The Dispensations Sub-Panel of the Panel of Independent Persons met to discuss policy and guidance on granting dispensations and to consider a specific application for a dispensation. The meeting's agenda focused on how members of the City of London Corporation can participate in discussions and votes when they have a disclosable pecuniary interest.

Policy and Guidance on Granting Dispensations

The sub-panel was scheduled to consider the policy and guidance on granting dispensations under the Localism Act 2011 and the Members' Code of Conduct. This policy outlines what a dispensation is, the process for applying for one, and the statutory grounds for granting them. The guidance aims to ensure consistency in decision-making and provides additional factors for consideration.

The policy states that the default position is that a member with a disclosable pecuniary interest cannot speak or vote on a matter. However, a dispensation can be granted on specified statutory grounds. The onus is on the member applying for a dispensation to demonstrate that the grounds are satisfied. The City of London Corporation's policy generally supports granting dispensations to speak, but not vote, on matters concerning a member's ward, unless the interest would be directly and materially impacted.

Disclosable pecuniary interests are defined by the Localism Act 2011 and include interests in employment, sponsorship, contracts, land, licences, corporate tenancies, and securities. A member is prohibited from participating in discussions or votes on matters where they have such an interest and are aware of it. The policy clarifies that this prohibition extends to speaking as a member of the public.

Certain straightforward dispensation applications can be determined solely by the Town Clerk. These include applications related to council tax, speaking on planning and licensing applications, and speaking on general housing matters, provided certain conditions are met. For other applications, the Dispensation Panel, or the Monitoring Officer in urgent cases, will consider the request.

The policy also details factors to be taken into account when deciding on a dispensation, such as maintaining public confidence, the impact on democratic debate, equivalent public rights, the expectation of ward representation, and whether the interest is widely held. Applications are encouraged to be specific and focused on particular circumstances.

Application for a Dispensation

The sub-panel was also scheduled to consider a specific application for a dispensation from John Owen, a Co-Opted Member and Governor of the Board of Governors of the City of London School (CLS). Mr. Owen requested a dispensation for four years to speak, but not vote, on matters relating to the City Junior School (CJS) that are submitted to the CLS Board or its sub-committees. This request was made because his child would be a pupil at CJS from September 2026.

Mr. Owen's application specified that the dispensation would exclude matters that would have a direct impact on him, such as the setting of school fees, or any item that relates solely or particularly to his own child. He noted that CJS matters constitute a small part of the CLS Board's agenda and that tuition fee increases are considered annually with recommendations from other committees.

The report referenced a previous decision in November 2024 where Alderman Robert Howard, Chairman of the City of London School for Girls (CLSG), was granted a similar dispensation to speak on CJS matters at the CLSG Board of Governors. The policy states that while each application is considered on its own merits, regard is given to previous decisions for consistency. Mr. Owen's application fell outside the scope of dispensations that the Town Clerk could determine independently and therefore required consideration by the Dispensation Sub-Panel.