A CLEVELAND council has started briefing housing staff on a massive stock transfer ballot.

Redcar and Cleveland council is planning to ballot 12,500 tenants in a vote on the issue and has now begun giving details to workers who will be involved.

The authority thinks a housing stock transfer will solve the burden of a £50m improvements programme covering heating, windows, bathrooms, kitchens and rewiring without the need for massive rent rises.

Housing director, Mr Iain Sim, said: "Stock transfer can be an emotive issue and it is our job to reassure tenants that it is early days and that the decision to transfer or not will be up to them when a vote is held, hopefully in the autumn.

"Our tenants will be concerned and we will be providing information before they decide. The final decision will rest with them.

"The rules are that we must hold a ballot of all tenants and a majority must vote 'yes' to get the go-ahead."

But, in the first of a series of newsletters to staff, Mr Sim says: "If we don't transfer, the future is bleak and that is not being over-dramatic.

"We simply cannot afford to continue to spend at current levels. If housing stays with the council we will have to drastically reduce the service."

While under government rules local authorities cannot borrow enough to cover the improvement programme, it does give councils the green light to transfer stock into a housing company, which could then borrow from other funders.

Mr Sim said: "Rents are going up every year anyway for both housing associations and local authorities. The new landlord will be able to keep rents at reasonable levels and indeed this would be guaranteed to tenants. Whatever happens, tenants will still be able to get help to pay their rent."