09 April 2004
The first eight councils to set up arm's-length management organisations have been awarded further money to bring their homes up to standard.
The authorities, all of which gained two or more stars in inspections, will be allowed to spend a total of £473m over the next two years — up from £300m for 2002/04.
Gwyneth Taylor, policy officer at the National Federation of Almos, said the councils had been waiting to hear their allocations for 2004/06 since last September.
In most cases, they will spend more than first indicated by the Office of the Deputy Prime Minister. Derby Homes will receive £66m over two years — £16m more than it requested and more than double the £31m it spent in 2002/04.
Its director Phil Davies said it now cost an average of £6,500 to bring a home up to standard — £1,500 more than in 2002. 'There was higher inflation than we anticipated,' he said.
Ashfield Homes is holding talks with the ODPM after being granted just £22.1m for 2004/06. Steve Haywood, director of technical services, said it was aware other Almos had received extra money, but had not been told why.
Taylor criticised ministers for keeping the Almos waiting until April 1 before confirming the new allocations. 'The ODPM was pressurising them to deliver more decent homes but wouldn't say how much they were going to get. They took a significant risk in arranging contracts.'
Although the allocations are for two years, Taylor suggested the ODPM would like to see most of it spent in 2004/05 so that it can pitch for further funds in the Spending Review.
PFapr2004
