Group.
|
City/District
council area |
Existing Satisfactory
Purchases (ESPs) (5) |
A
|
Belfast
Castlereagh
|
1.24
1.30
|
B
|
Derry
Lisburn
North Down
|
0.96
1.27
1.30
|
C
|
Ards
Ballymena
Banbridge
Carrickfergus
Newtownabbey
|
1.30
1.25
1.22
1.29
1.30
|
D
|
Ballymoney
Coleraine
Down
Limavady
Magherafelt
Newry & Mourne
|
1.21
1.01
1.26
0.94
0.99
1.30
|
E
|
Antrim
Armagh
Craigavon
Dungannon
Larne
Moyle
|
1.29
1.16
1.19
0.96
1.23
1.22
|
F
|
Cookstown
Fermanagh
Omagh
Strabane
|
0.99
0.99
0.95
0.86
|
|
|
|
|
12 Explanation of On-Costs
12.01TCI - are inclusive of the on-costs contained in the relevant on-cost table. The on-costs vary according to the general purpose of the scheme. TCI levels are set with the assumption that Associations’ development and administrative costs will be contained within the percentages in the relevant on-cost table.
12.02For Non-Tariff Funded Schemes - it is necessary to compare the total eligible costs with the relevant TCI. In order to allow a proper comparison it is necessary to add the percentage on-cost (from the relevant table) to the estimated eligible costs of acquisition and works.
12.03For schemes Produced under Tariff Funding - comparison between estimated costs and TCI at individual scheme level is not required for grant calculation purposes.
13 Selection of on - costs
13.01One Key On-Cost will apply per scheme - to this should be added any appropriate supplementary on-cost.
13.02Supplementary On-Costs - may be used when the accommodation is designed to meet the relevant standards set out in the Design Requirements (see Appendix: 1 to Part 3 of the Guide).
13.03The appropriate Key or Supplementary On-Cost - is determined by the predominant dwelling type in a scheme. Where two dwelling types are relatively equal, predominance is established by the largest number of persons in total.
13.04Where 2 supplementary On-Costs are equally applicable - the higher should be used exclusively. The exception is a design and build contract scheme (see below).
13.05For a Design & Build Contract scheme - where the main contractual responsibility for design rests with the contractor, the design & build supplementary on-cost must always be used. If another supplementary on-cost applies the design & build contract on-cost is also used.
13.06Design & Build Contracts - may occur in conjunction with either:
- Package deals where the package offered to the Association by a contractor/developer includes land/property acquisition in addition to building works; or
- Non-package deals where the offer to the Association by a contractor/developer comprises building works only and excludes the land/property acquisition element.
13.07The EcoHomes Award or the Code for Sustainable Homes Award (Code level 3) Supplementary On-Cost – is used where the scheme will be designed to to meet either award as set out in the Design Requirements (see Appendix: 1 to Part 3 of the Guide).
13.08The Tenanted/Decanting dwelling Supplementary On-Cost - is used where an existing tenant has to be decanted to temporary accommodation – such as another dwelling, mobile home or caravan – until the new build, rehabilitated or re-improved dwelling is completed.*
*(Note: in schemes where existing tenants have to be decanted but where this supplementary multiplier would not automatically apply due to the predominance rule, the NIHE (DPG) may agree to this multiplier being applied at its discretion).
15 Supplementary On-Cost Table
|
|
Works Only and Re-improvements |
Off-the-shelf Existing Satisfactory Purchases |
|
|
|
|
|
a. Elderly Cat 1 and Cat 2 with common room or communal Facilities
|
+2
|
+3
|
+1
|
b. Frail Elderly (shared)
|
+4
|
+7
|
+3
|
c. Supported Housing:
(i) Self-contained
(ii) Self-contained with common room or communal facilities
|
+4
+4
|
+6
+7
|
+3
+4
|
d. Shared (General Needs,‘Abbeyfield’ and Supported Housing)
|
+4
|
+7
|
+4
|
e. Design and Build contracts
|
-2
|
-2
|
0
|
f. EcoHomes Award or Code for Sustainable Homes Award (Code level 3)
|
+1
|
+1
|
0
|
g. Tenanted/decanting Dwelling
|
+4
|
+6
|
0
|
| h. The Special Services Requirements
|
+1
|
+1
|
0
|
16.01For Units developed under the TCI Financial Regime - a set percentage of approved grant can be paid once a unit reaches certain key development stages. These grant payments are known as tranches. Any payment of grant will be subject to the association’s current financial allocation.
16.02The Key Stages are:
- Exchange of purchase contracts (ACQ) – this is deemed to be where the Association has a contract with the vendor to take ownership of the site/property);
- Start on site of main contract works (SOS) – this is deemed to be the date when the contractor took possession of the site/property in accordance with the signed building contract);
- Practical completion of the scheme (PC) – is deemed to be the contract date when the Association took possession of the dwelling(s) or when purchase completion takes place in, e.g., Off-the-shelf schemes.
16.03Where a Public Subsidy - is given by way of discounted land (acquisition public subsidy), or HAG on account in the case of transitional schemes, the whole subsidy is deducted from the first tranche; any excess balance should be deducted from the second tranche. This is to ensure that grant is not paid in advance of need. In other circumstances any other public subsidy will be deducted from each tranche on a pro-rata basis (see Appendix: 3 to Part 2, Annex R).
16.04In the case of Package Deals (including land) - the first and second tranches are normally paid together at start on site stage.
16.05Where a scheme consists of Mixed Funded HAG units with different Grant Rates - the tranche percentage applicable is the one with the predominant dwelling type in the scheme. Where two dwelling types are relatively equal predominance is established by the largest number of persons in total.
16.07The Grant on outstanding loans for Re-improvement Schemes - will be paid in accordance with the tranche/percentage for the scheme.
|
