47.— (1) A housing authority or approved body, as the case may be, may suspend the reduction of the charged share provided for under section 46 in respect of any year ending on the anniversary of the transfer order, where the purchaser fails to comply with any of the terms and conditions of the transfer order.

(2) Where the housing authority or approved body suspends the reduction of the charged share under subsection (1), the charged share on the dwelling shall be calculated in accordance with the following formula:

Y x 100 —R

Z

where—

(a) Y is the difference between the purchase price of the dwelling at the time of sale to the purchaser and the purchase money,

(b) Z is the purchase price of the dwelling at the time of sale to the purchaser, and

(c) R is the portion of the charged share that has been released in accordance with this subsection.

(3) (a) Where a housing authority or approved body has suspended the reduction of the charged share under subsection (1), the housing authority or approved body, as appropriate, shall, as soon as practicable thereafter, notify the purchaser in writing of the suspension and the reasons for the suspension.

(b) The housing authority or approved body, as the case may be, shall, on the expiration of the charged period, give a statement to the purchaser in writing, in the prescribed form, indicating the amount of the charge outstanding under the charging order on the date of expiration of the charged period, which amount shall be expressed as a percentage of the market value of the dwelling, equivalent to the charged share of the housing authority or approved body, as appropriate, in the dwelling on that date calculated in accordance with subsection (2).

(4) (a) The purchaser shall, within 2 months of receipt of the statement referred to in subsection (3), pay to the housing authority the amount set out in the statement.

(b) Where the purchaser fails to pay the amount referred to in paragraph (a), section 46 (12) applies.

(5) For the purposes of this section, “ market value ” means the price for which a dwelling might reasonably be expected to be sold on the date of expiration of the charged period, in its existing state of repair and condition and not subject to the conditions specified in section 45 (2) or to a charging order.

(6) (a) For the purposes of this section, the market value of a dwelling shall be determined by the housing authority or approved body, as appropriate, or, where the purchaser does not agree with the market value so determined, by an independent valuer nominated by the purchaser from a panel of suitably qualified persons, established by the housing authority, who are of a class or description prescribed under section 49.

(b) The housing authority or approved body shall not be liable for any expenses incurred by the purchaser under paragraph (a).