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“Will Hackney's £27M overspend impact services?”

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Summary

The Hackney Council Cabinet met on 23 June 2025, and approved the Evening and Night Time Economy Strategy, and agreed to consult on an extension to the Public Spaces Protection Order for Wick Woodlands, Hackney Marshes and the surrounding areas. They also approved the creation of a Housing Advisory Panel. The Cabinet also discussed the overall financial position of the council, a capital update, and property disposals and acquisitions.

Financial Position

Councillor Robert Chapman, Cabinet Member for Finance, Insourcing and Customer Service, presented the 2024/25 Overall Financial Position Report, which indicated a projected overspend of £27.346 million. This is a decrease of over £10 million from the February forecast. The report highlighted pressures in homeless prevention and social care. The cabinet heard that reserves would be substantially used to balance the budget, which presents a challenge to the council's long-term financial sustainability.

Councillor Vinnie Lubbock asked about the use of reserves for school closures and redundancies, and whether future costs had been factored into the 2025-26 budget. Councillor Chapman clarified that the flexible use of capital receipts strategy would cover these costs, not reserves. He also noted that the council is not currently planning further school closures, but may have to make difficult choices in the future to maintain balanced budgets.

Councillor Reet raised concerns about vacant posts in various services and asked whether an equalities impact assessment had been carried out. Councillor Carole Williams, Cabinet Member for Employment, Human Resources and Equalities, responded that recruitment controls were in place to reduce spending growth and that equalities impact assessments are carried out at a service level where permanent changes are likely to be proposed. Councillor Reet expressed concern that these vacant posts were likely to become lost posts.

Councillor Reet also questioned the £17 million overspend in the Housing Revenue Account (HRA), particularly regarding legal disrepair cases. Councillor Nickerson responded that Hackney was not alone in seeing a rise in legal disrepair cases, and that the social housing sector as a whole is experiencing the same issues. He provided figures showing that the council had received 508 legal disrepair claims in the last financial year, rejecting 26 of these. He also stated that the alternative dispute resolution pathway has prevented 164 legal disrepair applications from escalating into legal cases. Councillor Reet suggested that the council was losing a lot of money in legal fees and court costs, and asked whether the council was properly considering whether a case is winnable before fighting it. Councillor Nickerson responded that the council will always try and reach an out-of-court settlement resolution of an issue and a problem.

Capital Programme

Councillor Robert Chapman introduced the Capital Update and Property Disposals and Acquisitions Report, highlighting the council's £1.7 million capital investment in the Reimagining Hackney Museum redevelopment project, supported by a £2.2 million grant from the National Heritage Lottery Fund1. He also mentioned a secured £1 million grant from the UK Shared Prosperity Fund for improvements to Ridley Road and Gillette Square and the Street Seed and Hackney Wick.

Councillor Sam Pallis commended the report, highlighting the £640,000 allocated for Dalston, Ridley Road and Gillette Square. He also spoke about the Hackney Impact business programme, which has supported 339 businesses and 1,238 activities. Councillor Christopher Kennedy pointed out the match funding that the council had committed to the museum project, which had helped to draw in funding from outside. Councillor Sarah Young added that the circular economy work that the council does is embedded in all of its business and economic decisions.

Evening and Night Time Economy Strategy

The Cabinet approved Hackney's first Evening and Night Time Economy Strategy. Councillor Susan Fajana-Thomas OBE, Cabinet Member for Community Safety and Regulatory Services, introduced the strategy, explaining that it aims to support growth while tackling antisocial behaviour and crime in partnership with the police. The strategy considers the needs of residents, workers, and visitors to the borough after dark (6pm to 6am). It focuses on safety, inclusivity, and supporting growth in the economy. The strategy was created with input from 14 different council service areas and external experts, and was informed by over a thousand responses to a consultation.

The strategy is built on three pillars:

  • Safety, security and wellbeing
  • Promoting inclusivity, celebrating diversity and culture at night
  • Shaping the evening experience and supporting growth in the economy

Public Spaces Protection Order

The Cabinet agreed to consult on an extension to the current Public Spaces Protection Order (PSPO) for Wick Woodlands, Hackney Marshes and the surrounding areas. Councillor John Thomson introduced the report, explaining that the PSPO is a tool to manage antisocial behaviour that can be detrimental to the local community's quality of life. He said that the PSPO is not about targeting any demographic of people, but about new cells that are being curated in our boroughs, where people come from all over London or far afield with sorts of generator lights on our woodland, destroying our trees, destroying, making, becoming a nuisance to our residents in that area.

The existing PSPO was approved in 2022, and unless extended, it will expire after three years. The consultation will explore renewing the PSPO for a further three years. The PSPO is intended to ensure that the law-abiding majority can use and enjoy public spaces safe from activities which have a detrimental effect on the quality of their life in the area.

Mayor Caroline Woodley acknowledged the nature recovery work that has taken place in Wick Woodlands and expressed her keenness to see it protected.

Housing Advisory Panel

The Cabinet approved the creation of a Housing Advisory Panel. Councillor Guy Nicholson, Deputy Mayor and Cabinet Member for Housing Management and Regeneration, introduced the report, explaining that the panel would advise the council on its improvement journey and help it comply with new consumer standards2.

