Issue - meetings

Future of City Deal

Meeting: 29/01/2020 - Council (Item 98)

Future of City Deal

Report of the Director of Planning and Property attached.

Minutes:

Council considered a confidential report of the Director of Planning and Property that advised on progress made with discussions regarding the City Deal since its meeting on 25 September 2019. The report also provided Members with the opportunity to support a bid for external funding which would aid the City Deal.

 

The report was debated at length with Members on both sides of the Chamber having significant concerns around the City Deal finance model whereby costs, particularly for the major highway infrastructure have risen substantially. There is a realisation by all Councillors that the Preston, South Ribble and Lancashire City Deal is at a critical point in shaping its future and it is felt that if it was to continue, new arrangements will need to be agreed between the partners.

 

The Leader of the Council advised Council that a joint letter from the Leaders of all the City Deal Partners had been sent to Central Government to request what action they intended to take to fulfil their responsibilities under the current Heads of Terms.

 

The emerging revised Heads of Terms will place a significant continued financial risk on the Council. However, there are a number of current external funding bids under development or consideration for City Deal projects, which if successful will assist significantly in meeting the financial funding gap and reducing the risk to South Ribble Borough Council.

 

One such example is the Homes England Small Sites Fund which could add additional income into the City Deal model but is contingent on further housing coming forward in both South Ribble and Preston over a longer time period.

 

If the Council did not support the Homes England SSF bid, it would clearly put at risk the potential to draw in significant funding in to the City Deal and may also put at risk other funding bids which are being used to match such finance and the Interim Chief Executive advised, that if the Council did not support this recommendation, it would pose a significant financial risk to the Council and that is of the upmost importance.

 

The Leader of the Opposition, Councillor Margaret Smith asked for a short adjournment to allow the Conservative Group to discuss the amended recommendations further considering the debate and the advice of the Interim Chief Executive. The Mayor agreed to adjourn the meeting at 9.25pm for a five-minute period.

 

Upon the return of the Conservative Group to the Chamber at 9.30pm, an amendment to the motion, to include ‘subject to final Council approval at the end of the first recommendation, was proposed by the Leader of the Council, Councillor Paul Foster, seconded by Councillor Mick Titherington and subsequently

 

RESOVED (Unanimously):

1.    That Council supports the bid from the City Deal partners in to the Homes England Small Sites Fund (SSF) and agree to contribute an additional 3,900 homes on appropriate sites from South Ribble in to the SSF Bid, subject to final Council approval.

2.    That Council agree to the allocated Safeguarded Land and a  ...  view the full minutes text for item 98