CRAVEN District Council took an important step this week towards transferring its housing stock to Craven Housing, a newly formed subsidiary of the Yorkshire Housing Group.

The council agreed to proceed with the proposal to transfer the stock having agreed an overall valuation package negotiated by the council's officers and Craven Housing.

Details of the valuation will remain confidential until contracts have been signed between the two organisations.

But before that can happen, the transfer must be approved by the Secretary of State and Craven Housing needs to register with the Housing Corporation.

Once these tasks have been done, the signing of contracts and the subsequent transfer should take place towards the end of March 2003.

After that, Craven Housing will be responsible for the day-to-day management of what is currently the council's housing stock. Craven District Council will retain a strategic role, influencing future provision of housing for those in need.

Leader of the council Coun Carl Lis, said: "The council took what I believe to be one of the most important decisions it has ever taken. Transfer was the only real option, taking account of the Government's approach to housing management and maintenance.

"The transfer of an excellent group of employees to Craven Housing, together with the valuation package agreed, means that Craven Housing will have an excellent base to start from.

"I look forward to it continuing to give the tenants the very high level of satisfaction they have become used to from Craven District Council.

"We expect to see substantial investment in the improvement of the housing stock by Craven Housing. This is something the council would not have been able to do had it kept the stock because of financial restrictions.

"We have to remember that all that is really changing is who manages the houses: in the future that will be Craven Housing not Craven District Council. There will still be a substantial stock of houses in the district for those in need."

The leader of the council's Conservative Group, Coun Helen Firth, said: "I am very pleased that the council has taken what is probably one of the most important decisions it will ever make. We believe that this deal is the best for ratepayers, tenants and employees."

John Sykes, director designate of Craven Housing, added: "The council and Craven Housing have worked extensively with tenant representatives to make sure we deliver the best services possible after transfer."