The government hands out further £2.5bn to Arms Length Management Organisations in bid to bring council housing up to Decent Homes Standard by 2010.
The government has made an extra £2.5bn available to councils that set up companies to improve local authority housing stock.
The funding for Arms Length management Organisations over the next three years includes £453m for those councils previously awarded places on Round 4 of the ALMO programme and £450m given as the second allocation of funds for Round 2 ALMOs.
The Office of the Deputy Prime minister said the package would help local authorities bring their housing stock up to the government’s Decent Homes Standard by 2010.
Local authorities that require additional investment to bring their homes up to the Decent Homes standard can opt for one of three mechanisms to raise the necessary finances. An ALMO is a company set up by a local authority to manage its homes and make them decent. The other options are PFI and Large Scale Voluntary Transfers where a local authority transfers the ownership of housing stock to a housing association.