A COUNCIL has applied for an extension to bring homes up to a decent standard because of the Olympics.

Acting on advice from the Department for Communities and Local Government (DCLG), Lewisham Council has applied for an extension to the 2010 deadline for Decent Homes.

Local Government Minister Ruth Kelly has offered the extension to councils facing regeneration to make way for the capital's 2012 Olympics.

It is feared a shortage of builders may lead to inflated prices. Originally under the Government's scheme all council-owned properties would be kitted out with basics by the end of the decade.

Councils have a variety of ways to do this, including selling to a housing association or allowing an outside company to manage them under what known as Arms Length Management (ALMO).

Lewisham owns 26,000 properties, 13,000 of which do not currently meet Decent Homes standard.

The council will have around 7,000 undecent' ALMO homes but could not say how many would wait beyond 2010 for improvements.

Cabinet member for customer service, Councillor Susan Wise, said: "This decision will mean residents getting quality refurbishment work done on homes."

The DCLG is considering the application.