This article was first published by Public Finance.

Local government seems to have a love/hate relationship with quangos.  On the one hand, councils have in general been supportive of the current government's efforts to reduce the number of quangos (or arms-length bodies as they're more correctly known).  But back at the town hall, councils are actively considering setting up local ALBs to run services in key delivery areas, especially in housing and children's services.