Arms Length Management Organisations
An arm’s length management organisation (ALMO) is a company set up by a local authority to manage and improve all or part of its housing stock.
When an ALMO is established, the housing stock remains in the ownership of the local authority but the ALMO takes responsibility for its day-to-day management. This leaves the local authority free to focus on wider strategic housing issues. The ALMO is owned by the local authority and managed by a board of directors which includes tenants, local authority nominees and independent members.
The local authority is required to consult its tenants and leaseholders about its plans to set up an ALMO and must be able to demonstrate their support for the proposal to the government. The ALMO programme started in 2001 and six bidding rounds have taken place for local authorities seeking to join the programme.
Our role
The HCA makes recommendations to Communities and Local Government (CLG) as to whether a local authority should be granted permission to enter into a management agreement with an ALMO. We provide guidance to local authorities on setting up ALMOs and applying for funding, and we support ALMOs in their work to improve housing standards.
Communities and Local Government offers additional resources towards the cost of achieving the decent homes target to councils who set up ALMOs that are assessed by the Housing Inspectorate as good or excellent. Additional investment in decent homes through the programme is expected to total £5.7bn. There are no plans for further bidding rounds.
Contact details
Mick Cowan
mick.cowan@hca.gsx.gov.uk
Last updated: 11 June 2009