The project will be steered by the Northern Housing Consortium. It will bring in the Housing Quality Network to help the councils focus on improvement and prepare for further inspections.
Consortium chief executive John Moralee said: "We recognise that the lack of resources and skills in some key posts has led to difficulties for smaller authorities. We are looking to use economies of scale to share expertise and resources."
Chester-le-Street strengthened its housing team with strategy and management officers after its second no-star rating last week.
It is holding talks with ministers and says it will cooperate fully if the deputy prime minister goes ahead with a takeover.
Source
Housing Today
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