The arms-length group took control in April 2005

Nottingham City Homes (NCH), which manages 32,000 council homes, said it was making its policy more transparent.

The move comes after the Audit Commission said in March that hundreds of people had been allowed to jump the queue in just six months.

NCH will now list all vacancies on the internet and in local newspapers.

One star

The new interim head of NCH, David Hucker, has introduced a system called Homelink that allows people to see where they are on waiting lists and lists the full range of properties available.

NCH was awarded only one star in the March report and its prospects for improvement were rated "uncertain".

Spokeswoman for NCH, Maureen Harkin, reassured tenants that systems had been put in place to prevent any further problems over allocation.

"Every staff allocation or allocation to a board member or councillor has to be declared and you cannot allocate a property to someone you know any more," said Ms Harker.

The report also said there was not enough investment in housing stock to meet the government's Decent Homes Standards, and called for a further �260m in funding.

It also criticised the group, officially known as the Arms-Length Management Organisation (Almo) for a lack of proper maintenance work.