TENANTS of the not-for-profit body managing Worcester's social housing could benefit if the group saves millions of pounds by becoming a registered charity.

The move would allow Worcester Community Housing to take advantage of tax benefits for charitable groups - allowing more money to be spent on improving houses.

"This is a huge opportunity. We're talking about millions saved in taxes directly benefiting Worcester people," said city councillor Martin Clarke as cabinet members backed the decision.

But the authority's legal advisers told councillors that the housing association has always retained the final say on nominations and that the changes should not block their support for the switch.