The Rushmoor Borough Council Cabinet met on 16 September 2025, and among the topics discussed were local government reorganisation and the commercial letting of a property in Farnborough. The Cabinet recommended that the council approve the submission of a proposal for local government reorganisation to the government. They also approved the letting of Nos. 16-18 The Meads, Farnborough, and the allocation of a capital budget for the works.

Local Government Reorganisation

The Cabinet considered Report No. ED2507, Local Government Reorganisation, and recommended that the council approve the submission of the proposal to the government, confirming the Cabinet's preference of the three options for the southern area of Hampshire.

The proposal sets out how a single tier of local government could be established across Hampshire and the Isle of Wight. At a meeting in July 2025, the Cabinet had recommended that a unitary council based on the areas of Rushmoor, Hart and Basingstoke and Deane councils should continue to be the preferred option for Rushmoor. At its meeting on 10 July, the council agreed with this recommendation and noted the programme of engagement being undertaken to ensure that all residents, businesses and partners had an opportunity to feed into the process. KPMG had continued to support twelve councils across Hampshire and the Isle of Wight to prepare the necessary evidence base and support the development of a business case to enable final proposals to be agreed and submitted to the government. The report also set out the arrangements for engagement with residents, businesses, partners and voluntary organisations. This engagement had included seeking residents' views on the establishment of parish councils and/or Neighbourhood Area Committees, as part of a Community Governance Review.

The report set out three options that were contained within the draft proposal as Options 1, 2 and 3. In each of these, the preference for the north of the county was a unitary council based on the areas of Rushmoor, Hart and Basingstoke and Deane councils. Legal advice had been received that recommended that any proposal requiring a modification or boundary change should be seen as being derived from an option created from a combination of complete authority areas. Because Option 3 had been derived from Option 1, the twelve authorities involved had agreed to rename Option 3 as Option 1A, with recommendations revised accordingly. An addendum to Report No. ED2507, Local Government Reorganisation, had been created and published on the council's website.

The Cabinet was informed that the Overview and Scrutiny Committee had considered the proposal at its meeting on 4 September 2025 and requested that its concerns should be brought to the attention of the Cabinet. These were set out in the report and included concerns over the amount of detail provided in the financial information. The committee also suggested that the council should seek assurances from the government in relation to full funding costs for the LGR process being guaranteed. The Cabinet thanked the committee for its input but decided that this would not affect its recommendation to the council. Furthermore, it was agreed that the Cabinet would not write to the government as requested by the committee.

The Cabinet discussed the report at length, in particular the financial implications of the LGR process.

A view was expressed that the proposal was not financially sustainable and that it was wrong to recommend an option that impacted the south of Hampshire without having a detailed knowledge of the circumstances and residents' wishes in those areas.

This view was not supported by the other members of the Cabinet. In response, it was clarified that all Hampshire councils were obliged by the government to state preferred options for the whole of the county when submitting proposals. The majority of the Cabinet was supportive of the LGR process and felt that this would enable better, joined-up services to be delivered to local residents.

The Cabinet recommended to the council that approval be given for the proposal 'Close Enough to be Local, Big Enough to Stay Strong' to be submitted to the government by the 26 September deadline confirming that:

• a five-unitary council structure, with four new mainland unitary councils plus the Isle of Wight, would best meet the government's criteria and provide the most effective solution for local government reorganisation in Hampshire and the Isle of Wight;
• a unitary council based on the areas of Rushmoor, Hart and Basingstoke & Deane is the recommended option for Rushmoor as, in line with the assessment criteria, it represents the best balance of a council large enough to deliver high quality services and value for money but small enough to be connected to the place and the needs of the people the council serves; and
• the council's preferred option in the proposal that brings together entire existing council areas is Option 1. The council would though request the Secretary of State to make a modification to that option involving a range of boundary changes as shown in Option 1A in the proposal, using the modification powers under the Local Government and Public Involvement in Health Act 2007, as this represents a stronger case for change.

Councillor Alex Crawford, Finance & Resources Portfolio Holder, declared a personal and non-pecuniary interest as a member of Hampshire County Council.

Nos. 16-18 The Meads, Farnborough - Commercial Letting

The Cabinet considered Exempt Report No. REG2504, which set out a proposal to consider letting a council-owned property at Nos. 16-18 The Meads, Farnborough. The Cabinet resolved that the letting of Nos. 16-18 The Meads be approved.

Members were informed that, whilst this was a positive opportunity to bring an anchor tenant to the town and to the council's shopping centre asset, the agreement for the new lease as proposed would require significant investment in capital works and a fit-out contribution by the council. The Exempt Report set out the financial details involved with the proposal and it was noted that it needed to be considered in light of the council's ongoing financial challenge and recovery plan. It was felt, however, that this would provide an important step forward in the council's economic and social regeneration plans for Farnborough town centre. It was also envisaged that securing this particular tenant was likely to have a positive impact on the future prospects for the Meads and would increase its commercial viability.

In discussing this option and acknowledging the significant investment required, the majority of the Cabinet agreed that this proposal offered an exciting opportunity with regards to the council's ongoing priority to regenerate Farnborough town centre and to promote a nighttime economy in that area.

The Cabinet resolved that:

• the letting of Nos. 16-18 The Meads, on the Heads of Terms set out in paragraphs 2.4 – 2.5 of Exempt Report No. REG2504, be approved;
• the Executive Head of Property and Growth, in consultation with the council's Interim Monitoring Officer and Corporate Manager – Legal Services, be authorised to negotiate the lease;
• the allocation of the capital budget, in the sum set out in the Exempt Report, to enable the works and contribution for fit out costs to be funded from capital receipts allocated to commercial lettings in the 2025-26 capital programme, be approved; and
• the Executive Head of Property and Growth, in consultation with Councillor Alex Crawford, Finance and Resources Portfolio Holder, and the Executive Head of Finance, be authorised to exceed the capital estimate by the sum set out in the Exempt Report, with any additional expenditure beyond that amount being subject to further Cabinet approval.