Croydon Council held an extraordinary meeting to discuss the potential implications of the Secretary of State's intention to appoint commissioners to the council. The council agreed to note a report from Statutory Officers on the matter, and then heard a statement from Mayor Jason Perry, followed by questions from councillors. The council discussed the government's proposal, the council's financial position, and the potential impact on services.

Government Intervention

The main item on the agenda was the government's announcement that it was minded to send commissioners into Croydon. The council was asked to note a Statutory Officers' Report on the potential consequences and implications for the decision-making functions of the Executive Mayor and Cabinet, Statutory Officers, the full council, and the council's scrutiny function.

Councillor Stuart King, Leader of the Opposition, opened the debate by stating that a collaborative approach with the government was essential, given the council's overspending and debt. He argued that a publicly confrontational response to the Secretary of State risked undermining Croydon's chances of securing a long-term financial settlement.

Councillor Lynne Hale, Statutory Deputy Mayor and Cabinet Member for Homes, responded that the request for an extraordinary meeting might be premature, as key details of any proposed commissioner model had not yet been made clear. She also stressed that it was unfair for residents to continue bearing the cost of Croydon's financial difficulties, and that despite severe financial pressures, the council had protected frontline services and was not a failing council.

Councillor Jason Cummings, Cabinet Member for Finance, stated that no council wished to face intervention, and ending it should be everyone's goal. He disputed the figure of a £136m overspend and stated that the burden of historic failure should not fall solely on Croydon residents, and that national government must be part of the financial solution.

The council resolved to note the report.

Mayor's Statement

Mayor Jason Perry then delivered a statement in response to the proposed intervention, calling it unjustified and deeply concerning. He acknowledged the challenges inherited at the start of his term but stated that Croydon was firmly on a path to recovery.

Mayor Perry reported key achievements including £167 million in savings, £210 million in capital receipts, a fully funded four-year transformation plan, a Good Ofsted rating for Children's Services, resolution of long-standing housing issues and 96% delivery of the Improvement and Assurance Panel's Exit Strategy.

He proposed an independent financial review, a new External Assurance Board and continued oversight via the Local Government Association, instead of commissioners. He argued that Croydon should be treated proportionately, noting that no other authority had faced commissioners without evidence of failure.

He also criticised the recent distribution of recovery grants, noting that Croydon had received nothing, while 14 Labour-run councils had. He argued Croydon was being penalised for its progress and again called for a structural debt solution.

Questions to the Mayor

Following the mayor's statement, councillors asked questions on a range of issues, including:

• Commissioners and Intervention: Mayor Perry stated that he would cooperate with appointed Commissioners but would oppose any proposals to raise Council Tax above the cap or reduce frontline services.
• Relationship with Improvement Panel: He confirmed that the Improvement and Assurance Panel had never exercised its statutory powers and continued to meet regularly with the council.
• Transformation and Stabilisation Plans: Mayor Perry reported that the council's original four-year transformation programme had been accelerated to two years under the Stabilisation Plan.
• Financial Oversight and Responsibility: He acknowledged full responsibility for financial decisions taken since his election, including the 15% Council Tax increase and service reforms.
• Debt and Government Dialogue: Mayor Perry stated that Croydon's debt burden was now costing £70 million annually and projected to rise to £2 billion, and that the council could not resolve the issue alone.
• Agency Staffing & Workforce Strategy: He reported that agency staffing costs stood at £53 million, which had been necessary for operational continuity, and that the council was working to reduce reliance on temporary staff.
• Adult Social Care: Mayor Perry acknowledged historic failings in cost control but stated that demand was not fully predictable, and that improvements had been made through better data and reablement[^1]. [^1]: Reablement is a short-term intervention that helps people regain their independence and confidence after an illness, injury, or disability.
• Town Centre Regeneration: He reaffirmed the council's commitment to regenerating the Whitgift and Centrale sites[^2]. [^2]: The Whitgift Centre and Centrale are two shopping centres in Croydon town centre.
• Service Cuts & Asset Strategy: He reported that £210 million had already been raised through major asset sales and that remaining assets were being reviewed for repurposing rather than for disposal.

Approval of Previous Minutes

The council approved the minutes of the meeting held on 14 May 2025, subject to a correction of the names of the Deputy Civic Mayor's family members.