Plans for new management of council homes set for approval

Proposals to form a new organisation to run council-owned homes are set to go ahead, following consultation with tenants. 

Under the plans, around 4,200 homes owned by Shropshire Council would remain under the council’s ownership but would be managed by the new company – known as an ‘Arms-Length Management Organisation’ (ALMO). 

The organisation, which would be run by a management board made up of tenants, councillors, independent volunteers and housing staff, will come into being in April 2013 if councillors give their approval. 

A report will be considered by Cabinet on Wednesday 14 November 2012, and if councillors give their approval a further report will go to full council later in the year. 

A major consultation was carried out by an independent body over the summer, which included over 70 drop-in sessions, newsletters sent to all tenants, a freephone and email address for tenants to ask questions, and two tenant conferences. 

Postcards asking if tenants were broadly in favour of the proposal were sent to every household.  Just over 14% of tenants responded, with 49% saying they were in favour of setting up a new organisation to maintain and manage their homes, and 25% saying they were not in favour. 

Therefore, councillors are now being asked to give approval for officers to go ahead with the work of setting up the new organisation. 

Mal Price, Shropshire Council’s Cabinet member for housing, said:

“I hope tenants feel they have had the opportunity to make their views known on these proposals.  Despite the relatively low response, I really think the consultation has been as extensive as it could be, giving people lots of information and asking for their thoughts. 

“The formation of a new company to run the council’s homes will give tenants more of a voice in the management of their homes, and it makes sense financially too, which should see more investment in the housing stock in future.  We will continue to keep tenants and staff informed as we work through the finer details of setting up the company over the coming months.” 

Further notes 

Shropshire Council currently owns and manages around 4,200 properties in the Oswestry and Bridgnorth areas, which were formerly owned by Oswestry Borough Council and Bridgnorth District Council. 

Social housing in all other areas of Shropshire is owned by a number of different housing associations.