Agenda item

Report of the Assistant Director Economic Growth and Housing

The Cabinet considered the report of the Assistant Director -Economic Growth and Housing advising, in accordance with the Council’s Constitution, of the decision ofthe Leader of the Council to exercise their powers to make urgent decisions because ofthe necessity to deliver emergency funding to businesses as part of the Council’s response to the incident in Southport on 29 July 2024. The Council would aim to provide long-term support to all affected families, communities and stakeholders, in every respect, following the events of 29 July 2024. The Council’s priority was immediate and long-term support for those families, in any and every manner required. However, wider support included financial assistance for businesses affected by the events, via the introduction of a Southport Business Recovery Fund. While business and economic considerations might be wider and longer-term as well, the immediate focus was proposed to be on businesses and organisations located in the Hart Street and St Lukes Road areas of Southport.

Cabinet Members thanked the who were staff involved in the support being offered.

Decisions Made:

That

(1)      the report and the necessity for the Leader of the Council to exercise her powers under the Council’s Constitution to make urgent decisions to deliver emergency funding to businesses as part of the council’s response to the incident in Southport on 29 July 20242, be approved, including the introduction of a Southport Business Recovery Fund to provide financial assistance, in the first instance, to businesses and organisations located in the Hart Street and St Lukes Road areas of Southport which have incurred losses following the incident in Southport on 29th July 2024;

(2)      the allocation of £0.5m funded via existing Council resources be approved;

(3)      the establishment of the fund, and disbursement of monies be progressed immediately given the urgency with which support is needed by affected businesses, with Cabinet and Council approvals to be secured retrospectively;

(4)      the finalisation of eligibility criteria and associated processes be delegated to the Assistant Director, Economic Growth and Housing, in consultation with the Cabinet Member - Regeneration, Economy and Skills;

Rule 27

(5)      it be noted that the proposal was a Key Decision but had not been included in the Council's Forward Plan of Key Decisions. Consequently, the Leader of the Council and the Chair of the Overview and Scrutiny Committee (Regeneration and Skills) had been consulted under Rule 27 of the Access to Information Procedure Rules of the Constitution, to the decision being made by the Cabinet as a matter of urgency on the basis that it was impracticable to defer the decision until the commencement of the next Forward Plan because it was necessary to provide emergency funding to businesses in Hart Street, Southport following the incident on 29 July 2024 which forced them to close, causing loss of income for the period of closure of up to four weeks.

Reasons for the Decisions:

Support for the affected families remained the Council’s priority, alongside support for all affected communities and stakeholders. This included local businesses, their owners and employees.

The Business Recovery Fund was one of many steps of support required to meet the immediate needs of affected local businesses. This formed part of a developing long-term plan, through a community impact assessment, which also must be based on different groups impacted.

The Council would continue to work with partners (locally and in central government) and with those impacted to understand the long term need through the community impact assessment.

Alternative Options Considered and Rejected:

Do nothing and refer businesses to available loan finance. This was rejected as businesses affected by closures were struggling to meet financial commitments and additional debt burden would compound their current situation, potentially resulting in closure. This would not reflect the Council’s unequivocal commitment to short- and long-term support.