The Overview and Scrutiny Committee of Merton Council met on Wednesday 14 October 2026 to discuss the Council's priorities and financial performance. Key discussions included the proposed measures for the Borough Plan 2026-2030, the Period 3 Financial Monitoring report, and the Annual Scrutiny Report.

Questions to the Leader and Chief Executive

Chief Executive Hannah Doody provided an overview of the Council's work over the past year, highlighting achievements in housing, adult social care, and public health. She noted the ongoing efforts to reduce households in temporary accommodation and the progress in housing delivery and regeneration. Doody also acknowledged the challenges faced, including recruitment difficulties in specialist areas and the increasing volume of Freedom of Information and Subject Access Requests, partly due to the rise of AI. She introduced the Brilliant Basics programme, aimed at improving core council processes and systems for both staff and residents.

Councillor Max Austin raised concerns about capacity issues within the planning enforcement teams, leading to backlogs and impacting residents. Hannah Doody confirmed that a backlog existed due to recruitment challenges, including the departure of the Head of Planning. An improvement plan has been implemented, with additional independent support brought in to clear the backlog and apologise to affected residents.

Councillor Robert Page echoed concerns about planning enforcement, particularly in his ward, West Barnes, highlighting knock-on impacts on other council services, such as environmental health. He welcomed the performance improvement plan.

Councillor Victoria Wilson inquired about the Council's lowest numbers in temporary accommodation in London and the procurement of safe and secure accommodation. Doody confirmed Merton's continued low numbers but stressed that they were still too high. She highlighted the challenge of supply not meeting demand and the administration's move to acquire council stock to ease pressure. She also addressed the quality of accommodation and the commitment to keeping families close to home, acknowledging the significant impact of moving children away from schools and communities. Wilson also asked about the impact of Artificial Intelligence (AI) on council services. Doody noted AI's use in recruitment and its current significant impact on Freedom of Information requests, requiring a review of capacity and response times. She sees AI having a role in improving efficiency and enabling independence for residents, but stressed a slow and steady approach with a focus on cybersecurity.

Councillor Sebastian Budner asked about new initiatives to build on Merton's success as the Borough of Sport. Doody highlighted the program's growth from an idea of access and opportunity to a significant health benefit, focusing on prevention, engaging children and older people, and tackling childhood obesity. She mentioned the council's ambition for the Borough of Sport, with the entire council behind it.

Councillor Gill Manly raised concerns about the Council's communications strategy, particularly the over-reliance on Facebook, Instagram, and reels, arguing that it does not reach a vast majority of people. She proposed testing calendar-style screens in town centres to display updates on council events. Doody acknowledged the validity of the conversation and the challenge of balancing digital and traditional communication methods, promising to take the ideas away and discuss them with the head of communications.

Councillor Daniel Shearer asked about the main challenges in Doody's role as Chief Executive and how the council could help police officers be closer to the communities they serve. Doody identified workforce challenges, particularly in recruiting to specialist roles like social workers and planners, and the need to invest more in apprenticeships and university partnerships. She also mentioned the ongoing challenge of funding and growing demand, particularly from an aging population. Regarding police presence, Doody confirmed ongoing discussions about co-locating police officers, but noted complexities around space, equipment, safety, and access, as well as police-side red tape.

Councillor Martin Whelton raised concerns about biodiversity net gain, noting that Merton does not have a scheme, meaning developers pay for improvements elsewhere in the country. He asked about the Council's reflections and potential push to establish such a scheme locally, citing the clearing of trees on Wyke Road in Raines Park. Doody reassured that environmental services consider biodiversity high on the agenda and that the council is moving at pace with regeneration and house building, making it the right time to review biodiversity schemes.

Councillor Agatha Mary Akyigyina OBE commended the Borough of Sport initiative and its integration across social services, particularly the repurposing of libraries. She also raised concerns about the potential workforce disruption from AI, asking how the council registers the risk of AI-driven redundancies and if an AI risk strategy exists. Doody stated that it would take a long time to see redundancies and that AI has helped administrators use their hours differently. She is watching and learning about AI in health technology and its potential for enabling independence, but also highlighted the risks of cyber security.

Councillor Paul asked about the Council's plans for Morden town centre regeneration, following the local elections. Doody stated that work had been progressing well before the election, with significant foundation work and political commitment. She highlighted the £30 million financial commitment from the council as a demonstration of its seriousness in taking a lead role. She noted Morden's potential as the only town centre in London with a tube station yet to be regenerated, emphasizing the balance between development and maintaining its family-orientated feel.

