The Executive, Resources and Contracts Policy Development and Scrutiny Committee meeting on 19 January 2026 focused on the Council's financial strategy, transformation programme, and efforts to support small businesses. Key decisions included noting the draft budget and financial strategy, supporting the progress of the transformation programme, and recommending further promotion of Bromley-based businesses. The committee also discussed the issue of empty homes and reviewed the corporate risk register.

Draft Budget and Financial Strategy

The committee considered the draft 2026/27 Budget and an update on the Council's Financial Strategy, which highlighted significant budget issues projected for the coming years. The Provisional Local Government Finance Settlement for 2026/27 was described as very disappointing for Bromley, with projected cash reductions of £22 million per annum by 2028/29, escalating to £30.5 million in real terms. This reduction is attributed to the Government's Fair Funding 2.0 review. The report also noted cumulative Dedicated Schools Grant (DSG) deficits and the ongoing need to fund the capital programme. The Director of Finance explained that budget changes were a result of inflation, growth cost pressures, and transformation mitigation. The Assistant Director for Strategic Property provided examples of transformation projects within the Property Division, such as the Operational Property Review and disposals programme. The committee noted significant cost pressures in housing, although ongoing mitigation efforts had reduced the level of growth in this area. The recommendations were supported.

Transformation Report 2024-2028 Two Year Progress Report 2025-26

This report detailed the progress of the Council's 'Transforming Bromley' programme, which aims to improve services, deliver savings, and mitigate growth. The programme has been central to the Council's Corporate Strategy, Making Bromley Even Better. During the first two years, 95% of the 138 initial opportunities identified had been progressed, leading to circa £50 million in identified savings. For the 2024/25 year, £18 million of savings were achieved. For 2025/26, an additional £32.5 million in savings were identified, contributing £29.3 million towards balancing the Medium Term Financial Strategy (MTFS) gap for 2026/27. The report noted that £1.5 million of these savings were attributed to the staffing budget, to be achieved through realignment, deletion of vacant posts, and a small number of redundancies. The Chief Transformation Officer confirmed that £9.3 million of savings options directly related to the Pension Fund and stressed the ongoing need for savings and efficiencies. The committee was cautioned about downgrading the transformation risk on the Risk Register. Savings related to Artificial Intelligence (AI) were also discussed, with efficiencies noted in areas like Human Resources, requiring behavioural and cultural change. The recommendations were supported.

Notice of the Urgent Award of a Contract for the Direct Payment Support Service

The committee was informed of the urgent award of an interim Direct Payments Support Service contract to The Disability Syndicate. This action was taken by the Director of Social Services under the Council's Contract Procedure Rules due to the insolvency of the previous contractor, Vibrance Ltd. The contract, valued at £563,907 over 24 months, was directly awarded following agreement with relevant portfolio holders and directors. The report was to be read alongside a Part 2 report detailing the financial implications of the previous contractor's insolvency. The Director of Adult Social Care confirmed that due diligence on the previous contract had been undertaken as part of routine monitoring, and lessons learned were being reviewed, including more regular financial checks. Neither Bromley nor other local authorities had identified emerging issues with the previous contract. Checks with the new provider included due diligence, direct access to resident accounts, and limits on funds held by the provider. The committee commended officers for their swift action, noting that no residents had been impacted. The recommendations were supported.

Referral from RRH PDS: Empty Homes

This item concerned an update on the Council's position regarding empty homes in Bromley, which had been previously considered by the Renewal, Recreation and Housing PDS Committee. A member of that committee had proposed expanding the empty homes premium to apply to properties empty for more than one year, as permitted by national legislation. The Executive, Resources and Contracts PDS Committee was asked to consider this recommendation. The Head of Regeneration confirmed that there were no updated figures on properties empty between one and two years, and emphasised that the earlier estimate of potential income from a one-year levy was approximate and likely lower due to exemptions and properties empty for social care reasons. Clarification was provided that the 3,068 long-term empty properties included private, registered social landlord, and Council-owned homes. The committee noted a high number of properties empty for over 10 years and requested information on exemptions for these and properties empty for 5-10 years. Following debate, the committee resolved that the Executive should consider having a further report back at a future date.

Procurement: Supporting Small Businesses

The report provided an overview of the Council's approach to removing barriers for Small and Medium Sized Enterprises (SMEs) in procurement. Members commended the report and the ease of registering as a supplier, suggesting further promotion through Council channels. The Assistant Director for Governance and Procurement acknowledged the need for website enhancement and confirmed ongoing engagement with local business networks. The committee discussed potential regulatory changes in 2026 and the need for improved data collection systems. The Assistant Director confirmed that work on the Bromley Procurement Priorities document was planned for later in the year, with a report anticipated by late summer/early autumn. The report was noted, and the Portfolio Holder and Executive were recommended to consider further ways to strengthen and promote the use of Bromley-based businesses.

Risk Register

The committee reviewed the current iteration of the Corporate Risk Register, along with those for Corporate Services, Finance, and Human Resources and Customer Services. Members requested that officers reflect on comments made regarding downgrading the transformation risk to 'amber' and consider adding a risk concerning third parties holding Council funds. A query was also raised about whether the Pensions Fund's strong performance should be reflected in the Risk Register, considering the risk of reduced future performance. The report was noted.

The meeting concluded with the exclusion of the press and public to consider exempt information relating to Matters Outstanding and Work Programme and an urgent award of a contract for the Direct Payment Support Service.