The possibility of using public sector housing to disperse black people across our cities in the interest of racial integration is again attracting attention. Based on an analysis of housing department records, this article examines the effects on Birmingham's black settlers of the operation of one particular policy of racial dispersal. Having described the events leading to the introduction and ultimately the termination of the policy, the article proceeds to investigate the locations in which Asian, West Indian and native white tenants were housed, their area preferences, and the housing categories from which their allocations were made, as well as their ‘points’ levels on allocation. The article concludes by arguing that, on these dimensions, the consequences of the policy for black people were almost entirely negative.