Leader Councillor Ross Garrard outlined his priorities for the year ahead, thanking officers and cabinet members for their work. He highlighted the council's sound financial footing, with paid-down debt and value for money recognised by residents. He detailed the administration's focus on getting the basics right since the election, including free bulky waste collections, investment in CCTV, and the success of the Borough Sport programme, with free gym sessions for under 16s and free swimming for over 65s. He announced the Run South London Half Marathon and the annual Sports Day, which saw 7,500 residents attend. Garrard also discussed the new homes program, aiming to build 2,500 homes over 10 years, with 1,500 affordable homes, and reiterated the commitment to Morden town centre regeneration. He mentioned the recent Green Flag award for Brindley Park and investment in town centres, including £150,000 for Mitcham town centre. He concluded by mentioning the revamp of cost of living events and the jobs fair, focusing on job opportunities through Employ Merton and advice on saving money.

Councillor Martin Whelton asked about St Helia Hospital, specifically the potential temporary closure of the maternity unit and the relocation of accident and emergency services. Councillor Garrard stated the administration's firm belief that all services should remain on-site at St Helia. He confirmed ongoing dialogue with the Health Minister and the council's own work to assess the feasibility of keeping maternity services on-site.

Councillor Gill Manly praised the combination of communications used for the Borough Sport program and asked what measures are being implemented to ensure every neighborhood gets a level playing field, particularly regarding local economic dynamics on high streets. Councillor Garrard stated that the council plan covers measures for all boroughs and that the administration has invested tens of millions of pounds in Mitcham town centre, as well as Wimbledon and Morden. He mentioned the shopfront improvement program and support for small businesses.

Councillor Agatha Mary Akyigyina OBE expressed concerns about the communication strategy, stating that information is often received after the fact and that digital communication is not suitable for everyone. She advocated for more work on communication, including the provision of leaflets. Councillor Garrard agreed that digital information is not for everyone and that a balanced approach is needed, promising to discuss the issues with comms colleagues.

Councillor Paul asked about the challenges in the Chief Executive's role and how the council could help police officers be closer to communities. Councillor Garrard identified workforce challenges, particularly in recruiting to specialist roles, and the ongoing issue of funding and demand. He confirmed ongoing discussions with the police regarding co-location, but noted complexities around space, equipment, and safety.

Councillor Sebastian Budner asked how the council plans to build on its success as the second safest borough in London, particularly through partnerships with the police and local communities, citing an example of increased police patrols in Garfield Park that made some residents feel less safe. Councillor Garrard acknowledged the distinction between actual crime and the perception of safety, highlighting the Safer Streets team's targeted interventions and the council's commitment to being a test and learn council.

Councillor Oskine congratulated the Leader on the Run South London initiative and asked for an update on the future of Faith and Action and the Salvation Army Centre, as they are seeking a new premises. Councillor Garrard confirmed the council's support for Faith in Action's work and acknowledged their difficult position. He stated that the council is committed to working with Faith in Action to find a suitable space and that they have one on their radar, with other inquiries being made.

Councillor Paul asked about the financial challenges facing Merton, particularly the £28 million gap by 2030-31, and whether the Leader was satisfied with the outcome of the government's fair funding review. Councillor Garrard referred to the council's strong financial foundations and stated confidence in meeting the gap, highlighting the council's different position compared to other local authorities facing significant council tax increases.

Councillor Shearer asked what the council is doing to put more money into residents' pockets, given the cost of living crisis. Councillor Garrard highlighted the council's strong record in supporting residents, including the £3 million set aside for the cost of living fund, direct payments, and bringing citizens' advice advisers closer to residents. He also mentioned the upcoming jobs and cost of living fairs, focusing on job opportunities through Employ Merton and advice on saving money.

Councillor Page asked how the council approaches the trade-offs between different priorities, such as the cost of living crisis and initiatives like Borough Sport, given the financial constraints. Councillor Garrard explained that these initiatives are not seen as individual items but are interconnected, with Borough Sport having preventative benefits that can reduce demand on other services. He emphasised the need for innovative thinking and transforming services to deliver better outcomes.

Councillor Wilson asked about the process for deciding how funds are allocated into three buckets and requested a more transparent process. Councillor Garrard explained that the Legacy Fund is resident-led, with residents on the advisory panel and a public vote for initiatives. He stressed that residents are volunteers and their identities are not revealed.

Council Plan

Stephen Meah-Sims, Interim Director of Policy and Strategy, presented the proposed measures for the Borough Plan 2026 to 2030. The plan focuses on three priority areas: Strong Communities, Thriving Neighbourhoods, and Resident Focus. Councillor Garrard highlighted that the plan is ambitious and unapologetically focused on outcomes and delivering for residents. He noted that while some targets are stretched, Merton is a high-performing borough, but can do more. The committee was invited to provide feedback on the measures to ensure they are the right ones for tracking progress.

