Scottish councils tell Executive: we want ALMOs too

Scottish councils have demanded the right to set-up arm's-length management organisations.

The move would bring them into line with their English counterparts.

The call was part of the councils' responses to the Scottish Executive consultation paper, Modernising Scotland's Social Housing, published in March.

Heriot-Watt University housing academic Hal Pawson has compiled a report on behalf of the Housing Quality Network summarising the councils' responses.

It considers the responses of 26 of the 32 local authorities in Scotland, and is the first detailed analysis of the councils' views since the consultation deadline passed on 30 June.

It found strong support for the consultation's proposal to make the ALMO option available to Scottish local authorities.

Councils also called for more detail on the central proposals over the introduction of a decency standard and permitting councils to borrow against their rental streams.

Edinburgh, Fife, Renfrewshire and Moray were among the authorities that voiced the strongest support.

Edinburgh, which owns almost 30,000 homes, is understood to be enthusiastic about the idea of an ALMO because it involves no change in ownership and, as a result, requires no tenants' ballot to endorse the switch.

A stock options appraisal carried out two years ago by Edinburgh council found there was little support among tenants for a full stock transfer.

A business plan for the retention of the city's stock has been drawn up, although 3000 properties are estimated to be in need of major regeneration work that would go beyond the resources available.

Edinburgh is set to become the second local authority in Scotland to take responsibility for development funding. It expects to take over the administration of its own development funding by April next year.

All Scottish councils can administer their own development budget if they meet the requirements set by Communities Scotland, which include having the support of housing association partners who will benefit from the funding. Last week, Communities Scotland transferred control of £82m, almost one-third of Scotland's development budget, to Glasgow city council.