The Local Scrutiny Committee met on Monday 12 October 2026 to discuss the West Midlands Spatial Development Strategy and receive an update on bus governance. The committee reviewed the ongoing development of the Spatial Development Strategy, which aims to shape future planning decisions across the region, and discussed the proposed governance arrangements for West Midlands Bus Limited following its acquisition.

West Midland Spatial Development Strategy Update

The committee received a presentation on the West Midland Spatial Development Strategy (SDS), a new regional planning policy framework designed to guide local plans and provide certainty for investment. Leo Pollak, Head of Policy, explained that the SDS is intended to operate as a spatial investment framework, working in conjunction with local and neighbourhood plans. He highlighted the need for the SDS to address housing and employment land shortfalls, coordinate infrastructure development, and enable collective action with neighbouring authorities.

Pollak outlined the current approach to housing apportionment, which aims to balance housing needs with development capacity. He detailed the Strategic Growth Study, which assesses over 150 potential locations for housing development based on various criteria, including transport accessibility, environmental constraints, and proximity to labour markets. This study, co-funded by 18 local authorities, will inform both the WMCA's SDS and those of neighbouring regions. The SDS will not make site allocations but will describe broad areas of growth and will consider various spatial scenarios.

Key guiding principles for the SDS include Infrastructure Before Growth, Brownfield First, and Enhancing the functions of green spaces. The strategy is being developed through intensive co-development with local authority planners and officers, with input from thematic working groups, a Residents' Assembly, and a new political steering group. The timeline for the SDS development is provisional, with stages including evidence gathering, public engagement, an issues and options paper, a draft SDS, examination, and adoption.

During the discussion, councillors raised concerns about the potential impact on Green Belt land, particularly the Meriden gap between Solihull and Coventry. Pollak clarified that the SDS does not draw Green Belt boundaries, which remains the responsibility of local authorities. However, the SDS can highlight rationales for growth in specific locations and encourage a focus on enhancing the functions of existing Green Belt land. Questions were also raised about the enforceability of infrastructure thresholds before housing growth proceeds and how estate renewal and densification would be considered as alternatives to Green Belt release. Pollak assured the committee that estate renewal is part of the SDS's considerations and that the strategy aims to coordinate infrastructure delivery with growth. He also explained that the SDS would not supersede local plans but would work in parallel with them, providing strategic guidance.

Bus Governance Update

Pete Bond, Director of Integrated Transport Services, provided an update on the acquisition of West Midlands Bus Limited. He explained that the acquisition was agreed by the WMCA board in July and that the framework agreement was announced in August. The transfer of staff under TUPE regulations has concluded, and WMCA is completing legal, contractual, and financial preparations. The business is expected to begin operating as West Midlands Bus Limited from 1 November, with the acquisition completion scheduled for 1 December.

The report sought approval for the governance arrangements for West Midlands Bus Limited, which will include an independently appointed chair and two non-executive directors, alongside two senior representatives from the combined authority. These representatives will have a scrutiny and engagement role, with limited voting rights to ensure the independence of the bus service. The committee also sought approval for the continuation of grant funds to support the existing commercial bus sector, which accounts for approximately 90% of services. These grants are intended to maintain the commercial bus network during the transition to franchising, which is scheduled to be implemented in parts of Birmingham, North Birmingham, and Coventry by October 2027.

Councillors raised questions about the independence of the bus service from the combined authority, the repurposing of grant funds, and the equitable distribution of new zero-emission buses across the region. Bond explained that the two combined authority directors on the board would primarily focus on scrutiny, actions, and engagement, without significant voting power. He clarified that the grant funds are a continuation of existing subsidies aimed at achieving future efficiencies through franchising, rather than a new subsidy with a different name. Regarding the equitable distribution of electric buses, Bond acknowledged that this is a long-term process, influenced by the availability of infrastructure and the upgrade of existing diesel vehicles.

The committee also discussed the current network size, which is at 83% of its pre-COVID level, while patronage has recovered to 95%. Bond explained that this means more passengers are travelling on fewer miles, with a focus on reducing less densely filled trips. He assured members that efforts have been made to maintain access standards and that the franchising model will provide mechanisms for improved reliability, punctuality, and passenger experience, including contractual penalties and rewards for operators.

Concerns were raised about the potential for disruption during the transition to franchising and ensuring that new housing developments are adequately served by bus routes. Bond stated that the initial phase of franchising aims for minimal change, with existing routes and services largely maintained. However, he acknowledged that evolving the network to support new developments will involve targeted changes that may impact some users. The interaction between West Midlands Bus Limited's management structure and the future franchising model was also discussed, with plans for iterative changes to management activities as franchising is rolled out.

The committee also reviewed the Action Tracker, Work Programme, and WMCA Board Forward Plan, noting their contents. The next meeting is scheduled for Monday 30 November 2026.