Agenda item

Councillor Rachael Robathan (Cabinet Member for Finance, Property and Regeneration) to update the Committee on current and forthcoming issues in her portfolio.

4.1       Councillor Rachael Robathan (Cabinet Member for Finance, Property and Regeneration) presented the report and advised that the Council was putting forward its case in respect of the Fair Funding Review and the Business Rates Reform. Turning to regeneration, Councillor Robathan informed Members that the Church Street regeneration scheme was currently subject to a Section 105 options consultation, whilst plans were progressing well regarding phase 1 of the Ebury Bridge scheme which would double the number of homes.

4.2       During discussions, the Chairman sought details concerning the timescale for the Fair Funding Review and what would be the likely effects if the Council’s funding was reduced as a result of this. He also asked if there would be further consultation on this.

4.3       Members raised their concerns about the possibility of reduced funding and the impact it would have in tackling deprivation and homelessness. It was asked whether Westminster could be treated differently in view of the unique circumstances it faced. Members also enquired whether a preferred option had been identified in respect of the Church Street scheme and what were the timescales for this scheme. Members asked if local authorities could appeal against the outcome of the Fair Funding Review.

4.4       A Member commented that a number of properties at Ebury Bridge had remained empty for up to three years and he suggested that these could have been used to provide temporary accommodation. He also stated that there did not seem to be much space for members of the public for committee meetings. Another Member asked how much the Council would keep after the business rates reforms and whether the Council’s pension fund was in sound shape. A Member expressed concern that of the 2,000 affordable homes to be built, only 700 would be social housing and he sought details of how the sales of social housing would be re-invested. Members also requested cost details in respect of the Coroner’s Court.

4.5       In reply to issues raised, Councillor Robathan advised that the Fair Funding Review was likely to be concluded at the end of 2019 and the special circumstances the Council faced, such as homelessness and deprivation, were being raised to strengthen the Council’s case. Deprivation was one of a number of areas at risk and every avenue was being pursued to try to minimise the impact following the review. It was possible to appeal against the Funding Review outcome, but it would be too late to prevent the initial implications of this.

4.6       Councillor Robathan advised that a preferred option in respect of Church Street was yet to be identified whilst it was subject to consultation. With regard to Ebury Bridge, residents had indicated that they did not want the empty properties to be used for temporary accommodation and the clearing of this site was ideal for ‘meanwhile’ use which presented a number of opportunities. She also advised that money raised from the sales of social housing, which only related to studio units, was put back into the Housing Revenue Account and she emphasised the importance of needing to build more new homes and every effort was being made to move this forward.

4.7       Councillor Robathan advised that the Council was unlikely to retain more than 4% of the business rates and Members noted that the Pension Fund was 94% funded and was due to undergo a triennial review. The Coroner’s Court’s costs were shared with the Royal Borough of Kensington and Chelsea and the London Boroughs of Merton and Wandsworth and Councillor Robathan agreed to provide Members with further costs details.

4.8       ACTION:

            Information to be provided on costs in respect of the Coroner’s Court. (Action for: Councillor Robathan and Gerald Almeroth (Executive Director of Finance Resources.)