A TEESSIDE council could be at the centre of a shake-up in the payment of housing benefit.

Middlesbrough is the only borough council in the North-East to have been chosen as a pilot area for a scheme where benefit will be paid direct to claimants.

With nine other local authorities it will discuss the initiative with Government ministers.

Work and Pensions Secretary Andrew Smith said: "This is an exciting opportunity for these councils to lead the way in bringing in this new, simpler, fairer housing benefit system.

"This will mean a better deal for private tenants and landlords, cutting fraud and making it easier for people to move from welfare into work."