Agenda item

Report of Deputy Chief Executive and Director of Regeneration and Planning

Lead Cabinet member: Councillor William Meyer

(This report contains an exempt appendix. Any discussion of this must take place at item 14 following exclusion of the public.)

(Key decision):

(1) Not to proceed on the basis of the business case (Appendix 1 - Exempt) for the project known as the Former Newhaven Fire Station. 

(2) To use the existing delegations (as per the February 2020 Cabinet decision) to proceed with the purchase of that site.

(3) To hold the site and further review its optimum use and business case.

(4) To authorise the Director of Regeneration and Planning, in consultation with the Portfolio Holder for Housing, Portfolio Holder for Finance and Assets, and Chief Finance Officer, to carry out all necessary actions in relation to the review of the site’s future use on the basis that any future proposed housing development will come back to Cabinet for approval.

The Cabinet considered the report of the Deputy Chief Executive and Director of Regeneration and Planning, providing an update on the progress of the housing delivery programme and key projects.

Since publication of the report, Cabinet had reflected on the current political and economic circumstances.

Policy and Performance Advisory Committee (PPAC), held on 3 November 2022 considered the report and resolved to not support the officer recommendations in the Cabinet report. Policy and Performance Advisory Committee did not feel that, in view of the spend involved, the business case could be supported, or sufficient alternatives had been presented. Councillor Linington, Vice-Chair of Policy and Performance Advisory Committee, was in attendance to present PPAC’s discussion.

The Head of Development, Investment and Delivery reported on the impact that the current financial climate was having on the housing market, making it more difficult for councils to viably build affordable housing, and potentially having an impact on the condition and sustainability features of those houses.

A revised set of recommendations were proposed by Cabinet. Whist finding merit in the original officer proposals, Cabinet agreed that it would not be sensible to proceed with the proposed business case, given the current financial uncertainty. Instead, the Council would proceed with the purchase of the public sector brownfield site, revisit its existing funding for housing development, in addition to exploring external funding opportunities, that may arise in the coming months.

Following initial discussions, Cabinet resolved to exclude the public whilst discussing the exempt appendix, as otherwise there was a likelihood of disclosure to them of exempt information as defined in schedule 12A of the Local Government Act 1972, paragraph 3 – Information relating to the financial and business affairs of any particular person (including the authority holding that information).

Following the exempt discussion, the public meeting resumed. Cabinet unanimously agreed to a revised set of recommendations as set out below. Cabinet wanted to emphasise a strong statement of intent to provide housing on the brownfield site.

Resolved (Key decision):

(1) Not to proceed on the basis of the business case (Appendix 1 - Exempt) for the project known as the Former Newhaven Fire Station. 

(2) To use the existing delegations (as per the February 2020 Cabinet decision) to proceed with the purchase of that site.

(3) To hold the site and further review its optimum use and business case

(4) To authorise the Director of Regeneration and Planning, in consultation with the Portfolio Holder for Housing, Portfolio Holder for Finance and Assets, and Chief Finance Officer, to carry out all necessary actions in relation to the review of the site’s future use on the basis that any future proposed housing development will come back to Cabinet for approval.

Reason for decisions:

To enable the Council to purchase redundant public sector brownfield land and to ensure the business case is sufficiently robust in the current economic climate to meet the Council’s intentions to develop the site for housing.

Notes: (1) Appendix 1 remained exempt. (2) Exempt information reason 3 -Information relating to the financial or business affairs of any particular person (including the authority holding that information).