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190
Annual Report of the London County Council, 1911.
Expenditure.

Repairs and
Renewals
Fund.
A statement is appended (pages xliv. and xlv.) showing the percentages on gross rental of the
several items of income and expenditure for each estate.
The repairs and renewals fund has been established with the view of equalising the charges
against revenue under this head between one year and another, as the expenditure in future years
will naturally be larger than at present, when many of the buildings are new. The sums charged
to revenue account and carried to this fund are based on the estimated cost of all repairs and
renewals during the loan period, after deducting interest earned on the accumulations of the fund. The
credits to this fund during the year exceeded the expenditure thereout by £2,374 2s. lld. The
amount standing to the credit of the fund on 31st March, 1912, was £41,969 6s. 9d, of which
£38,899 5s. 10d. was invested.
Estat. s in
course of
development.
The interest and sinking fund charges, less receipts in aid, in respect of the capital outlay on
lands acquired under Part III. of the Housing of the Working Classes Act, 1890, and still in course
of development, are included in a separate account. The charge on the rates in respect of the
deficiency under this head for the year 1911-12 was £4,949 6s. 5d., and the aggregate amount raised
in the rates to 31st March, 1912, is £74,895 14s. 2d. This amount includes the annual instalments
of sinking fund to redeem debt.
Sir Samuel
Montagu
(Lord
Sway tilling)
Gift Fund.
The gift of £10,000 received from Sir Samuel Montagu on 5th August, 1903, for improving
the White Hart-lane estate, amounted, with the interest thereon, on 31st March, 1912, to
£11,970 10s. 2d., of which £1,938 7s. Id. was invested in India Bills, maturing 1st December,
1912. A sum of £9,788 3s. 8d. had, up to 31st March, 1912, been applied to the purposes of
the gift.
Special
Fund for
Acquisition
of Lands
under Part
III. of
Housing
Act, 1890.
The Council purchased Millbank Prison site under Part III. of the Act, and when the Council
decided, with the sanction of the Home Secretary, to utilise a portion of this land for the purpo.se
of rehousing persons displaced in connection with the Thames Embankment Extension and Improvements
at Westminster, carried out under the London County Council (Improvements) Act, 1900, it was arranged
that the Westminster Improvement Account should be charged, and the Part III. Account credited
with a sum of £50,000, which has under the Statute to be applied towards" the cost of the acquisition
by the Council of other lands for the purposes of Part III. of the Housing of the Working Classes
Act, 1890/' After defraying certain expenditure on the Millbank Site Account, the fund amounted,
with interest, on 31st March, 1912, to £54,041 19s. 6d. The London County Council (General
Powers) Act, 1908, empowers the Council to apply this money in the "improvement and development
of estates already acquired by them under and for the purposes of Part III." The Council has
decided to utilise the fund in connection with the development of the Old Oak estate, and
£23,014 13s. 6d. has been applied to meet expenditure on this estate. The balance available on
31st March, 1912, for future expenditure on this estate is thus £31,027 6s., of which £20,250 is
invested.
Capital
expenditure
on Dwellings
and Estates.
The total expenditure on capital account on the dwellings and estates up to the olst IVJarcn,
1912, amounted to £2,191,630 12s. Id. The Summary of Financial Results shows the appoitioi nunt
of this figure as between land and buildings. The capital expenditure during the year 1911-12
amounted to £55,554 19s.
With regard to dwellings erected to rehouse persons displaced by clearance schemes under Parts
I. and II. of the Act, the Council's practice is to charge the capital account of the dwellings with
the value of the site as earmarked for housing purposes, the account of the clearance scheme being
credited with this value. The latter account, which is charged with the cost of clearance and laying
out (less sales), is thus placed in the same position as it would have been if the Council had disposed
of the land for the erection of dwellings. In the case of dwellings erected under Part III. of the Act
the total cost of the land and of its development for building is chargeable against the dwellings.