The Strategy and Resources Committee met on Monday 8 December 2025, discussing the council's financial performance, regeneration plans, and the future of Sutton College. Key decisions included the termination of the Sutton Civic and Town Centre Regeneration project with GKRL due to affordability concerns and the approval of a new cloud data centre services contract with Amazon Web Services.

Finance and Performance Update

Councillor Sunita Gordon, Lead Member for Resources, introduced the Finance and Performance Update for Quarter 2 of the 2025/26 financial year. The committee noted a forecast general fund revenue outturn overspend of £0.456 million, an improvement from the previously reported £1.262 million. Significant pressures remain in Adult Social Care, with a forecast overspend of £3.688 million, attributed to increased demand and the cost of care packages. The Dedicated Schools Grant (DSG) continues to face a substantial overspend, forecasting a deficit balance of £22.552 million, though this is separate from the council's general fund. The Housing Revenue Account (HRA) is forecasting a small underspend of £0.352 million.

The committee also noted a significant forecast capital outturn underspend of £47.819 million, largely due to programme slippage on major projects such as the London Cancer Hub Rail improvements and estate regeneration schemes. Budget adjustments were approved for projects including the Beech Tree Place Estate Regeneration and the Chalk Park and Elm Grove Housing Schemes. Councillor Tim Foster expressed concern regarding the wording of Recommendation 2.7, which proposed consolidating the Neighbourhood Fund and Public Realm Capital programme and recommending a change to the council's constitution. He voted against this recommendation, stating his disagreement with changing the constitution.

Sutton Civic and Town Centre Regeneration Update

Councillor Barry Lewis, Leader of the Council, introduced the update on the Sutton Civic and Town Centre Regeneration programme, stating that while disappointing, the decision to terminate the development agreement with preferred bidder GKRL was the right one due to affordability and risk concerns. Lucy Taylor, Programme Manager for the regeneration, explained that further work during the preferred bidder stage revealed significant cost increases and risks associated with refurbishing the former Debenhams unit for a new civic hub, making the project unaffordable for the council.

The committee considered terminating the procurement process with GKRL (Recommendation 2.1) and continuing to develop proposals for housing on the current civic centre site, Gibson Road Car Park, and Secombe Theatre site, while reviewing options to relocate services within the town centre (Recommendation 2.2). Councillor Neil Garratt raised concerns about the lack of a concrete plan for relocating council offices and the library, while Councillor Dave Tchil questioned the council's past spending decisions. Councillor Tim Foster proposed an amendment to Recommendation 2.2, suggesting it should explicitly include examining the economic options for the future use of the Civic Offices and St Nicholas Centre. This amendment was seconded by Councillor Jake Short but was not carried.

Sutton College Annual Report 2025-26

Jan Underhill, Director of Wellbeing, and Tom Dillon, Principal of Sutton College, presented the college's annual report. They highlighted the college's achievement of an overall 'Good' rating in its Ofsted inspection in May 2025, a significant improvement from its previous 'Requires Improvement' rating. The report detailed the college's positive impact on learners, with increased enrolments and achievement rates, particularly for those furthest from the job market and learners with SEND. The planning permission for a new, accessible college site on Sutton High Street was also confirmed. Councillor Richard Clifton praised the college's turnaround and questioned the feedback from Ofsted, while Councillor Tom Drummond asked about the timeline for addressing areas for improvement. Councillor James McDermott-Hill commended the college's work with local employers and SEND learners. The committee noted the report.

Resilience Standards for London (RSL) Self Assessment 2025

Victoria James, Head of Climate Action and Emergency Planning, presented the findings of the RSL Self Assessment. Sutton Council was rated as 'established' in 10 out of 11 criteria, demonstrating a strong overall position in emergency planning and business continuity. The report highlighted strengths in training and exercising, partnerships, and recovery management. The council was rated as 'developing' in the area of community resilience, with plans to further engage community volunteers and strengthen community-led action during incidents. Councillor Dave Tchil raised concerns about the lack of a specific plan for incidents like unfiltered smoke from the Beddington incinerator, while Councillor Neil Garratt questioned the council's adaptation to increased tall buildings and gully cleaning processes. Councillor Christopher Woolmer inquired about the last review date of the emergency planning policy and strategy. The committee noted the report.

Contract Award - Cloud Data Centre Services

Ben Unsworth, Director for Digital and IT Shared Service, presented the recommendation to award a contract for cloud data centre services to Amazon Web Services (AWS). This direct contract, a continuation of the council's strategy to move away from on-premise infrastructure, will be a joint procurement with Kingston upon Thames. Councillor Tom Drummond raised questions about the transition from Google services to AWS, data encryption, and the potential for vendor lock-in. Councillor Neil Garratt sought confirmation that data would be kept locally within the UK or Europe, and Councillor James McDermott-Hill inquired about the management of data belonging to different councils within the shared service. The committee approved the award of the contract to AWS for a period of up to 60 months.

Scrutiny Committee and Audit and Governance Committee Workplans

Alexa Coates, Head of Committee and Management Support, presented the workplans for the Scrutiny Committee and the Audit and Governance Committee. The report noted that these workplans would be shared annually with the Strategy and Resources Committee to provide strategic oversight. The committee noted the workplans as presented.

Sutton Civic and Town Centre Regeneration - Update

Councillor Sunita Gordon introduced the update on the Sutton Civic and Town Centre Regeneration programme. The report recommended terminating the procurement process with GKRL due to the project's unaffordability and risks. Councillor Neil Garratt expressed concern about the lack of a concrete plan for relocating council services, while Councillor Dave Tchil questioned past council spending. Councillor Tim Foster proposed an amendment to Recommendation 2.2 to explicitly include examining the economic options for the Civic Offices and St Nicholas Centre, which was seconded by Councillor Jake Short but ultimately not carried. The committee voted to terminate the procurement with GKRL and to continue developing proposals for housing and relocating services.

Sutton College Annual Report 2025-26

Jan Underhill, Director of Wellbeing, and Tom Dillon, Principal of Sutton College, presented the college's annual report. They highlighted the college's 'Good' Ofsted rating, increased learner achievements, and the progress on the new college site. Councillor Richard Clifton praised the college's turnaround, while Councillor Tom Drummond inquired about the timeline for addressing areas for improvement. Councillor James McDermott-Hill commended the college's work with local employers and SEND learners. The committee noted the report.

Resilience Standards for London (RSL) Self Assessment 2025

Victoria James, Head of Climate Action and Emergency Planning, presented the RSL Self Assessment. Sutton Council achieved an 'established' rating in 10 out of 11 criteria, with 'developing' status for community resilience. Councillor Dave Tchil raised concerns about specific incident plans, and Councillor Neil Garratt questioned the council's preparedness for tall building fires and flooding. The committee noted the report.

Contract Award - Cloud Data Centre Services

Ben Unsworth, Director for Digital and IT Shared Service, presented the recommendation to award a contract to AWS for cloud data centre services. Councillor Tom Drummond raised questions about data security and potential vendor lock-in. Councillor Neil Garratt sought confirmation on data location, and Councillor James McDermott-Hill asked about data segregation in shared services. The committee approved the contract award.

Scrutiny Committee and Audit and Governance Committee Workplans

Alexa Coates, Head of Committee and Management Support, presented the workplans for the Scrutiny Committee and the Audit and Governance Committee. The committee noted the workplans.