The Shareholder Committee of Cherwell Council convened on Wednesday, 26 June 2024, to discuss several key issues, including the Graven Hill Village Development Company (GHVDC) bonus scheme update, the financial performance of council-owned companies, and the future strategy for these entities. Decisions were made regarding the bonus scheme and the strategic direction of the council's investments.

Graven Hill Village Development Company (GHVDC) Bonus Scheme Update

The committee reviewed the Graven Hill Village Development Company (GHVDC) Bonus Scheme 2024/25 Update. The scheme aims to incentivise employees of GHVDC to meet specific performance targets. The committee approved the updated bonus scheme after a detailed discussion on its merits and potential impacts.

Councillors debated the effectiveness of the bonus scheme in driving performance. One councillor noted, The bonus scheme is essential for aligning the interests of the employees with the strategic goals of the company, while another raised concerns about the financial implications, stating, We must ensure that the bonus scheme is sustainable and does not place undue financial strain on the company.

Financial Performance of Council-Owned Companies

The committee examined the financial performance of council-owned companies, focusing on their profitability and contribution to the council's budget. The discussion highlighted the need for improved financial oversight and strategic planning to ensure these entities continue to deliver value for money.

A councillor emphasised the importance of transparency, saying, We need to ensure that the financial performance of these companies is regularly reviewed and that any issues are promptly addressed. The committee agreed to implement more rigorous financial monitoring and reporting mechanisms.

Future Strategy for Council-Owned Companies

The committee discussed the future strategy for council-owned companies, considering various options to enhance their performance and contribution to the local economy. The discussion included potential investments, divestments, and restructuring to optimise the portfolio of council-owned entities.

One councillor argued, We should explore opportunities for strategic partnerships and investments that can drive growth and innovation, while another cautioned, We must be mindful of the risks associated with new investments and ensure that they align with our long-term objectives.

The committee decided to commission a comprehensive review of the council's investment strategy, with a focus on identifying opportunities for growth and ensuring alignment with the council's broader economic goals.

For more details, you can refer to the Agenda frontsheet and the Public reports pack for the meeting.