The Cabinet of Southwark Council met on Tuesday 28 January 2014, approving a significant regeneration partnership for the Aylesbury Estate and a 2.7% rent increase for housing revenue account dwellings. The meeting also saw the adoption of the Blackfriars Road Supplementary Planning Document and a commitment to a nil council tax increase for the upcoming financial year.

Aylesbury Estate Regeneration Partner Selected

The Cabinet approved the selection of Notting Hill Housing Trust (trading as Walworth Unlimited) as the council's preferred development partner for the regeneration of the Aylesbury Estate. This decision follows extensive consultation, with residents expressing support for the redevelopment and urging the council to agree on a development partner. The deputation from the Aylesbury Estate highlighted that residents have been involved in the consultation process for over 13 years and believe this contract offers the best chance for delivering new and affordable homes, along with improved opportunities and environment for local residents. The Cabinet also approved the selection of the consortium of L&Q, Countryside, and Peabody (WE) as a reserved partner. Authority has been delegated to the chief executive to finalise the terms of the development partnership agreement with Walworth Unlimited, in consultation with the cabinet member for regeneration and corporate strategy. The agreement is expected to deliver £1.25 million of funding over five years for community development services in the Aylesbury area, alongside a long-term income stream from ground rents.

Housing Revenue Account Rent and Budget Set for 2014/15

A flat rate rent increase of 2.7% will be applied to all Housing Revenue Account (HRA) dwellings from 7 April 2014. This increase will also apply to estate void and hostel properties. Tenant service charges, standard charges for non-residential property, heating and hot water charges, and sheltered housing charges will remain at their 2013/14 levels. The Cabinet noted the council's response to the government consultation 'Social Rents in 2015/16', which considers options for setting rents for new-build and new-let tenancies at formula rent levels. Water and sewerage charges are subject to an inflationary uplift from Thames Water, though the exact increase has not yet been confirmed. The revised HRA budget for 2014/15 was also noted.

Policy and Resources Strategy and Budget for 2014/15

The Cabinet noted the provisional settlement for Southwark Council, which is expected to be confirmed in early February 2014. The report presented proposals for a balanced general fund budget for 2014/15, which includes the use of £6.2 million from reserves. This balanced budget is proposed with a nil council tax increase for 2014/15, a decision recommended for approval by the council assembly on 26 February 2014. The Cabinet also noted a further £33.5 million funding reduction announced for 2015/16 and its impact on the council following four successive years of significant savings. An additional £800,000 contribution from reserves to the welfare hardship fund was noted, with officers instructed to examine how these funds can be directed more quickly to assist those in financial difficulty. Officers are also to plan for the additional resources, efficiencies, and savings required to deliver a balanced budget in 2015/16, and representations will be made to Ministers regarding the 2015/16 draft settlement.

Blackfriars Road Supplementary Planning Document Adopted

The Blackfriars Road Supplementary Planning Document (SPD) was adopted by the Cabinet. This decision followed a deputation from local residents in the Blackfriars Road area who expressed concerns that the draft SPD could have a detrimental impact on the area, particularly regarding building heights, which they feared could negatively affect the community, heritage, and daylight aspects for residents, including those in sheltered housing. The Cabinet noted the representations received on the draft SPD and the officer comments, as well as the tracked change version of the SPD incorporating these representations. Various supporting documents, including the consultation report, equalities analysis, and sustainability appraisal, were also noted. Councillor Richard Livingstone declared an interest as a governor at Lewisham and Southwark College, which is within the boundary of the SPD, but had been advised this was not a disclosable interest.

Vision for a New Housing Strategy Agreed

A vision for a new thirty-year housing strategy for Southwark, covering the period 2015-2045, was agreed. The Cabinet noted the proposed next steps for developing this strategy, which include stakeholder engagement.

Plans for New Council Homes Development

The Cabinet noted the New Homes Housing Investment Plan, independently prepared by Savills UK, and its conclusions and suggested next steps. The ongoing development of a new long-term housing strategy and local plan for the borough, which will support the delivery of this investment plan, was also noted. Officers are to further develop the investment plan and build the necessary development capacity to deliver it, with a report back to the Cabinet scheduled for July 2014.

