Homes transfer may be shelved

Plans to transfer Cannock's council houses to a housing association are hanging in the balance after a potential shortfall in Government funding for the controversial scheme has come to light.

Fraught negotiations are continuing between the District Council, the Department for Communities and Local Government and the Harvest Housing group to strike a deal.

The problem centres on the amount of cash, or 'gap funding', the Government had pledged to make available.

It had been thought the Government would make around £50 million available, but now they have backed away from that figure and are pushing the council and Harvest Housing to come up with a deal with a price tag of only £40 million.

Council leader councillor Neil Stanley, said: "The Government is not sticking to the funding it had promised."