16 JUNE 1928, Page 14

A HOUSING EXPERIMENT [To the Editor of the SPECTATOR.]

Sni,—An extremely interesting experiment in dealing with slums is being tried in Chelsea. The Chelsea Borough Council have undertaken an improvement and reconstruction scheme of an area in the BOrmigh known as the World's End Passage Area. They propose to begin by leasing, at a nominal rent, part of the land to the Chelsea Housing Improvement Society. This is a Public Utility Society formed under the Public Utility Societies Act for the express purpose of providing housing accommodation for members of the working classes living in the Borough at lower rents than it is within the power of the Borough Council to charge, unless a housing " dole " be agreed.

It is hoped to build a few houses on some land that is now vacant, and when these are erected, to transfer into them the present inhabitants of adjacent houses. These small adjoining houses will then be demolished, and on the site thus freed, a second block of new buildings will be erected. Gradually the whole area will be cleared on this piecemeal system, and it is hoped that some 340 out of 379 inhabitants will in time be rehoused.

Should this plan, that has been under consideration for some months past, succeed, it will be a very valuable example of a public body' and a voluntary society co-operating. The Chelsea Borough Council are satisfied that the local Society has already sufficient capital to build and maintain the buildings to be erected cn that part of the land which it is proposed to lease. On the other hand the Society anticipate that when once they can begin to build an appeal for further funds will prove successful. Under such conditions both the ratepayers and members of the poorer working classes in the Borough will benefit, although in the event of the voluntary Society being unable to carry out its programine, the Borough Council would have to carry the remainder of the scheme into execution.

The interesting question has arisen as to what is the Govern- ment subsidy payable under such circumstances, and to whom it should be paid. Upon the answer to this question depends not only the future of the Chelsea scheme, but that of the plans of other Housing Associations that have been formed in other parts of the country.

The Ministry of Health have been consulted on this question, and advise that a Borough Council could not be regarded as carrying out a rehousing scheme in connexion with the improvement of an insanitary area, if they simply leased the land to a voluntary Society and left it to the voluntary committee to carry out the rehousing.

On the other hand, under Section 42 (3) of the Housing Act, 1925, a local authority may "engage with any body of trustees, society or person, to carry the whole or any part of the scheme into effect upon such terms as the local authority may think expedient." The Ministry of Health is prepared to consider a scheme under this sub-section by which the Chelsea Housing Improvement Society would act on behalf of the Council, but under their control.. Should such a scheme be approved, the Council would 'be able to draw Exchequer contributions. The progress of this unique example of close co-operation will be watched with care, as it offers possibilities of clearing plague-spots in many industrial centres.—I am,