Newspaper reports have suggested that, the controversial company managing residents housing in Lambeth will be dismissed in a year if it does not improve on its performance. Their performance has angered some residents and leaseholders, after what some say was an inconclusive consultation result.

The council’s Labour administration has said if it is re-elected in May, it would effectively give Lambeth Living 12 months to achieve a two star Audit Commission rating, or the Arms Length Management Organisation (ALMO) would be given the boot.  Should Lambeth Living achieve a two star rating this would unlock £250m of decent homes funding set aside by the Government – this is an equivalent of £8,000 to improve each council home with new kitchens and bathrooms to thousands of Lambeth homes.

Leader of the Council, Steve Reed said: “Council tenants and leaseholders have put up with substandard housing services for too long.  The decent homes funding is vital to turn around housing in Lambeth. If they do not get the two star rating within a year, they will be sacked, it’s that simple.” The crucial Audit Commission inspection is set to take place next summer. Brixton Hill Councillor and Leader of the current administration controlling Lambeth Council, Cllr Reed said ‘Lambeth Living would only be saved after a failed inspection if it was obvious a further inspection within six months would provide the two star rating.’ He commented he was however confident after discussions with ALMO bosses the target could and would be achieved. The ALMO has proved massively unpopular with tenants and leaseholders, who have seen the quality of housing services they receive, deteriorate over the years Lambeth Living has been operating Lambeth’s Housing stock.

It has also been previously rocked by a string of scandals including residents being charged twice for maintenance works, being vastly overcharged for bills, and with just two of over 100 tower blocks having valid fire safety certificates, said to be one of the worst records across London. A scathing Audit Commission report last year said housing had worsened under Lambeth Living.

Lambeth Living’s recently appointed Chair, Keith Hill remained upbeat despite the threat of Lambeth Living’s dismissal “Lambeth Council is quite right to insist on high standards from Lambeth Living. We look forward to responding to their tough demands, and we are confident that we can improve our performance in the direction of the two stars.”

Councillor Reed said whether the ALMO model would be scrapped should Lambeth Living be sacked would be subject to a public consultation.  He said much would depend on the £250m still being guaranteed if a Conservative Government was elected.

Many residents have complained of poor service from Lambeth Living after it was introduced in 2008. Leaseholders across the borough have also been left fuming after receiving bills for works and contracts that didn’t exist.

However, Lambeth Living is working hard to meet the targets set out by the government auditors. Many residents’ homes are in desperate need of works to bring their homes up to a decent living standard. Should they meet this standard in the next 12 months this will give them much needed income to carry out the works to homes.