41. (1) Except where otherwise provided for by this section, it is a condition of the provision of housing assistance to a household in respect of a dwelling that the housing authority concerned is satisfied that the dwelling complies with standards prescribed under section 18 of the Act of 1992.

(2) (a) The condition referred to in subsection (1) shall be deemed to be met if the housing authority, within a prescribed period prior to the date on which the household notifies the authority of the dwelling in respect of which housing assistance is sought, inspected the dwelling and was satisfied that the dwelling complied with that condition.

(b) (i) In a case where paragraph (a) does not apply, then the housing authority—

(I) shall, within a prescribed period after the date when housing assistance commences, arrange to inspect the dwelling for the purpose of satisfying the authority that the dwelling complies with the condition referred to in subsection (1), and

(II) may provide housing assistance in respect of the dwelling concerned until the dwelling is so inspected,

and the authority shall notify the qualified household accordingly.

(ii) In this paragraph the reference to assistance commencing means the commencement date of the period in respect of which the housing authority made the first payment of rent under this Part to the landlord of the dwelling.

(c) A housing authority may provide housing assistance in respect of a dwelling the subject of a subsisting improvement notice given under section 18A of the Act of 1992 and shall notify the qualified household accordingly.

(d) (i) A dwelling the subject of proceedings under section 18B of the Act of 1992 or in respect of which a prohibition notice under that section is in force shall not be, or shall cease to be, eligible for housing assistance.

(ii) Notwithstanding subparagraph (i), where a household is residing in the dwelling in respect of which a prohibition notice under section 18B of the Act of 1992 is in force, the housing authority may provide, or continue to provide, housing assistance in respect of the dwelling for a period prescribed under this subparagraph for the purposes of enabling the qualified household to find an alternative dwelling.

(iii) Where subparagraph (ii) applies, the housing authority shall notify the qualified household of the prescribed period under that subparagraph for which housing assistance is being provided in respect of the dwelling concerned.

(3) (a) Where a housing authority determines that a dwelling in respect of which housing assistance is sought, or which is the subject of housing assistance, does not meet, or no longer meets, the accommodation needs of a qualified household due to overcrowding, then the dwelling shall not be, or shall cease to be, eligible for housing assistance.

(b) In a case where paragraph (a) applies and the household is residing in the dwelling, the housing authority may provide, or continue to provide, housing assistance in respect of the dwelling for a period prescribed under this paragraph for the purposes of enabling the qualified household to find an alternative dwelling.

(c) Where paragraph (b) applies, the housing authority shall notify the qualified household of the prescribed period under that paragraph for which housing assistance is being provided in respect of the dwelling concerned.

(4) (a) Subject to paragraph (b), a housing authority may designate—

(i) an area specified by the Minister as being an area of regeneration for the purpose of providing for greater social integration,

(ii) an area specified by the authority as an area where there is a need to counteract or avoid undue segregation in housing between people of different social backgrounds,

and a dwelling located in such an area so specified that was not the subject of housing assistance on the date the designation was made shall not be eligible for housing assistance.

(b) Where the number of local government electors for the time being in an area referred to in paragraph (a)(ii) exceeds a prescribed number, the designation of that area under that paragraph shall be subject to the consent of the Minister, who may direct the authority to amend the designation in a manner that he or she may direct.

(c) In paragraph (b) “local government elector” means a person entitled to vote at a local election under Part 4 of the Local Government Act 2001.