Agenda and draft minutes

Apology received from Councillor Emma Will.

Any Member of the Leadership Team, or any other Member present in the meeting, who has a disclosable pecuniary interest in a matter to be considered at the meeting is reminded to disclose the interest to the meeting and to leave the meeting room while any discussion or vote on the matter takes place.

Members are also reminded that if they have any other significant interest in a matter to be considered at the meeting, whether registered or not, which they feel should be declared in the public interest, such interests should be declared to the meeting. In such circumstances Members should consider whether, a member of the public, with knowledge of the relevant facts would reasonably regard the interest as so significant that it is likely to prejudice their consideration or decision making. If the Member considers that to be the case, they should leave the meeting room while any discussion or vote on the matter takes place.

Cllr Johnny Thalassites declared that he was a trustee of Young K&C and that he would not be present for Agenda item 9: Strategy for youth services and community adventure play services from February 2025 KD1009732

The minutes of the Leadership Team Meeting held on 5 June 2024 are submitted for confirmation.

Cllr Catherine Faulks confirmed her attendance at the 5 June 2024 meeting because she was missed off the attendance list.

The minutes of the meeting held on 5 June 2024 as amended were confirmed as a correct record.

Cllr. Elizabeth Campbell - Leader of the Council (Chair), introduced the report setting out the background to the proposed decision. She outlined the final arrangements for the education and training component of the future Grenfell support programme (2024-28) for bereaved, survivors and the immediate local community. She also informed the meeting that this programme would be funded through the Restorative Justice element of the Global Settlement Agreement (GSA), previously approved at the Leadership Team in January 2023.

The Leadership Team thanked officers for putting together this comprehensive report and noted it wouldn’t have been possible without extensive consultation, engagement and codesign with the community over the past ten months to shape the plans.

Cllr. Simmons said she was pleased and encouraged by this report, which was made possible by officers and the external scrutiny team.

Cllr. Weale, Chair of Overview & Scrutiny Committee, emphasised the importance of the Council understanding the challenges faced and building on the lessons learnt for the future. She drew the Leadership Team’s attention to the reference report from the Family Select Committee and asked that officers provide a written response to the Committee about whether their recommendations would be accepted.

The Leadership Team RESOLVED, for the reasons set out in paragraphs 3.1 to 3.5 and elsewhere within the report, that the recommendations at paragraphs 2.1 to 2.5 be adopted.

2.1 The Leadership Team:

2.2 noted the findings of the External Scrutiny Team included in their report (Appendix 3) and their assessment of the effectiveness of the education and training consultation;

2.3 agreed the plans for the final outcome of the education and training consultation as outlined in Section 5 below and set out fully at Appendix 1 and 2;

2.4 noted the progress with the implementation of the bereaved and survivor and immediate community consultations as set out in Section 6, including the EST’s final judgement on the plans for the implementation of the community model (Appendix 5);

2.5 noted the broader commitments sought by the External Scrutiny Team to facilitate further restorative change at the Council (Appendix 6) and the Page 12 proposed next steps for the Council’s response to their recommendations in Section 7.

Action by: Strategic Director of Grenfell Partnerships and Corporate Transformation

Cllr. Johnny Thalassites, Lead Member for Finance, Customer Services, Net Zero Council, introduced the report. The requirement for the plan was a directive from the previous Government to undertake a review of productivity across the whole of the public sector.

The Leadership Team RESOLVED, for the reasons set out in paragraph 3.1 and elsewhere within the report, that the recommendations at paragraph 2.1 - 2.2 adopted.

The Leadership Team:

2.1 Agreed the attached Productivity Plan attached at appendix 1 ahead of it being submitted to the Department for Levelling Up, Housing and Communities (DLUHC) by the deadline of the 19 July 2024.

2.2 Agreed to upload the Plan attached at appendix 1 to the Council’s website for residents to view as requested by the then Minister for Local Government, Simon Hoare MP.

Action by: Executive Director of Resources

Cllr. Johnny Thalassites, Lead Member for Finance, Customer Services, Net Zero Council, introduced the report setting out the background to the proposed decision. He advised that due to fluctuation in interest rates, it was hard for the Council to set an accurate budget forecast.

In response to a Member’s question on how the Council can be sure it had a better handle on setting budget for interest payable and receivable and making sure that this year the outturns was closer to it. The Executive Director of Resources responded that multiple interest rate rises in year, which made it challenging to adhere to budget for 22/23 but, that the Council had managed to delay borrowing to ensure the average borrowing costs remained relatively low over the medium, and below the yield it was receiving on investments, which is a positive outcome.

