The Funding Committee of Cambridgeshire and Peterborough Combined Authority met on Monday 22 June 2026, approving the business case for the Skills Capital Programme and noting project progress reports. The committee also reviewed and commented on proposed amendments to its Terms of Reference.

Review of Terms of Reference

The committee reviewed proposed amendments to its Terms of Reference, which aim to align with the Combined Authority's Corporate Plan 2025-29 and the Single Assurance Framework (SAF). A key change discussed was the adjustment of approval levels for projects under the SAF. Previously, officers could approve projects up to £1 million, with the Funding Committee handling those between £1 million and £5 million, and the Board for projects over £5 million. The revised terms propose that officers can approve business cases up to £2 million if funding is aligned with the Medium Term Financial Plan (MTFP), with concept papers requiring Funding Committee or Board approval. Projects over £2 million and up to £5 million can be taken to the Funding Committee for approval, provided funding is within the MTFP. Concept papers and business cases over £5 million will be presented to the Combined Authority Board.

Councillor Karen Young raised concerns that this might lead to less control over finances, while Councillor Mohammed Jamil questioned if this would slow down decision-making. Officers explained that the changes were intended to streamline processes and focus on higher-level matters, with concept papers now requiring committee oversight to ensure members were aware of ideas before budgets were allocated. The committee resolved to recommend these revised Terms of Reference to the Combined Authority Board for acceptance and incorporation into the Combined Authority's Constitution.

Skills Capital Programme Business Case Approval

A significant decision was made to recommend the approval of the business case for the Skills Capital Programme (Post-16 Capacity) to the Combined Authority Board. This programme, totalling £15,143,069, is funded by the Department for Education (DfE) and aims to expand post-16 education capacity across Cambridgeshire and Peterborough. It will address demographic growth in 16-19 learners and increase construction skills provision to meet employer demand. The programme will also integrate residual funding from the FE Cold Spots programme, totalling £689,000, to enhance its impact.

Caroline Fairhurst, the former employment project manager, presented the business case, highlighting that it is a programme-level case designed to establish the overall funding envelope, delivery model, and governance arrangements. Individual projects will be co-developed with providers through a formal application process and will return for approval at a later stage.

Concerns were raised by Councillor Bridget Smith about the sufficiency of revenue funding within the capital programme and the accessibility of new facilities for young people, particularly regarding transport. Caroline Fairhurst confirmed that £107,000 of revenue funding from the FE Cold Spots programme would support the project, and that while DfE funding is restrictive, the residual FE Cold Spots funding offers flexibility for more innovative approaches. Councillor Keith Horgan noted the sadness that the FE Cold Spots budget was not fully spent, but was reassured that significant investment was still happening in St Neots, with two other projects ensuring 16-18 year olds could access provision.

The committee unanimously recommended the business case for approval to the Combined Authority Board.

Project Progress Report

The committee received an update on project delivery across the Combined Authority, including the Strategic Projects Dashboard and the wider portfolio. Nathan Quante, who introduced the report, noted that there were no red-rated strategic projects, with six rated amber and six green . In the wider portfolio of 38 in-delivery projects, two were rated red , 12 amber , and 22 green .

Councillor Steve Count inquired about the delay in the drawdown for the Nature and Environment Investment Fund, which was rated red . Adrian Powell explained that the delay was due to the complexity of the scheme, which was structured around a loan approach rather than a grant, and reticence from landowners due to uncertainty around government sustainable farming initiatives and tax positions. He expressed confidence that the situation was improving with more propositions coming forward. Councillor Count suggested reviewing the scheme to make it more attractive.

Councillor Keith Horgan raised concerns about the amber rating for the Bus Franchising Programme, questioning what was needed to move it to green . Nathan Quante explained that large strategic projects often carry significant risks, making it difficult to achieve a green rating. Councillor Horgan highlighted the unique challenges faced by the Combined Authority as the first rural county to proceed with franchising, lacking city deal funding and facing significant risks if patronage did not meet expectations. He expressed hope for a change in government finance. The committee was informed that the Transport Committee had considered a review of the programme, with the findings going to the Board next month, which would hopefully provide reassurance.

The committee was asked to note the report, and no vote was required.

Election of Vice-Chair

Councillor Keith Horgan was unanimously appointed as the Vice-Chair of the Funding Committee for the municipal year 2026-27.

Minutes of the Previous Meeting

The minutes from the meeting held on 5 January 2026 were approved as an accurate record.

Officer Decisions

The committee noted the Officer Decisions for projects under the Single Assurance Framework delegation from Funding Panels held on 03 March, 15 April, and 02 June 2026. These included approvals for the FE Teacher Industry Exchange Programme, Changing Futures, and the National Cycle Network School Neighbourhoods project, as well as various change requests for existing programmes.

Work Programme and Date of Next Meeting

The committee noted its Work Programme and the date of the next meeting, scheduled for 7 September 2026.