Agenda and minutes

The Chair welcomed everyone to the meeting, reminding everyone that this was a virtual meeting, as permitted under Section 78 of the Coronavirus Act 2020, to enable meetings to take place whilst observing social distancing measures.

At the invitation of the Chair, Members and officers present at the meeting introduced themselves.

The Committee noted that Councillor Thalukdar was present as a substitute member.

The Chair also advised that he would be taking items in a different order to that listed in the agenda.

Members are asked to declare any interests they may have in the business to be discussed.

Councillor Halford declared an Other Disclosable Interest in the general business of the meeting, in that she and family members were Council tenants.

Councillor Joshi declared an Other Disclosable Interest in the general business of the meeting, in that his wife worked for the Council.

Councillor Thalukdar declared an Other Disclosable Interest in the general business of the meeting, in that a family member was a Council tenant.

In accordance with the Council’s Code of Conduct, these interests were not considered so significant that they were likely to prejudice the Councillors’ judgement of the public interest.  They were not, therefore, required to withdraw from the meeting.

On behalf of the Committee, the Chair thanked management, staff and volunteers for their hard work in addressing the Covid-19 crisis.  He also acknowledged the difficulty residents in the city had faced in a prolonged lockdown.  He asked them to ensure they stayed safe, thanking them for their perseverance, and wished everyone well.

The minutes of the meeting of the Overview Select Committee held on 21 May 2020 are attached and Members are asked to confirm them as a correct record.

AGREED:

That the minutes of the meeting of the Overview Select Committee held on 21 May 2020 be confirmed as a correct record.

To note progress on actions agreed at the previous meeting and not reported elsewhere on the agenda (if any).

The Committee noted that, further to minute 81, “Leicester City Council’s Coronavirus Response”:

·           Letters had been sent to Leicestershire County Care, the Department of Health and Social Care, and to Ministers condemning the actions of Leicestershire Community Care in trying to cut the terms and conditions of hard-working staff during the Covid-19 crisis; and

·           An update on the Covid-19 situation in the city was being submitted to all scrutiny commissions.

AGREED:

That the Strategic Director Social Care and Education be asked to keep the Adult Social Care Scrutiny Commission updated on the situation regarding the reduction in terms and conditions of staff employed by Leicestershire County Care.

The Monitoring Officer to report on the receipt of any questions, representations and statements of case submitted in accordance with the Council’s procedures.

The Monitoring Officer reported that no questions, representations, or statements of case had been received.

The Monitoring Officer to report on any petitions received.

The Monitoring Officer advised that there were no petitions to report.

The Monitoring Officer submits a report that updates Members on the monitoring of outstanding petitions. The Committee is asked to note the current outstanding petitions and agree to remove those petitions marked ‘Petitions Process Complete’ from the report.

The Monitoring Officer submitted a report updating Members on the monitoring of outstanding petitions.

AGREED:

That the petition marked ‘petition complete’, namely 20/02/01, be removed from the Monitoring Report.

A verbal update will be given at the meeting on the current situation regarding the Covid-19 pandemic.  The Committee is recommended to receive the update and comment as wished.

The City Mayor stated that he had been very impressed with how people in the city and officers from the Council had responded to the local lockdown that had been imposed on Leicester in relation to the Covid-19 pandemic.  A review of the local arrangements was due on Thursday 30 July, but no firm indication had been received to date on what the outcome of this was likely to be.  However, available data suggested that the rate of transmission had been reducing for a number of weeks and that Leicester was no longer one of the worst-affected areas in the United Kingdom.

The Director of Public Health then gave a presentation reviewing the Covid-19 data in Leicester.  A copy of this presentation is attached at the end of these minutes for information.

The Director advised that:

·           At the start of the local lockdown approximately 130 – 140 cases of Coid-19 were being reported in Leicester per day.  This was now reducing and, as at 22 July, was reported to be approximately 66 cases per thousand population;

·           Volunteers were going door-to-door to help identify cases;

·           Nationally, 1.1% of tests for Covid-19 currently were positive, but in Leicester 2.2% were positive.  However, the number was decreasing;

·           Pillar 1 tests were done in hospitals.  There had been a very strong peak in positive Pillar 1 cases in April, but the number had then reduced in line with the national figure;

·           Pillar 2 data was that from the community.  Initially, tests were not done in the community nationally, so meaningful data on these figures was only available from the end of June;

