The Shareholder Committee of Ealing Council was scheduled to discuss the closure and wind-down of two of the council's wholly-owned housing development companies, Broadway Living (BL) and Broadway Living RP (BLRP). The meeting's agenda also included the approval of the minutes from the previous meeting held on 11 March 2026.

Closure and Wind-Down of Broadway Living (BL) and Broadway Living RP (BLRP)

The primary focus of the meeting was the proposed orderly wind-down of Broadway Living Ltd (BL) and Broadway Living Registered Provider Ltd (BLRP). These companies were established to accelerate the delivery of affordable housing in Ealing. However, recent external reviews indicated that they are no longer financially sustainable as standalone entities due to challenges such as rising construction costs, increased interest rates, and the collapse of BLRP's main contractor.

The report pack outlined a recommended approach where all homes and assets of BLRP and BL would be transferred to the council's direct ownership, specifically into the Housing Revenue Account (HRA). This measure is intended to ensure no loss of affordable housing and to protect tenants' rights. Following these transfers, the companies would be wound up through a Members' Voluntary Liquidation (MVL).

The report detailed that independent reviews by Campbell Tickell and Grant Thornton had concluded that continuing operations unchanged was not a viable option, as it would lead to rising debts and eventual insolvency. A full council-funded bailout was also deemed unviable. The preferred scenario, supported by these reviews, involves the transfer of assets to the council, followed by the liquidation of the companies. This approach aims to safeguard public assets and finances, retain control over affordable homes, and streamline decision-making.

The report recommended that the Shareholder Committee provide consent for:

• The transfer of the whole business of BLRP and BL to the council.
• The sale of all properties owned by BLRP to the council, at valuation.
• The sale of all properties owned by BL, either to the council or a third party, at valuation.

It was also noted that a further report might be presented to the committee if shareholder resolutions are required to support the boards in making a solvency statement prior to the MVL.

Delegated authority was recommended to be granted to the Strategic Director of Economy & Sustainability to make decisions on behalf of the shareholder concerning the transactions and eventual wind-down.

The financial implications of this proposal include a projected debt and equity write-off of £6.550m. The council has advanced £40.761m in loans to BL and BLRP. Based on draft valuations, the council could potentially recover £36.348m before costs. The outstanding debt balance will be charged to the General Fund over 50 years. The report also highlighted potential financial risks, including the repayment of GLA grants, further accrual of capitalised interest depending on the timing of the transfer, and tax implications.

The report also addressed legal, equality, and risk management implications. It stated that there were no adverse equality implications, as all tenants would continue to be housed in their current homes with preserved or improved rights. The closure is described as an administrative change that should not negatively impact any protected characteristic group. Key risks, such as the timing of the transfer and tenant consultation, are being managed through careful planning and professional advice.

Minutes of the Meeting Held on 11 March 2026

The committee was scheduled to approve the minutes from the previous Shareholder Committee meeting held on 11 March 2026. The minutes from that meeting indicated that the committee had approved the appointment of Jennifer Peters and Tamara Quinn as Directors for Greener Ealing Ltd. They also resolved to enter a closed session to discuss and resolve matters relating to exempt appendices concerning the Greener Ealing Limited Business Plan for the financial year 2026/27 and the Shareholder Report for Q3 2025/26. Additionally, the committee discussed and resolved resolutions relating to a variation of a contract.