Explanatory note

Section 2 of the Housing Act 1996 specifies the bodies that are eligible for registration as social landlords. For two categories of body (a society registered under the Industrial and Provident Societies Act 1965 and a company registered under the Companies Act 1985) the section sets out conditions that must be satisfied for registration. In addition to the core purposes or objects, there are permissible additional purposes or objects.

This Order specifies a further permissible additional purpose or object for such a body, namely, the provision of loans secured by mortgages to assist persons to acquire houses for their own occupation. The Order also makes provision with respect to the priority of certain mortgages entered into under the additional purpose or object.