·           Pillar 1 tests had a focus on older age groups, but an increasing number of cases in Leicester were not related to older people, with 30 – 39 being the age band with the largest number of cases;

·           Opportunities had been created to enable people to get tested for Covid-19 in all areas of the city.  People who tested positive therefore were able to isolate and stop transmission;

·           People had tested positive across the city, but clusters were identified in north-east area.  These Super Output Areas were very small – sometimes just a few households – but could have a significant impact;

·           In Leicester, transmission of Covid-19 was predominantly in the community, not transferring in to hospitals and care homes;

·           Work was constantly underway to identify ways of breaking chains of transmission; and

·           The rate of excess deaths in the city had slowed in June and levels were now more normal for the time of year, but Covid-19 was still circulating.

The City Mayor thanked all involved for the work they had done in sharing public health messages in community languages, stressing the importance of providing information in languages that were most likely to be understood.  The Committee also welcomed this work, noting that the use of different languages had been positively received and had had a significant impact in ensuring that pubic health messages were widely received.

The Committee welcomed the  ...  view the full minutes text for item 93.

The Director of Finance submits a report summarising the expected financial impacts of the pandemic on our budget.  The Committee is recommended to note the report and make comments to the Director of Finance and City Mayor as wished.  The Committee also is asked to support the City Mayor’s stance that the Government is expected to meet the full costs incurred.

The Director of Finance submitted a report summarising the expected financial impacts of the Covid-19 pandemic on the Council’s budget. 

The City Mayor introduced the report, expressing his anger that the government had not kept its promise to support local businesses throughout the extended local lockdown period. 

The Director of Finance drew Members’ attention to the information in the report on estimates of additional costs of the lockdown and estimated loss of service income, as well as support available.  It was noted that:

·           Rates paid to care home staff had been increased, to encourage staff to remain working at the care homes in which they currently were employed;

·           Accommodation would continue to be provided for rough sleepers while lockdown restrictions were eased and work with rough sleepers to find them long-term accommodation would continue;

·           The costs of shielding were now reducing, but some questions remained about how long this support would be needed for;

·           Nearly £800,000 would be lost every month that the Council’s leisure centres remained closed, due to loss of income and ongoing building costs;

·           The Government had made a number of grants available, but on a piecemeal basis;

·           Over 6,000 businesses had received business rates support.  As approximately £2million provided for this remained unallocated, the Council had asked for permission to use the funding for other support in the city, but this had been refused;

·           It was anticipated that the extent of the economic recovery over the next 12 – 36 months would impact on the amount of Council Tax that could be collected during that period;

·           A lot of engagement had been done to support housing tenants;

·           Major capital schemes had been impacted by supply chain issues, the exit from the European Union and increased costs due to social distancing on construction sites; and

·           A major concern was the long-term impact of the Covid-19 pandemic.  There would be a government spending review in the autumn, which it was anticipated would have a negative result for local government.

The Committee thanked officers for the response that had been made to the pandemic and expressed disappointment that the government had not fulfilled its pledge to provide funding. 

Concern was expressed that any underspend on the ringfenced business grant scheme would have to be returned to the government.  The City Mayor confirmed that, at present, all unused funding from this allocation would have to be returned to the government. 

The Director of Finance advised that funding for a discretionary business grants scheme, for businesses not eligible to receive assistance from the main business grants scheme, was funded from money received for the ringfenced business grants scheme.  The first round of applications for funding from the discretionary scheme had closed and the second round, which would include charities with fixed building costs who had lost income, would open soon. 

The Committee requested that as many businesses as possible be helped, especially those adversely affected by the extended lockdown period.  In reply, the Director of Finance explained that businesses had to  ...  view the full minutes text for item 94.

The City Mayor will give a verbal update on Black Lives Matter and the steps being taken by the authority to deal with inequalities.  The Committee is recommended to receive the update and comment as wished.

The City Mayor introduced this item, recognising the broad range of issues to be considered when looking at Black Lives Matter and stressed the seriousness with which the Council took these.  Much work remained to be done, with issues to be addressed by the Council, the city and other institutions in the city.

The City Mayor explained that it was important to have a particular individual leading on this and advised the Committee that Councillor Hunter had been appointed to take this lead. 

Discussions had been held with the Stephen Lawrence Research Centre at De Montfort University, which would be providing support, including critical support, and helping with engagement with the wider community, to ensure that concerns were heard and responded to.  It also was hoped that initiatives could be identified that helped the Caribbean Centre be even more effective in embodying the dialogue needed in the wider community.

