Economy & Regeneration Overview and Scrutiny Committee 5th September 2011 Part 4 Budget Issues for Economy and Housing in 2012/2013

Kevin Adderley replied that the target for the last seven years was higher than the actual income. They could set the price that equated to the gap between the income target but it would require changing the whole system. Next year they would publish how much it costs and calculate and publish an estimate of … Continue reading “Economy & Regeneration Overview and Scrutiny Committee 5th September 2011 Part 4 Budget Issues for Economy and Housing in 2012/2013”

Kevin Adderley replied that the target for the last seven years was higher than the actual income. They could set the price that equated to the gap between the income target but it would require changing the whole system. Next year they would publish how much it costs and calculate and publish an estimate of planning fees. They would divide the total costs by the number of expected planning applications to derive at the fee. With no savings there would be a £500,000 shortfall. Cllr Hackett referred to 2.1 on page 35 about the capital program. He asked if he was correct that in respect of capital borrowing it equated to an increase in yearly revenue costs of 10% of the total amount borrowed?

Kevin Adderley answered yes, to borrow £9.63 million would cost £963,000 in interest a year. Cllr Hackett asked if it was possible to delay two schemes for two years? Cllr Mark Johnston said he was nervous about the minutiae and thought such matters fell within the role of the Council Excellence Overview and Scrutiny Committee to be discussed on another day. He wanted to hear all councillors. Cllr Hackett said he was only asking questions and that he wanted to help and advise in a unpartisan way which was surely the idea of scrutiny?

Cllr Hodson said they scrutinised decisions. He asked where the formula for planning fees was? Were they going to take the figures, divide by planning applications with no savings? Kevin Adderley said that was the government’s suggestion which was similar to the way Building Control had been operating since the start of the year. Cllr Hodson said he thought planning applications had dropped in number and asked for his views on the new planning rules. Kevin Adderley said there was a report to the next Cabinet meeting asking for views and a response. It would be a detailed report with suggestions.

Economy & Regeneration Overview and Scrutiny Committee 5th September 2011 Part 2 Budget Issues for Economy and Housing in 2012/2013

Kevin Adderley continued about the population demographics which was outlined on page 44. He did have good news of a Telegraph report on cities in the UK with the greatest growth over three years measured by companies that had grown 20% year on year. Birkenhead was second best after Aberdeen. 12% companies had grown 20% year on year, however there were signficant challenges in housing and the “worst recession in living memory” which led to small growth and difficult challenges. Universal Credit, housing benefits reforms and the work program being delivered by national providers as well as an aging population and housing were all issues to consider. Kevin talked about employer’s opportunities to retrain young people and keep the average age of the population down as the greatest reduction had been in young people of working age.

It was a changing global economy and the investment strategy had to include businesses and jobs. There was a focus on housing, specifically private sector housing. They were trying to secure inward investment into Wirral to tackle the economic problems. Wirral had 112,000 private sector units. Wirral Waters would help to tackle some of the economic disparities between different parts of the Borough.

The priorities were strategic planning and a strategic function for housing and planning. Hoylake, Devonshire Park and Liscard Neighbourhood were all involved in the Neighbourhood Planning Vanguard pilot. The land charge role was going to change and be opened up to the private sector. There would be partnerships between businesses, registered social landlords and developers. The European funding specification for Merseyside given since the 1980s was due to finish in 2012. There was discussion over continuing the regional program or a UK-wide program, they would lobby to maximise European funding. Cllr Mark Johnston thanked Kevin Adderley and the council officers.

Economy & Regeneration Overview and Scrutiny Committee 5th September 2011 Part 1 Budget Issues for Economy and Housing in 2012/2013

The Chair, Cllr Johnston welcomed people to the meeting, he said he was varying the agenda to bring the budget item first, then apprenticeships, then the rest of the agenda.

