COUNCIL tenants have voted for their homes to be transferred to a non-profit making housing association.

The controversial ballot on the Chester-le-Street District Council's housing transfer proposals, carried out by the independent Electoral Reform Services, showed the majority of tenants wanted 4,300 homes to transfer to Cestria Community Housing.

The vote attracted a 75 per cent turnout with 60.6 per cent of tenants voting in favour of the council's proposals - which will now be the subject of the Secretary of States consent.

The move has been criticised by the Chester-le-Street Defend Council Housing campaign, which has fought for two years to stop the transfer.

Opponents have argued existing funds are already available and condemned the Government for ending "direct investment and local democratic control of affordable rented houses".

The vote means the council's homes are on course to transfer later this year, unlocking £67m investment in repairs and improvements to tenants' homes in the first five years after transfer.

Council leaders say tenants' key rights and entitlements will be protected and they will have a bigger say in how their homes and the housing service are run, with tenants having a third of the 15 seats on Cestria's board of management.

Councillor Isabel Smith, the council's housing and community services portfolio holder, said: "This 'yes' vote shows that tenants have listened to the proposals and made an informed decision to transfer.

"The council has worked hard to give tenants the standard of homes they want but, like other councils, we face difficult financial constraints.

"The vote to transfer will unlock all the money needed for the repairs and modernisation tenants have asked for."

Defend Council Housing Campaign chairman Derek Bates said: "We believe the campaign the council followed was nothing less than brainwashing of council tenants.

"Therefore, we will be asking the council for detailed financial expenses for the last two years - either from its own funds or Government's grants and including professional consultants."

The new housing association will be run by a board of 15 volunteer members, made up equally of tenants, councillors and independent people chosen for their skills and experience.

Cestria Community Housing will be regulated by the Housing Corporation, the Government's regulator of Registered Social Landlords.