Executive - Thursday, 18th July, 2024 7.00 pm
July 18, 2024 View on council website Watch video of meetingSummary
The Executive voted to approve all of the items on the agenda, including the adoption of the People Friendly Streets Individual Exemption Policy, a new payment plan for leaseholders facing major works charges, and the extension of a contract for parking enforcement services. Councillors also discussed the redevelopment of the Finsbury Leisure Centre, a new strategy for tackling food insecurity, and the renewal of the lease on two units of the Bush Industrial Estate.
Finsbury Leisure Centre Redevelopment
Councillors heard a report on the proposed redevelopment of the Finsbury Leisure Centre. The project has entered its third phase of design work (RIBA Stage 3) and has been the subject of extensive design review and public consultation. The scheme would deliver 100 new council homes, 98 homes for sale, a new home for the City Road Medical Practice, and a new leisure centre designed to meet the requirements of Sport England. In addition, the scheme will include new public spaces, play spaces, and a landscaped courtyard garden.
Construction costs for the project have risen significantly since the previous report, and the overall scheme cost now stands at £157.7m, including an allowance for “optimism bias”1.
We have a degree of construction cost certainty at this stage, as well as a number of risk mitigations including a contingency of £32 million.
Councillor O’Halloran introducing the report.
The cost of concrete has been a particular issue, and the project team has focused on reducing the amount of concrete that will be used in the project. The cost of the project is expected to be met through a combination of the sale of private flats, grant funding, and the use of Right to Buy receipts. The sale of private flats is expected to raise £76.4m, and the council is also hoping to secure grant funding from the Greater London Authority. The increase in the cost of the scheme means that the General Fund2 will face a shortfall of £31m, and the Housing Revenue Account will face a shortfall of £3.2m. The report proposes that the General Fund shortfall be covered by reallocating existing capital programme funding and that the HRA shortfall is already factored into the approved HRA budget.
Several members of the public expressed concerns about the project. One speaker questioned the viability of the scheme given the current state of the housing market. Another speaker was concerned that the development would lead to the loss of one of the last open green spaces in the Bunhill ward. The Executive responded by noting that the scheme would deliver much needed affordable housing for local residents, alongside the provision of new leisure facilities, and would result in an overall improvement to the local environment.
The Executive voted to approve the report, and the project will now move into its fourth phase of design work (RIBA Stage 4), with a further report on viability to be brought back to the Executive in the Autumn.
Food Insecurity for Families
Councillor Comer-Schwartz introduced a report proposing a new strategy for tackling food insecurity in the borough. The strategy will be funded by a combination of the government's Household Support Fund and offset funding released by the Mayor of London's grant for universal free school meals.
The strategy has several components:
- £1.4m to fund supermarket vouchers for children eligible for Free School Meals over the Summer Holidays.
- £200k to provide support to households in receipt of benefits whose income has been reduced as a result of deductions.
- £474k to provide support to households identified as being the least financially resilient.
- £100k to help care leavers and households facing exceptional housing costs.
- £250k to fund an application process allowing disabled households to apply for additional financial support.
Councillor Comer-Schwartz also set out a range of proposals for how to use offset funding that has been released as a result of the Mayor of London’s decision to fund universal Free School Meals at Key Stage 2:
- £1.19m to fund supermarket vouchers over the school holidays from September 2024 to April 2025 for children and young people eligible for Free School Meals.
- £150k to fund a communications campaign and a package of financial advice and support aimed at those households who will no longer be receiving supermarket vouchers after September 2025.
- £45k to extend the Healthy Start Voucher scheme to include four year olds.
- £40k to provide supermarket vouchers to care leavers.
- £710k to fund a new team of Attendance Mentors aimed at addressing poor school attendance. This is an important area as families in food poverty often rely on their children receiving school meals and Attendance Mentors will play a crucial role in: > actively engaging students, families and school staff to promote regular attendance and reducing absence.
Councillor Comer-Schwartz introducing the report.
- £200k to top up the Resident Support Scheme which provides a range of financial support to residents in need.
The Executive voted unanimously to approve the recommendations.
Major Works Payment Options Review
Councillor O’Halloran introduced a report on a review of payment options for leaseholders facing major works charges.
The report notes that the cost of major works has risen considerably over recent years, and that many leaseholders are struggling to pay their bills. In 2023, the average major works service charge in Islington was £12,392, up from £6,235 in 2022. The highest charge in 2023 was £65,000, up from £27,000 in 2022. The report recommends the introduction of several new payment options, including a five-year, interest-free option and a 25-year payment plan for bills over £15,000. The report also proposes to continue offering voluntary charges for bills of at least £3,000 to leaseholders who are elderly or vulnerable.
As a Council, we're always looking at being a fairer Council. And this will definitely give fairer options to leaseholders in a time when we know prices of things are going up.
Councillor O’Halloran introducing the report.