Councillor Vinnie Lubbock asked how the members of the panel would be selected. Councillor Reet asked why people who hold a position on a Tenants and Residents Association (TRA) are not able to hold a position on the housing advisory panel. She suggested that the committees of TRAs are the best informed about what's happening on their estates and would therefore be invaluable people to have on the panel.

Councillor Nicholson responded that the core composition of the Housing Advisory Panel would be three independent housing professionals who can demonstrate significant change management experience within the social housing sector. He said that the appointment of the independent housing professionals will be subject to a council paid service-led recruitment exercise, and that the panel will be responsible for developing the working relationship with tenants and leaseholders. He added that the advisory panel is not being formed to replace any of the existing resident engagement structures.

Councillor Anya Sizer asked how independent the panel could be if the council is appointing them. She also asked what the process would be for selecting the tenants and leaseholders. Councillor Nicholson responded that the recruitment of the Housing Advisory Panel members will be undertaken like any of the paid service recruitment at that level. He said that the process for selecting the Tenants and Residents Association representatives is to be determined by the panel.

Councillor Reid said that she hadn't understood why elected representatives from TRAs couldn't be that resident. She also expressed concern that the panel would undermine the existing residents' liaison group. Councillor Nicholson responded that the conversation with the chair of the resident liaison group has been quite extensive to date, and that this provides the platform from which to design the relationship between the resident liaison group and the advisory panel.

Other Business

Mayor Woodley recognised that the meeting was Mark Agnew's last with Hackney Council, and thanked him for his service.


  1. The National Heritage Lottery Fund, previously known as the Heritage Lottery Fund, distributes a share of the money raised by the National Lottery to support projects that sustain, conserve and celebrate aspects of national heritage. 

  2. Consumer standards are regulatory standards set by the Regulator of Social Housing that registered providers must meet. 

Attendees

Profile image for CouncillorAnntoinette Bramble
Councillor Anntoinette Bramble Deputy Mayor and Cabinet Member for Children’s Services and Young People • Labour • London Fields
Profile image for CouncillorGuy Nicholson
Councillor Guy Nicholson  Deputy Mayor and Cabinet Member for Housing Management and Regeneration •  Labour •  Homerton
Profile image for CouncillorRobert Chapman
Councillor Robert Chapman Cabinet Member for Finance, Insourcing and Customer Service • Labour • Homerton
Profile image for CouncillorSade Etti
Councillor Sade Etti  Cabinet Member for Homelessness Prevention, Rough Sleeping and Temporary Accommodation •  Labour •  Clissold
Profile image for CouncillorSusan Fajana-Thomas OBE
Councillor Susan Fajana-Thomas OBE  Cabinet Member for Community Safety and Regulatory Services •  Labour •  Stoke Newington
Profile image for CouncillorChristopher Kennedy
Councillor Christopher Kennedy  Cabinet Member for Health, Adult Social Care, Voluntary Sector and Culture •  Labour •  Hackney Wick
Profile image for CouncillorCarole Williams
Councillor Carole Williams  Cabinet Member for Employment, Human Resources and Equalities •  Labour •  Hoxton West
Councillor Sarah Young  Cabinet Member for Climate Change, Environment and Transport •  Labour •  Woodberry Down
Profile image for CouncillorSem Moema
Councillor Sem Moema  Mayoral Adviser Private Renting and Housing Affordability •  Labour •  Hackney Downs
Profile image for CouncillorSam Pallis
Councillor Sam Pallis  Labour •  Cazenove
Councillor Anya Sizer  Deputy Cabinet Member for Families, Early Years and SEND •  Labour •  Hoxton East & Shoreditch
Councillor Joe Walker  Labour •  De Beauvoir

Topics

No topics have been identified for this meeting yet.

Meeting Documents

Agenda

Agenda frontsheet Monday 23-Jun-2025 18.00 Cabinet.pdf
Supplementary Papers - Agenda Item 10 Monday 23-Jun-2025 18.00 Cabinet.pdf

Reports Pack

Public reports pack Monday 23-Jun-2025 18.00 Cabinet.pdf

Additional Documents

Minutes of Previous Meeting.pdf
12-2 - Appendix 2 - Campbell Tickell Critical Friend Review.pdf
11 - CHE S548 Public Spaces Protection Order Wick Woodland HackneyMarshes and the surrounding area.pdf
10-2 - Appendix 2 - Consultation Report.pdf
10-3 - Appendix 3- Equalities Impact Assessment.pdf
10 - CHE S473 Evening and Night Time Economy Strategy.pdf
10-1 - Appendix 1 - Draft Evening and Night Time Economy Strategy.pdf
08 - F S519 2024-25 Overall Financial Position Report - March 2025.pdf
08-1 - Appendix 1 - Savings Performance 2024-25 to 2026-27.pdf
09 - F S509 Capital Update and Property Disposals And Acquisitions Report.pdf
08-2 - Appendix 2 - Cost of Living Support.pdf
08-3 - Appendix 3 - Use of Reserves.pdf
11 - CHE S548 Public Spaces Protection Order Wick Woodland HackneyMarshes and the surrounding area.pdf
11-1 - Appendix 1 - Proposed PSPO.pdf
11-2 - Appendix 2 - Equality Impact Assessment.pdf
12 - CHE S493 Creation of a Housing Advisory Panel.pdf
12-1 - Appendix 1 - Core Terms of Reference.pdf
Decisions Monday 23-Jun-2025 18.00 Cabinet.pdf