The ballot is set to be held in June 2000 and will give Moorlands tenants their say over the future of the district's housing stock.

The proposed sell-off has been prompted by a report warning of huge rent increases needed to fund £20 million worth of badly-needed improvements.

Consultants Chapman Hendy say rents would have to rise by 123 per cent in five years to pay for the work

Average current council rents are £41.14, and £19.9 million needs to be spent improving homes to an acceptable standard.

If £7.8 million was spent on improvements by 2004/5 rents would have to rise by 44 per cent to £59.36, and by 123 per cent to £94.07 if all the improvements were carried out.

Chapman Hendy said transferring the stock would restrict rent increases, with average rents by 2004/5 being £57.60 for new tenants and £47.21 for existing tenants.

The Moorlands would receive £15 million from the transfer, of which £9.9 million could be used for capital spending on community projects.

The final decision on the housing sell-off would be made by deputy prime minister John Prescott on the basis of the tenants' ballot.

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