Councillor Russell welcomed the proposals but questioned whether the council was taking on an unacceptable level of risk:
I do welcome the fact that you are addressing the issue of leaseholders struggling with bills for major works…I just wonder, is there a risk to the Council that for some people these bills will never be payable?
Councillor Russell.
Councillor O’Halloran responded by confirming that the proposals would require a thorough assessment of an individual’s ability to pay and that unpaid debts would be recovered by the council if necessary.
every case will be case by case. And there will always be those that may be the case where people can't pay. But we will definitely recuperate it even if it is after death because we have a duty to our tenants as well.
Councillor O’Halloran.
The Executive voted to approve the proposals.
Renewal of Lease – Units 9 and 10 Bush Industrial Estate
Councillor Diarmaid Ward introduced a report proposing to renew the lease of two units on the Bush Industrial Estate in N19.
The two units house the council's in-house joinery and a counter service for the repairs team. The report notes that the current lease expires on 8 July 2024. The council has been retendering its building and construction materials contract, and the approved procurement strategy requires the contractor to operate from a local store with counter service.
It's one of the things I am most proud of in this council is the fact that we're making window frames, we're making doors. So few councils do this.
Councillor Ward introducing the report.
The report recommends that the lease of the units be renewed for a period of 10 years, with a break clause in year three. This will allow the council to reassess its options, including relocating the services to other council-owned buildings as part of its ongoing FutureWork Programme.
Councillor Halloran suggested a site visit for councillors who may be unfamiliar with the units:
It's offered as a tour for new Councillors, but we can always arrange it. I think some of your colleagues have been, but it is worth going.
Councillor Halloran.
The Executive voted unanimously to approve the proposals.
Summer Medium Term Financial Strategy Update
Councillor Diarmaid Ward introduced a report on the council's Medium Term Financial Strategy (MTFS), setting out the financial challenges that the council is facing over the coming years.
The report provides a forecast of the council’s budget gap for 2025/26 and beyond. The main finding of the report is that the council will need to make significant savings in the coming years to maintain a balanced budget.
The revised financial strategy projects that the council’s budget gap will be £23.1m in 2025/26, rising to £107.2m by 2029/30. This increase is largely due to inflation, demographic growth, and the rising cost of social care.
If anyone was in any doubt about the financial challenges that the council faces over the next few years, then Table Two in this document says it all. We have a huge uphill journey to make. And that is on top of the very, very hard choices that we have made, frankly, over the last decade, a decade of austerity.
Councillor Ward introducing the report.
Councillor Russell questioned what Councillor Ward considered the most significant risk to the council’s financial position:
which of the risks is the risk that you are most concerned may materialise?
Councillor Russell.
Councillor Ward declined to provide an answer:
I don't have a kind of hierarchy of risk on this…genuinely, I think all of the risks are important.
Councillor Ward.
The report was noted by the Executive.
People Friendly Streets Individual Exemption Policy
Councillor Champion introduced a report recommending the adoption of a new policy providing exemptions for residents experiencing “considerable difficulty” or “overwhelming psychological distress” as a result of having to sit in a vehicle for longer periods or changing routes because of the new traffic filters. The report proposes to adopt the Individual Exemption policy as implemented for the trial period that has been operating since January 2023 with two amendments:
- A change in the wording to reflect the existing guidance on applications for exemptions from non-Islington residents. This requires non-residents to demonstrate that they regularly travel in Islington.
- The introduction of discretion to issue one-year exemptions where appropriate, for example to residents receiving treatment for a condition expected to improve in a year or less.
Councillor Champion opened her remarks by summarising the objectives of the council’s People Friendly Streets Programme:
an attempt to change our streets is incredibly important. We need to enable more walking, cycling, wheeling and that has a massive and significant benefit to the health and well being of local people.
Councillor Champion introducing the report.
Mr Martin made a deputation arguing that the new exemption policy is inadequate and that the council has not taken the concerns of disabled residents seriously:
I sat in this chamber in 2021 outlining my concerns about the consultation surrounding low traffic neighbourhoods. And not to say that much hasn't changed, but I could have used that very same deputation this evening and the same points would be equally valid.
Mr Martin.
Councillor Russell welcomed the report, noting in particular that the council’s approach had been informed by engagement with disabled residents:
thank you Rowena for kind of doing this piece of work to try and make the low traffic neighbourhood exemptions work better for disabled people…I note that Transport for All are one of the groups that contributed and fed back on this policy.
Councillor Russell.
Councillor Russell questioned the complexity of the application process and the evidence requirements for those applying for exemptions:
the kind of feedback that I've had as a counsellor from some people has been that the application process has felt very complicated, quite intrusive. And that the kind of medical evidence piece is quite a high bar.
Councillor Russell.
Councillor Champion responded by reiterating the council’s commitment to providing exemptions where appropriate and defending the need for an application process and evidence requirements:
I completely accept that we will have disagreements about what we do. I do think having gone through the journey, having spoken about it, this actually is a policy which does take into account all the circumstances and that does include our legal duties under the Equality Act.