In response to a Member’s question on if the Council would reconsider refinancing its higher rate borrowing with lower rate borrowing, by repaying the loan early and borrowing at lower rates. Officers responded that they had considered this, but it must be within the context of the overall borrowing strategy and must consider early repayment charges. As usually the early repayment charges make this strategy prohibitive.

The Leadership Team RESOLVED, for the reasons set out in paragraph 3.1 and elsewhere within the report, that the recommendations at paragraph 2.1 to be adopted.

2.1. The Leadership Team was invited to recommend the report to Full Council to note.

Action by: Executive Director of Resources

Cllr. Johnny Thalassites, Lead Member for Finance, Customer Services, Net Zero Council, introduced the report drawing the Leadership Team’s attention to the General Fund revenue budget overspend of £4.090m in 2023/24 against a revised budget of £191.815m. He highlighted some the challenges of inflation facing the borough, and the need to closely monitor and amend the budget as needed.

Cllr. Mary Weale, Chair of Overview & Scrutiny Committee expressed concern over the Council’s current overspend, and over the 16% savings that were not achieved, which she said would lead to under-delivery of Council services.

The Leadership Team RESOLVED, for the reasons set out in paragraphs 3.1 - 3.2 and elsewhere within the report, that the recommendations at paragraph 2.1 - 2.12 adopted.

The Leadership Team:

2.1 Noted the final General Fund revenue budget overspend of £4.090m. This includes an overspend of £1.425m across service budgets and an overspend of £1.297m across budgets for Treasury Interest (totalling £2.722m). There are also overspends against the corporate Contingency and Centrally Held Budget of £463k and £1.464m respectively. This position is partly offset by a transfer of £559k from the Car Parking Reserve and Statutory and Corporate budget underspends of £989k.

2.2 Agreed the use of the £4.090m of the Budget Stabilisation Reserve to fund the final overspend position. (Further details are set out in the main report from section 15 and in appendix 1.)

2.3 Noted the Housing Revenue Account transfer of £5.865m to the capital programme set out in section 15, and in further detail in appendix 1 section 11.

2.4 Noted the General Fund Capital Programme reported underspend of £10.041m set out in section 16 and appendix 2.

2.5 Agreed the proposed rephasing of capital budget slippage to future years set out in section 16, table 5.

2.6 Agreed the new capital funding requests set out in section 16, table 6.

2.7 Agreed the proposed capital budget virements set out in section 16, table 7, and the corresponding amendment of 2024/25 budgets that will result.

2.8 Noted the HRA Capital Programme overspend of £1.458m set out in section 17.

2.9 Noted the delivery of in-year savings position set out in section 20 and detailed further in appendix 4.

2.10 Noted the reserves position at the end of 2023/24 as set out in section 21 and detailed further in appendix 5.

2.11 Agreed the new requests for additional funding from reserves above £250k set out in section 21.

2.12 Delegated authority to the Executive Director of Resources and S151 Officer to agree any required adjustments to the final position to be reflected in the 2023/24 Statement of Accounts that are planned for final publication in the autumn following the external audit by Grant Thornton.

Action by: Executive Director of Resources

Cllr. Johnny Thalassites, Lead Member for Finance, Customer Services, Net Zero Council, introduced the report highlighting the challenges facing the borough which included inflation, high interest rates, cost of living crisis and market uncertainty. He informed the meeting that the Council’s financial position over the coming years would be challenging and that strategies were needed to adequately support residents and businesses through the challenging economic times.

Cllr. Weale, Chair of Overview & Scrutiny Committee, expressed concern over the current overspend and said she is optimistic on how the Council planned on bringing down the cost.

The Leadership Team RESOLVED, for the reasons set out in paragraphs 3.1 and elsewhere within the report, that the recommendations at paragraph 2.1 - 2.2 adopted.

The Leadership Team:

2.1 Reviewed the Council’s financial position as set out in this Medium Term Financial Strategy including the Capital Strategy and

2.2 Agree to invite Council to approve the Strategy.

Action by: Executive Director of Resources

Cllr. Catherine Faulks, Lead Member Family & Children’s Services, introduced the report setting out the background to the proposed decision.