Councillor Akyigyina asked how Merton plans to maintain its strong climate credentials within the council plan. Meah-Sims acknowledged the importance of the question and stated that while he couldn't answer fully, the plan includes measures for decarbonising the council fleet, ensuring energy efficiency in council buildings (including schools), and promoting sustainable transport. Councillor Manley drew attention to Section 3, Safe Communities, and the need for improved safety for women and girls, particularly regarding street lighting. She expressed dissatisfaction with the difficulty in getting streetlights installed. Councillor Wilson inquired about further support for young people not in employment, education, or training (NEETs), noting that while Merton has a lower number than most London boroughs, his ward has the highest. He also asked how the upcoming Merton Review would impact the council's work. Councillor Shearer asked about the timetable for setting targets and milestones for the measures presented. Councillor Austin raised concerns about the methodology of the report, questioning whether reported improvements truly mean better outcomes for residents and how this is demonstrated, citing examples of underreported crime and differing assessments of homelessness data. Councillor Page suggested that the plan needed sharpening, with a lack of top-level strategic measures and too many that are not within the council's direct control. He advocated for a greater focus on strategic outcomes and less on operational measures. Councillor Pool echoed concerns about the number of measures, suggesting a focus on key, outcome-focused ones. He also proposed including measures on speeding, breast cancer screening rates, biodiversity, clean air, cost of living, and vaccination rates. Councillor Wilson raised concerns about the quality of temporary accommodation and improving repairs for housing association tenants, suggesting independent verification. He also proposed a more direct approach to data collection by engaging with people in town centres. Councillor Garrett responded to the points raised, explaining that strategic outcomes are not sufficient for residents and that ambition can be calibrated by setting high targets. He also noted that the council has soft and hard powers to convene and incentivise.

Financial Monitoring Report - Period 3

Asad Mushtaq, Executive Director of Finance and Digital, presented the Period 3 Financial Monitoring Report, highlighting an adverse variance of £2.6 million against the net expenditure budget of £225 million. He noted that this represents just over 1% of the net budget and reflects pressures in high-demand services like children's social care, adult social care, and temporary accommodation.

Councillor Robert Page questioned the timing of the report, noting that it covered data up to the end of June (Q1) while the meeting was in Q3. Mushtaq explained that the figures were based on the reporting cycle and that the full year forecast would provide a more complete picture. He also clarified a negative amount in the capital program for Children, Lifelong Learning, and Families as accruals from the previous year.

Councillor Sebastian Budner asked for an explanation of the main contributing factors to the overspend and a comparison with other London boroughs. Mushtaq identified the three main demand-driven areas: adults, children, and temporary accommodation. He noted that Merton's adult social care service has an underspend, unlike many other authorities, due to a strong reablement service. However, children's services face national pressures regarding acuity, complexity of needs, and market costs for placements. Temporary accommodation is also a significant area of overspending due to escalating numbers across London.

Councillor Paul inquired about the £1.58 million shortfall predicted for 2026-27 in the Children, Lifelong Learning, and Families directorate's savings target. Mushtaq explained that this saving relates to a wider transformation program to address placement budgets and that challenges in the timing of this work contributed to the shortfall. He expects the situation to improve and highlighted that this is a key focus, with mitigation work underway.

Councillor Victoria Wilson asked about the financial management of the borough compared to other London councils, particularly Croydon, and the steps being taken to address the in-year overspend. Mushtaq praised Merton's financial resilience and management, noting its low debt per capita. He acknowledged that demand is always a concern, citing potential impacts of severe winters on adult social care, complex cases in children's services, and fluctuations in temporary accommodation costs. He assured that any overspend is a concern and that each department has a delivery plan to address it.

Councillor Agatha Mary Akyigyina OBE asked which departments have delivered savings and their value. Mushtaq confirmed that every department has contributed to savings, with a total of £13 million to be delivered this financial year, and a forecast achievement of £10 million (77%) at Period 3. He expects this figure to improve by year-end, noting Merton's track record of high savings delivery.

Councillor Poole raised concerns about the phasing of expenditure on repairs to footways and borough road maintenance, noting that actual spend had exceeded the budgeted year-to-date figures. Mushtaq explained that capital budgets are often profiled over 10 months and that while the year-to-date spend might be higher than the quarterly profile, it is still below the annual budget. He assured that the programmes are on track.

Councillor Oster questioned the cost of zebra crossings, comparing it to other expenditures and asking about value for money and procurement confidence. Mushtaq stated he did not have specific details but assured that all procurement goes through a rigorous value-for-money approach.

Annual Scrutiny Report

The committee noted that the Annual Scrutiny Report was available and agreed it should be approved for Full Council in November.

Work Programme

The committee reviewed its work programme. Councillor Poole suggested that the Council Plan review, initially scheduled for six months, might need a longer timeframe, perhaps nine months, to allow for proper review of what is working well and what is not. The Chair agreed to consider this. The committee also discussed the challenge of aligning data sets for reviews, acknowledging the need for a rolling pattern of review. All other items on the work programme were agreed.

The meeting concluded with thanks to the Chief Executive and Leader for their contributions and to all attendees for their questions.