Overview and Scrutiny Committee - Wednesday 24th July 2024 7.00 p.m.

July 24, 2024 View on council website  Watch video of meeting
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Summary

The Overview and Scrutiny Committee discussed the Royal Victoria Docks Bridge, plans for the council’s budget, and a scrutiny report on the relationship between young Black men and the borough. The committee agreed to refer the bridge back to the cabinet for reconsideration, agreed the scrutiny report with amendments, and agreed to establish a number of scrutiny commissions.

The Royal Victoria Docks Bridge

The committee reviewed the Cabinet’s June 2024 decision to allocate £13.2 million from the council’s capital budget to part-fund a new bridge across the Royal Victoria Dock.

The bridge, which will be for pedestrians and cyclists only, will link the Silvertown Quays development to the north side of the dock. It forms part of a wider regeneration project, with the developer, the Silvertown Partnership (TSP), planning to construct 6,500 homes and 1.8 million square feet of workspace in Silvertown.

Councillors raised concerns about the cost of the bridge. They noted the council faces a predicted budget gap of £60 million in 2025-2027 and is already overspending its budget by £47 million in the current financial year.

“The budget gap 2025-26 and 2026-27 is £63.3 million,” said Councillor Thelma Ottson. “The estimated budget gap over the fiscal years 2024-25, 2025-26 and 2026-27 is £110 million.”

She argued:

“The Royal Docks Bridge project spends nearly £1 million per year for 50 years on borrowing costs that will require an additional £1 million in revenue savings annually, which is unaffordable given our current £110 million budget gap over the next three years.”

Councillors questioned why the council was contributing to the costs of the bridge, when the developer already had a legal obligation to build it, as a condition of the planning permission for the Silvertown Quays development.

“The bridge is still going to get built with lots of these specifications. If we don’t put the money in, the bridge is still getting built,” Councillor Terence Paul observed.

Executive officers explained that the council’s contribution would pay for the bridge to be wider than it otherwise would have been, to accommodate anticipated future demand.

Councillor Paul suggested that the council’s contribution was effectively a subsidy to the developer.

“Nowhere should we, as a local authority, I don’t care about place-making, we are not in the business of subsidising developers,” he said.

He argued that:

“What we have done is subsidise a developer, which I don’t think is the role of the London Borough of Newham.”

Executive officers acknowledged that they had not produced a detailed business case to justify the council’s investment in the bridge.

The Committee resolved to refer the decision back to the Cabinet for reconsideration, citing concerns about the costs and lack of a business case.

The Relationship Between Black Boys and the Borough

The committee considered a report prepared by the Relationship Between Black Boys and the Borough Scrutiny Commission. The report examined a range of issues affecting young Black men, including educational attainment, employment, and involvement in the criminal justice system.

The report made a number of recommendations to the executive, including:

  • developing a mentoring scheme for young Black men;
  • working with schools to improve educational outcomes for young Black men;
  • providing more opportunities for young Black men to get involved in positive activities.

The committee agreed the report, subject to minor amendments. It will now be referred to the Mayor and Cabinet for a formal response.

Scrutiny Commissions

The committee agreed to establish a number of scrutiny commissions for the 2024-2025 municipal year. These commissions will be responsible for scrutinising the council’s work in specific policy areas.

The following commissions will be established:

  • Housing and Regeneration Scrutiny Commission
  • Education, Children and Young People Scrutiny Commission
  • Crime, Environment and Transport Scrutiny Commission
  • Health and Adult Social Care Scrutiny Commission
  • Budget Scrutiny Commission
  • Relationship Between Black Boys and the Borough Scrutiny Commission

The committee will consider the detailed terms of reference for each commission at a future meeting.