Procurement Strategy Approved for SEND School Bus Transport

The Cabinet approved the procurement strategy for the Special Educational Needs and/or Disability (SEND) school bus transport service. This will involve a competitive tender process to appoint a contractor for a period of five years and eight months, commencing on 1 January 2015 and ending on 31 August 2020. The estimated annual value of the contract is £1.95 million, with an extension provision for a further two twelve-month periods, bringing the estimated total contract value to £15.9 million.

Consistent Responses to Antisocial Behaviour

The Cabinet noted the findings of a systemic service review into the council's antisocial behaviour (ASB) responses. The implementation of a Southwark Landlords Charter for handling all ASB reports was agreed, which includes ensuring every complainant has a named point of contact and promoting closer cross-departmental working and a case management approach to noise complaints. Progress made by officers to improve services for ASB victims was noted. This report represents the first stage of a review into the council's and partners' approach to ASB in light of new legislation and changing community needs, with officers instructed to report back in summer 2014 with more detailed operational opportunities and implications. Proposed communications as part of a community reassurance strategy to enhance the council's reputation for helping people feel safe were also noted.

Compulsory Purchase Order for Burgess Park Expansion

The council will make a Compulsory Purchase Order (CPO) under section 226(1)(a) of the Town & Country Planning Act 1990 and section 13 of the Local Government (Miscellaneous Provisions) Act 1976. This order is for the acquisition of land and new rights within specific areas to improve and extend Burgess Park. The head of property has been authorised to take all necessary steps to secure the making, confirmation, and implementation of the CPO, including acquiring interests in land by agreement or compulsorily, and approving agreements with landowners. The head of property can also amend the boundaries of the sites if necessary.

Motions Referred from Council Assembly

Several motions referred from Council Assembly were agreed by the Cabinet:

• Local Business and Enterprise: The Cabinet welcomed the administration's commitment to supporting residents and businesses, noting the council's economic wellbeing strategy and its commitments to narrowing the employment rate gap, making Southwark a place of choice for businesses, revitalising town centres, and promoting financial independence. The Cabinet also welcomed progress made, including a £1 million business support fund, a £1 million youth fund annually until 2016/17, and the securing of jobs, training, and employment support through Section 106 and Community Infrastructure Levy agreements. The motion also expressed regret regarding the government's austerity measures and the scrapping of schemes like the Future Jobs Fund.
• Small Business Saturday: The Cabinet commended the council's efforts to encourage local shopping and support small businesses through the Small Business Saturday campaign. It also resolved to call on the Cabinet to back local businesses and ensure the success of events like the East Dulwich Cracker and the Herne Hill Christmas re-launch for businesses affected by floods.
• Introducing a Supermarket Levy: The Cabinet welcomed Labour's commitment to reversing the corporation tax cut and using the revenue to reduce business rates for properties with an annual rental value of £50,000 or less. The motion noted the Local Works campaign for a levy on large supermarkets and proposed a pan-London approach to minimise risk to Southwark residents. The Cabinet was called upon to approach the Mayor of London to consult on introducing a supermarket levy and discuss the proposal with neighbouring councils.
• Payday Lenders: The Cabinet noted with concern the increase in payday loan outfits on high streets, particularly in areas like Peckham, and recognised their negative effect on low-income individuals due to high interest rates and potentially misleading tactics. The motion called for support and prioritisation of alternative affordable lending models. The Cabinet welcomed the agreement from two billboard advertising contractors not to display payday loan adverts and urged the third contractor, JC Decaux, to follow suit. The motion also acknowledged that small businesses are often priced out of high streets, allowing payday lenders to open, and praised the work of the London Mutual Credit Union as an alternative. The Cabinet member for communities and economic wellbeing's commitment to making it more difficult for payday lenders to open, including through planning powers and Article 4 directions on change of use, was welcomed. The Cabinet was urged to call on the government to follow Southwark's lead and to consider local business rate discounts and exemptions to encourage mixed high streets.
• Bermondsey Business Improvement District: The Cabinet congratulated the Bermondsey Business Association on its work supporting local businesses and improving the local economy. Support was given to their bid to create a Business Improvement District (BID) in Bermondsey, noting the council's £30,000 investment through the community restoration fund. The economic benefits of a BID, including marketing The Blue as a shopping destination and partnering with areas like Bankside and Borough Market, were recognised. The Cabinet also acknowledged recent burglaries in the area and committed to working with the police to address the issue. The opening of a new butchers' shop in The Blue and the work of Russell Dryden and the South Bermondsey Partnership were also noted. The Cabinet was called upon to ensure prospective new businesses add benefit to the area and its shopping mix, and the cabinet member for communities and economic development was asked to continue working with the Bermondsey Business Association.
• Whitworth House: The Cabinet noted the significant investment in the council's flagship warm, dry and safe (WDS) housing investment programme. The motion called on the Cabinet to ensure all residents are visited to assess outstanding issues related to damp, repairs, and door and window replacement before payment is made, and to agree plans and timetables for resolving these issues. Close supervision of replacement contractors and provision of compensation for missed appointments and disruption were also called for. A review of the management and oversight of major works and ongoing scrutiny of the WDS programme were also requested.
• Pop Up Shops on Canada Water Plaza: The Cabinet noted that several units on Canada Water Plaza are currently empty. The success of temporary 'pop up shops' in vacant units in East Street and Nunhead was noted as a good use of empty spaces to promote local business and develop the local economy. The Cabinet was called upon to explore the possibility of the council taking a one-year lease for the empty units on Canada Water Plaza and to work with shop owners to use these units as 'pop up shops'.
• Ending Council Investment in Tobacco and Arms: The Cabinet welcomed the commitment to survey pension scheme members on ethical investment views. It acknowledged that decisions on individual investments are made by the strategic director of finance and corporate services, advised by a cross-party pensions advisory panel, with the primary duty to ensure the financial wellbeing of scheme members. The Cabinet noted a £200 million funding gap in the pension fund and the potential for lawsuits if investments do not provide substantial returns. The Cabinet welcomed the work with the pensions advisory group to find more ethical investment methods and the commitment to explore stopping investment in some firms, subject to ensuring the best return for members. The pensions advisory panel was called upon to consider how this can be done without negatively impacting the ability to pay members.
• Fairtrade: Southwark Council achieved Fairtrade borough status in July 2007, and the Cabinet reconfirmed its commitment to Fairtrade, expressing support for the use, expansion, and promotion of Fairtrade products within the council's offices and other establishments. The Cabinet was called upon to continue working with catering contractors, staff, residents, businesses, and the voluntary sector to increase the availability and uptake of Fairtrade marked food, drink, and clothing options.
• Stop the Delay on Southwark Park Athletics Track: The Cabinet noted the state of disrepair of the Southwark Park athletics track and welcomed the allocation of £1.09 million from various funding streams for its redevelopment, including Olympic Legacy Funding. A capital bid will be made for the remainder of the funding required for a full site development, including remodelling of the building and changing facilities. The current administration's commitment to completing all projects funded by the Olympic Legacy Fund was welcomed.
• Support for the British Nuclear Test Veterans Association: The Cabinet noted its commitment to the Armed Forces Community Covenant and the significant service of those who participated in Britain's nuclear weapons testing in the 1950s and 1960s. The Cabinet welcomed practical measures introduced by the NHS to support British nuclear test veterans and believed other parts of the public and voluntary sector should introduce similar measures, with the council leading locally by extending the provisions of the Armed Forces Community Covenant to veterans living in Southwark. The government was urged to officially recognise the unique service of these veterans and support the establishment of a benevolent fund of £25 million. Southwark's Members of Parliament were called upon to back this campaign and urge the government to support the requests. The deputy leader and cabinet member for housing management would write a letter in respect of recommendation 6.

Deputation Requests Heard

The Cabinet agreed to hear deputation requests. The deputation from the Creation Trust and local residents from the Aylesbury Estate expressed support for the estate's redevelopment and urged the council to agree on the development partner, highlighting over 13 years of consultation and the belief that the contract would deliver new and affordable homes. A deputation from local residents in the Blackfriars Road area raised concerns about the draft Blackfriars Road supplementary planning document, fearing a detrimental impact, particularly regarding building heights, which they believed could affect the community, heritage, and daylight aspects for residents, including vulnerable individuals in sheltered housing.

Cabinet Members' Response to Deputation Noted

The Cabinet noted the response to a six-point action plan proposed by a deputation from the Southwark Association of Street Traders (SAST) and the Walworth Town Team.