Warning over council home funding in London

London Councils wants urgent talks with ministers over fears that 80,000 households across the capital may miss out on key improvements to their council homes if the government redirects money away from the capital to fund its new housing plans.

The organisation has written to Housing Minister, John Healey, to express its concerns over plans by the government to fund its recent housing pledge - Building Britain's Future - by using cash it had set aside to help councils bring their homes in line with the national Decent Homes Standard.

Last week the Prime Minister, Gordon Brown, announced a £1.5 billion schemethat would help build 20,000 new affordable homes across the country.
However, London Councils is concerned that the way the government plans to fund the pledge will see the funding cut for some of the newer Arms Length Management Organisations (ALMOS) - set up by councils to manage and improve their housing stock.

It fears this could mean that 80,000 homes which house nearly 200,000 Londoners, will miss out on vital improvements like new double glazing, central heating repairs and modernised kitchens.

London Councils' executive member for housing, councillor Steve Reed, explained:

"While we agree with the importance of creating new affordable homes, we must remember that current tenants are important too and their rights must be considered. I have written to John Healey calling for an urgent meeting to discuss this issue and find a way forward.

"In some boroughs this money had already been earmarked for providing council tenants with essential improvements to their homes like new windows and kitchens.

"We need to make sure that these new government measures to help get people on the housing ladder do not deprive the existing tenants of the right to a decent home."