Twelve arm’s-length management organisations are to bid for millions of pounds of extra government cash in response to rising construction prices.
The 12 round-two ALMOs received £383m in May 2002.

They have now been asked to submit bids to the ODPM by 18 June for funding for 2005-7.

Gordon Perry, chief executive of Kensington and Chelsea tenants’ management organisation, a round-two ALMO, said: “In the past 12 months in Kensington, construction costs rose 23%.”

He refused to say how much Kensington and Chelsea TMO would bid for but said round-two ALMOs were looking for similar increases to those received by round-one organisations.

The first-round ALMOs won an extra £173m in April in recognition of their own rising costs.

An ODPM spokeswoman said final allocations would be made at the end of the summer.

Source

Housing Today