Councillor Champion.
The Executive voted to approve the proposals.
Extension to the Existing Parking Enforcement Contract
Councillor Champion introduced a report proposing to extend the council's existing parking enforcement contract. The contract is with NSL Ltd and is due to expire in September 2024.
The report recommends extending the contract for a period of seven months to ensure a successful procurement of a new parking enforcement contract. The extension will allow the council to:
- Complete a new procurement process for a replacement parking enforcement contract.
- Ensure the continuation of parking services, should there be any delay in the process to procure a new contract.
Councillor Russell asked whether the extension would provide the council with an opportunity to add in enforcement against engine idling:
is this an opportunity to add in the enforcement against engine idling? It's one of the things that has always been very difficult to get enforcement of.
Councillor Russell.
Councillor Champion agreed to explore this, noting that engine idling is a difficult issue to enforce.
I think it is, as you say, quite difficult, but I can take that away and ask.
Councillor Champion.
The Executive voted unanimously to approve the proposals.
Islington Together: Next Steps
Councillor Comer-Schwartz introduced a report on a new plan to deliver the Council’s corporate strategy – Islington Together 2030.
Islington Together 2030 sets out an ambition to “create a more equal Islington, where everyone is able to thrive” with five missions:
- Child Friendly Islington
- A Safe Place to Call Home
- Fairer Together
- Greener, Healthier Islington
- Community Wealth Building.
The new Delivery Plan covers the period from July 2024 to July 2026, and includes a detailed programme of work setting out the actions that the council will take to deliver each of these missions. The Delivery Plan will be underpinned by a revised approach to business planning. Each directorate will produce a Business Plan outlining how it will deliver its objectives. These will be supported by a new set of performance indicators, designed to demonstrate progress against the five missions.
The report proposes to rename the ‘Fairer Together’ mission to ‘Empowering People’ to reflect a renewed focus on community voice and influence. The report also proposes the establishment of an Islington Together Change Programme. This programme will oversee and deliver a wide-ranging set of reforms, designed to ensure that the council is best placed to deliver the objectives set out in Islington Together 2030. This programme is being established against a background of ongoing financial pressure.
We have weathered through challenging financial settlements over the last ten years and have continued to deliver on our ambitions for residents…we do need to change as an organisation to respond to these different demands and expectations; and to continually evolve and improve.
Councillor Comer-Schwartz introducing the report.
The council will produce a new ‘Change Framework’ setting out the principles that will underpin its approach to change management:
- Start with our residents; understand need then plan collaboratively
- Focus on Islington Together, our missions and the outcomes
- Design informed by data and insight
- Do it together and empower others
- Test, learn and evaluate (remember what works already)
In addition to these proposals, the report also recommends a number of specific changes aimed at ensuring that the council is making the best use of its resources:
- A more strategic approach to data management and analysis.
- A renewed focus on partnership working.
- An improved digital offer for residents.
The report was endorsed by the Executive.
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Optimism bias is the demonstrated tendency for appraisers to underestimate the time and cost of delivering a project. In this case, the cost of the project has been increased by 10% to reflect the likely impact of optimism bias on the projected cost. ↩
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The General Fund is used by councils to pay for day to day services, like collecting bins, running libraries, providing social care, and maintaining parks and green spaces. ↩
Attendees
Documents
- Appendix 1 24.07.18 Finsbury Leisure Centre and Residential CGIs
- Appendix 3 FLC Viability 5 DRAFT comparison - Jun 24 vs Aug 23 other
- Appendix 7 240417 V3 FLC Full EQIA other
- Appendix 4 24.03.28 - FLCR - Risk Register Rev 21 Current other
- Food Strategy and the Mayors Fund final other
- Minutes of Previous Meeting other
- A- Islington Together Delivery Plan 2024_26 v2
- Summer MTFS Update Report - 2025-26 to 2029-30 1 002
- Leaseholders major works payment options 002 other
- Public reports pack 18th-Jul-2024 19.00 Executive reports pack
- Appendix A - GF MTFS 2025-26 1
- APPENDIX B
- DRAFT Islington Together Next Steps FINAL 06062024 other
- Appendix D EQIA Screening Tool 2023 - Islington Together Next Steps FINAL
- C- LB Islington Productivity Plan July 2024 other
- LeaseholdersAppendix 3 Equality Impact Assessment
- FLCR Executive 18 July vFINAL
- Executive Report for Renewal of Lease Unit 9 and 10 Bush Industrial Estate other
- Appendix 2 Site Plan Unit 9 and 10 Bush Industrial Estate other
- Individual Exemption Appendix 3 EQIA
- Parking Contract Extension MASTER COPY Final
- Individual Exemptions Exec Report 18062024 other
- Appendix 2 Individual Exemptions trial report
- Decisions 18th-Jul-2024 19.00 Executive other
- Agenda frontsheet 18th-Jul-2024 19.00 Executive agenda