Issue - meetings

Sefton Council - Sandway Homes Ltd

 

 

Meeting: 03/09/2020 - Cabinet (Item 43)

43 Sefton Council - Sandway Homes Limited pdf icon PDF 93 KB

Joint Report of the Chief Executive and the Head of Corporate Resources and Customer Services

Minutes:

The Cabinet considered the joint report of the Chief Executive and Executive Director of Corporate Resources and Customer Services that updated Members of progress made over the last 12 months in relation to Sandway Homes Limited.  The report detailed the most up to date financial position against the business case of the Housing Development Company.

 

The Cabinet Member for Communities and Housing, Councillor Hardy welcomed the report and referred to the development of the operational plan and how that reflected the quality of controls in place in ensuring that the operational plan was aligned with the Local Plan in meeting the Social Housing needs of the Council.  

 

Decisions Made:

 

That:

 

(1)

the updated financial forecasts for the returns to Sandway Homes Limited through delivering the Phase 1 Business Plan and for the Council in terms of the realisation of the benefits detailed in the Business Case, be noted and approved;

(2)

the internal and external factors that could influence and impact upon the financial returns to the Council and approve the controls in place to manage those, be noted;

 

(3)

the risk management arrangements that continue to be in place in respect of Sandway Homes Limited, be noted;

 

(4)

the changes to key personnel within Sandway Homes Limited as set out in the report, be noted;

 

(5)

based on the information contained within the report Sandway Homes Limited continuing to progress with the delivery of the Phase 1 Business Plan, be approved;

 

(6)

Sandway Homes Limited and the Council be authorised to  continue to work together to determine the exact assets the Council could purchase from the company as social housing and the financial implications, and that a further report be submitted to a future meeting of the Cabinet in that respect to support a decision in accordance with the Council’s Constitution and Financial Procedure Rules, be approved; and

 

(7)

that the Council be authorised to engage with the Company in developing Phase 2 of the Business Case and that a further report be submitted to a future meeting of the Cabinet in that respect.

 

 

Reasons for the Decisions:

 

Since 2016 the Council has been considering its role in the provision of housing throughout the Borough to complement an active third and private sector market.  There is significant demand for housing sites and housing development within Sefton, with over 11,000 housing units being required, over the Local Plan period, in order to meet with the local housing demand.

 

There is a national shortfall of circa 1m homes (of which 400,000 fall into affordable homes) whilst across the Liverpool City Region a total of circa 50,000 housing units will be required in the medium term. Sandway Homes Limited seeks to increase housing completions and the availability of choice for residents and those wishing to live in Sefton.

 

Alternative Options Considered and Rejected:

 

The Council set out its evaluation criteria in October 2017 that led to the decision to establish a wholly owned Housing Development Company.