Cllr Stuart Wittingham declared a personal interest as a Director of Wirral Partnership Homes in item 3 (Affordable Housing in Wirral). The minutes of the previous meeting were accepted.

The Chair said further information would go out tomorrow in an email about priority letting and a tour was in progress. He also said that 6 (Budget Issues for Economy and Housing in 2012/2013) was a last-minute agenda item, there would be a presentation, then he would make a statement giving every councillor a chance to speak in turn. They would then work out motions. Kevin Adderley said it was a Cabinet request for overview and scrutiny committees to consider the 2012 Budget and challenges. The projected shortfall was £25 million. The budget for areas under this committee’s control was £21 million revenue and £9.6 million capital. They had lost Housing Market Renewal Initiative funding and Working Neighbourhoods Fund funding of £20 million in 2011/2012. The £1.2 million funding for Homelessness and the Private Sector Housing Team (from the Community Fund and carry over of HMRI funds) was due to end in March 2012. There was a £500k shortfall in the income target for Development Control. The £740k in year grant for worklessness wouldn’t be received until 2012/2013. They have been successful in their ESF and ILM bid, but it had been taken out of the Budget that ended in May 2012.

Cabinet 1st September 2011 Part 6 – You Choose Budget Consultation, Local Development Framework – Local Geological Sites Update

Jim Wilkie said in parallel with the simulator the engagement team had planned 120 events at a range of facilities. He said he had the list with him. Cllr Phil Davies asked if this was at supermarkets, One-Stop Shops and libraries and if this was in addition to the work on the Neighbourhood Pans and Scrutiny? He also asked when it will run till? Ian Coleman answered that it would run until the 30th November then a full analysis would come to Cabinet in December. Jim Wilkie said he couldn’t find any supermarkets on the list. Cllr Phil Davies said they had a flavour of the budget simulator and how it works. He expected further reports at the end and encouraged everybody to have a go. He said 40-odd local authorities of all political colours were signed to it. He said it made residents think about issues about spending. Cllr Chris Meaden thanked the staff for the wonderful job meeting with residents and asked this to be passed on please. Cllr Phil Davies said the Community Engagement Team had promoted it well especially for people who were not good with computers. He thanked Ian Coleman and Peter Molyneux. The report was noted.

The Cabinet then considered a report on the Local Development Framework – Local Geological Sites Update and its Local Geological Sites Report Appendix. Kevin Adderley said he had nothing to add to the report. Some had been added, some deselected and some modified. The report was agreed.

Cabinet 1st September 2011 Part 5 – You Choose Budget Consultation

The Cabinet then considered Agenda item 6 – You Choose – Budget Consultation.

Cllr Phil Davies chairing introduced Steve Owen who would be giving a presentation for this item. Mr. Ian Coleman (Director of Finance) said it was a budget consultation. He said a number of local authorities were using this to consult, however it was the first time they had run through the key aspects.

Steve Owen demonstrated how it worked. They had used an increase of 3% Council Tax as Council Tax rises had been capped last year. So far Wirral Council had received two hundred suggestions. These ranged from reducing pay, selling land, pay freezes to sharing services.

There were some problems showing this during the meeting as it didn’t work, so Steve Owen took them to the next screen which showed that there had been 647 responses, the average Council Tax increase or decrease of these 647 responses was a 3% decrease. He tried to show the areas on a map where the people had responded from. However the Google map wouldn’t show. Steve Owen said that this was a “technical issue outside of his control”.

He also demonstrated to those present how a person would go through the steps needed to respond to the budget consultation. Unfortunately each time part way through Internet Explorer crashed and had to be restarted.

Cllr Phil Davies thanked him and said he had had a go and was heartened by the 647 submissions so far. He asked how long it had been running for and was told two weeks. Cllr Phil Davies said it was the 5th highest number of responses from the 41 local authorities running it. Cheshire West and Chester had 309, Liverpool 9 and Sefton 459. He said that 647 was good as they had been proactive in promoting it.