Decision

Biodiversity Net Gain on Council Land

Decision Maker:

Outcome:

Is Key Decision?: No

Is Callable In?: Yes

Date of Decision: March 9, 2026

Purpose:

Content: Salford City Council – Record of Decision   I, Councillor Jack Youd, Deputy City Mayor and Lead Member for Finance, Support Services and Regeneration in exercise of the powers contained within the City Council constitution and in consultation with Cabinet, do hereby:   a)    Note, the proposal to utilise the ‘Responsible Body’ route offered by GMCA for the purpose of creating and selling Biodiversity Net Gain (BNG) units on Council owned land; b)    Approve the selection and designation of up to five sites proposed for habitat bank creation as detailed in section 3 of the report; and c)    Delegate authority to the Executive Director of Place to finalise the designation and delivery of the sites selected for habitat bank creation, including the timing of bringing the sites to market and the signing of Conservation Covenants with GMCA.   The Reasons are In order to facilitate the creation of biodiversity credits on city council land, creating improvements in biodiversity and benefits for Salford residents, as well as facilitating development within Salford and contributing to the long term management of some of the city’s greenspaces. Assessment of Risk is medium There is some risk because this is a new area of work for the council. The risk is mitigated because the Responsible Body chosen is GMCA, a trusted partner and by careful preparation in terms of research into costs, habitat measures and the emerging market. Not taking action would result in the continued loss of biodiversity unit sales to habitat banks outside the city, including when the council itself needs to purchase units to facilitate its own development.   The source of funding for the GMCA subscription will initially be from the Regeneration core revenue budget, where sufficient contingency provision is available to absorb the costs. Once the scheme is operational, income generated from the sale of BNG units will be used to fund the ongoing subscription   Legal Advice obtained from: Robert Irvine – Manchester City Council Legal and Democratic Services   The legal implications of determining that up to five council-owned sites should be used as habitat banks are set out in the body of the report. In particular, there will be a need to secure any of those sites being brought forward as a habitat bank through an appropriate legal mechanism, such as the proposed Conservation Covenants. The precise details and implications of those conservation covenants will be the subject of negotiation on a site-by-site basis, the consideration and determination of which is proposed to be delegated to the Executive Director of Place, but the broad principles are outlined in the report.   Financial Advice obtained from: Ethan Bestwick – Accountant   The report sets out that this is a new area of activity for the council, and the wider market for Biodiversity Net Gain (BNG) credits is still at an early stage of development. As a result, prices per unit may fluctuate as more credits become available to the market. However, using the indicative values referenced in Annex 2 of the report, the model demonstrates, based on current market conditions that this project would generate more than enough income to cover its costs. In fact, the price per unit could drop 30% and the scheme would still remain financially viable. The initial financial risk to the council arises from the upfront expenditure required to prepare the sites, secure the necessary assessments, and verify the number of units available. If no units were subsequently sold, these costs would not be recovered. While this scenario cannot be ruled out, it is considered unlikely given the evidenced demand for BNG units within the region.   Procurement Advice obtained: N/A   The following documents have been used to assist the decision process:   Greater Manchester Local Authority Briefing Note – Off-Site Biodiversity Net Gain Responsible Body Service (12th December 2025; made publicly available 5th December 2025) DDN for the Responsible Body Service   Contact Officers: Fiona Fryer:                           01617796044 Jo Regan:                              07977248959   The appropriate scrutiny committee to call-in the decision Growth and Prosperity Scrutiny Panel.   Signed: Councillor Jack Youd       Deputy City Mayor and Lead Member for Finance, Support Services and Regeneration Dated: 9th March 2026     *           This decision was published on Monday 9th March 2026                                              *           This decision will come in force at 4.00 p.m. on Monday 16th March 2026 unless it is called-in in accordance with the Decision Making Process Rules.