by political editor Paul Francis

A plan by five Kent councils to join forces and create a single company to look after 21,000 council tenants has stalled.

The five authorities involved are Dover; Shepway; Ashford; Canterbury and Thanet.

It had been hoped the scheme would get off the ground before next April but it has emerged that formal consultation is now not expected to begin until October at the earliest.

The councils involved have been faced with a number of what have been described as "logistical" problems that have slowed down progress.

Under the initiative, council chiefs want to set up an arms-length company to manage housing stock and housing services, a move that could potentially save as much as £700,000.

Thanet council, which is spearheading the idea, said formal consultation had yet to begin.

A spokeswoman said: "At the moment we do not have a firm timetable or any deadline. It is simply down to the complexities that have arisen."

Under the plan, while each of the five councils would continue to be responsible for their own tenants and continue to set rents, a management board could take charge of maintenance and administration.

About 270 council staff who work in housing could be transferred to the new trust.