The Leadership Team agreed that the Council establishing a partnership grant programme with Young Kensington & Chelsea was good because funding would help provide additional services beneficial to the borough residents such as schools, library, voluntary sectors etc.

The Leadership Team RESOLVED, for the reasons set out in paragraphs 3.1 - 3.4 and elsewhere within the report, that the recommendations at paragraph 2.1 - 2.4 adopted.

The Leadership Team:

2.1 Approved the core funding budget to establish a partnership grant programme with Kensington & Chelsea YPF (also known as Young Kensington & Chelsea) totalling £940,000 annually for an initial term of three (3) years with the option to extend for up to a further two (2) years. The total budget for the five (5) year period is the sum of £4,700,000. The annual breakdown spend as set out below (and in 2.2):

(i) Establishing a core grant funding programme with Young K&C valued at £757,500 per year to strengthen the youth sector from which organisations will be able to bid for funding.

(ii) Establishing an Active Minds, Active Lives small grant valued at £50,000 per year for activities and projects that meet the priorities that young people have articulated as part of the youth engagement and consultation.

(iii) Providing a Making Space small grant valued at £50,000 per year from which organisations will be able to bid to help make organisations and activities more inclusive for young people with special educational needs or disabilities (SEND).

(iv) Providing Young K&C a £10,000 a year grant to involve children and young people in grant processes and monitoring arrangements.

(v) Providing Young K&C a £22,500 per year grant to recruit a member of staff to fundraise on behalf of the sector as well as support the grants process, develop outward-facing branding train up young people to participate in & monitor grants and work with officers to implement the joint delivery programme.

2.2 Delegated authority to the Executive Director of Children’s Services to continue the Council’s existing commitment to provide core funding to Young K&C of £50,000 per year for a three-year period with a possible two-year extension to act as the Council’s strategic youth partner and build capacity within the sector.

2.3 Delegated authority to the Executive Director of Children’s Services following consultation with the Lead Member for Family and Children’s Services to award and extend the grants listed in 2.1.

2.4 Delegated authority to the Executive Director of Housing and Social Investment to agree the terms of the appropriate legal agreement/arrangement, subject to legal due diligence, to facilitate and enable the service commissioned activities and the recommendations within this report.

Action by: Executive Director of Children’s Services

Cllr. Weale, Chair of Overview & Scrutiny Committee drew the Leadership Team’s attention to the reference report from the Family Select Committee.

The Lead Member to provide a written response to the Family Select Committee about whether  ...  view the full minutes text for item 9.

Cllr. Catherine Faulks, Lead Member Family & Children's Services, introduced the report setting out the background to the proposed decision. She advised that the property purchased would extend the Council’s in-house supported accommodation for care leavers which would ensure care leavers are assisted on their route to independence.

The Leadership Team RESOLVED, for the reasons set out in paragraphs 3.1 - 3.2 and elsewhere within the report, that the recommendations at paragraph 2.1 - 2.2 adopted.

The Leadership Team:

2.1 Approved the delivery of a £2.5 million capital project to purchase properties (to include all additional expenditure, fees, costs and stamp duty land tax payments, if any) to extend the Council’s in-house supported accommodation provision to accommodate an additional twelve care leavers in line with the specification and benefits set out in this paper.

2.2 Delegated authority to the Director of Social Investment and Property to approve the terms for the individual property purchases (subject to legal and financial due diligence) and enter into any associated legal documents to deliver the project.

Action by: Executive Director of Housing and Social Investment

[Each written report on the public part of the Agenda as detailed above:

(i)     was made available for public inspection from the date of the Agenda;

(ii)    incorporates a list of the background papers which (i) disclose any facts or matters on which that report, or any important part of it, is based; and (ii) have been relied upon to a material extent in preparing it. (Relevant documents which contain confidential or exempt information are not listed.); and

(iii)    may, with the consent of the Chairman and subject to specified reasons, be supported at the meeting by way of oral statement or further written report in the event of special circumstances arising after the despatch of the Agenda.]

There were no items considered urgent.

If required, the Leadership Team will resolve to exclude the press and public from the meeting should any specific item of business so require on the grounds that discussions may involve the likely disclosure of exempt information as defined in Part I of Schedule 12A to the Local Government Act 1972 (as amended).

Some reports on the agenda may include confidential information which is exempt from publication. The Leadership Team may need to discuss this information in private session before decisions are taken afterwards, in public session.

The Leadership Team did not consider any items without the press and public.