The Isle of Wight Council's Full Council met on 17 September 2025, and councillors primarily discussed and made key decisions on local government reorganisation and pension fund investment pooling, as well as reviewing political proportionality and various committee appointments. The council agreed to submit the full proposal for local government reorganisation to the government, confirming its support for one of the three detailed options included in the proposal. Additionally, the council supported an expression of interest to join the Central Pool for pension fund investment, while also addressing political proportionality and committee nominations.

Here's a more detailed look at the key topics discussed:

Local Government Reorganisation

The council approved the submission of a full proposal to the government regarding local government reorganisation in Hampshire and the Isle of Wight, with a deadline of 26 September. This followed an invitation from the government to submit proposals for a single tier of local government. The proposal included three detailed options, all based on a five-unitary model: four new mainland unitaries and the Isle of Wight remaining independent. These variations focused on establishing a unitary council centred around the major urban economies and population centres of Southampton, Portsmouth, Winchester and Basingstoke.

The council also voted to confirm its support for one of the three options, and delegated authority to the Chief Executive, Wendy Perera, in liaison with the Leader of the Council, Councillor Phil Jordan, to make any final amendments to the full proposal before submission.

The report of the Leader of the Council, Councillor Phil Jordan, noted that the government would assess proposals against six criteria, including achieving a single tier of local government, ensuring unitary local government is the right size, prioritising high quality public services, demonstrating councils have sought to work together, supporting devolution arrangements, and enabling stronger community engagement.

The report also detailed the financial implications of local government reorganisation, with KPMG undertaking a financial evaluation of the likely costs of implementation and ongoing savings. The evaluation, which focused on the Boundary Change Option, estimated that local government reorganisation would cost £133m to implement, with recurring annual net benefits of £64m per annum phased in over three years.

Isle of Wight Pension Fund and Investment Pooling

The council considered a report from the Director of Finance, Chris Ward, regarding the Isle of Wight Pension Fund and investment pooling. The report noted that the ACCESS pool, to which the Isle of Wight Council pension fund belongs, is almost certain to be disbanded, and the council needs to decide which new investment pool to join.

The council supported the Expression of Interest made to join the Central Pool and confirmed the fund would report an 'in principle' decision to the government by the 30 September deadline to join the Central Pool. The council also agreed to delegate authority to the S151 officer, in consultation with the chair of the pension committee, to take any action or decision considered necessary on investment pooling work, including entering into memorandums of understanding with Central Pool and ACCESS.

The report noted that the government expects 100% of the fund's assets to be transferred to the new investment pool by 31 March 2026.

Review of Political Proportionality

Following the resignation of Councillor Clare Mosdell from the Conservative Group, and Councillor Maclean from the Reform UK Group, the council reviewed political proportionality, alternative arrangements, and nominations to committees. The Senior Governance Advisor explained that a review of political proportionality would not be required as the new Councillor would join the Alliance group.

The council agreed to the nominations and appointments set out in the revised appendices, including the appointment of Councillor Paul Fuller to the Cowes Harbour Advisory Board.

Other Matters

During the meeting, the council also addressed public and member questions, including queries about inquest case delays, road closures by HMP Isle of Wight, equality and diversity training for council employees, and ethical investment of pension funds. Written responses were provided or promised for several questions.

The council also approved the Isle of Wight Youth Justice Plan 2025-2028 and the revised Street Furniture and Pavement Licensing Policy 2025 – 2030, and Gambling Act Statement of Licensing Policy 2025-2028. The council also agreed to adopt the Land and Property Asset Disposal Policy, subject to amendments. Councillor John Nicholson, Councillor Jonathan Bacon, Councillor Christopher Jarman and Councillor Paul Fuller declared interests in various items on the agenda. Councillor Ian Dore, IW Council Chair, made announcements regarding officer awards, the PEACH games, and the opening of a squirrel hide in Havenstreet.