The City Mayor advised that a fuller report would be brought to the Committee when a work programme had been established that encompassed the priorities of wider communities and not just the Council’s priorities.

Councillor Hunter addressed the Committee, stating that she looked forward to working closely with other Councillors and with the wider community to move this work forward.  Consideration needed to be given to what was meant by Black Lives Matter, so that work could be done with the community to eradicate racism and racist practice.  Working with the Stephen Lawrence Research Centre, the community and Councillors were important goals, as this was an issue that everyone needed to address, not just the Council.

Councillor Patel, (Assistant City Mayor – Equalities and Special Projects), advised the Committee that before the Black Lives Matter movement came to prominence, investigation of disparities in the Council already had been undertaken.  Directors had been tasked with looking at past recommendations, to see what had been implemented and what had not, and this information would be used to help find real solutions as the work progressed.

The Committee welcomed the update, noting that it would lead the scrutiny of Black Lives Matter, but it was stressed that this also would be a focus for all scrutiny commissions.

Members stressed the importance of being able to dismantle racist practices and create structures that would allow better practices to replace them, working towards being one community working for Leicester.  Successive governments and legislation had failed to address racism, but the opportunity now needed to be taken to produce tangible results. 

The Committee agreed that a lot of work had been done in Leicester to facilitate community cohesion and other parts of the country had looked to the city for guidance on how serious issues had been addressed, but it was important for the Council to now address the issues from within all service areas before better practices could be developed with other communities or institutions.  In this way, it was hoped that a national template could be provided for other parts of the country to follow.  ...  view the full minutes text for item 95.

The Committee is recommended to receive and endorse the report of the review of Economic Development at Local Level carried out by the Economic Development, Transport & Tourism Scrutiny Commission.

Councillor Waddington, Chair of the Economic Development, Transport and Tourism Scrutiny Commission, presented the report of the review carried out by that Commission of Economic Development at Local Level.

Councillor Waddington thanked everyone involved in the review for their contributions.  She drew attention to the recommendations set out in the report, noting that the Covid-19 pandemic was likely to have a disproportionate impact in low income areas and stressing the need to build a local economy that was not dependent on low pay and zero hours contracts.

The City Mayor welcomed the report, thanking the Scrutiny Commission for its work and looking forward to receiving it when it was presented to the Executive.

The Committee also thanked the Scrutiny Commission for the report, expressing the hope that the findings would complement the forthcoming work on Black Lives Matter, (minute 95, “Black Lives Matter”, refers), particularly in relation to employment, investment, training and development opportunities, and growth opportunities.  It was noted that using ward boundaries to identify geographical areas of concern in relation to these issues presented difficulties, as they crossed boundaries.

Members also expressed the hope that an economic development model similar to that used in Preston could be adopted in Leicester.  This was particularly important for young people aged 18 – 24, who were the age group most likely to be impacted by the economic crisis created by the Covid-19 pandemic.  This emphasised the importance of investment in education and training.

Some concern was expressed that the Covid-19 pandemic crisis had highlighted the fact that some people on low wages sometimes felt that they needed to abuse the social security system in order to increase their income and that those on low wages easily could be economically abused by employers.  It therefore was important that ways be found to address these issues.

Councillor Waddington thanked the Committee for its support, noting that the review had been undertaken in partnership with a wide range of stakeholders, to ensure that recommendations made for future services were focussed on those who needed them.

Councillor Waddington also noted that to date it had unfortunately not been possible to visit Preston to discuss the model of economic development used there, due to the Covid-19 pandemic, but it was hoped that a visit could be undertaken in due course.  Any members of this Committee interested in being included in this visit were asked to contact Councillor Waddington.

AGREED:

1)    That the report of the Economic Development, Transport & Tourism Scrutiny Commission on its review of Economic Development at Local Level be welcomed and endorsed;

2)    That, further to 1) above, the Executive be asked to consider the report referred to, taking in to account the comments recorded above; and

3)    That the Scrutiny Policy Officer be asked to present a summary of the Executive’s response to the report referred to in 1) above to this Committee in due course.

The Director of Finance submits a report setting out the Council’s financial performance against its revenue budget for the financial year.  The Committee is recommended to consider the overall position presented within this report and make any observations it sees fit.

The Director of Finance submitted a report setting out the Council’s financial performance against its revenue budget for the financial year 2019/20.  She explained that, due to delays caused by the Covid-19 crisis, assumptions had had to be made about some elements of the Statement of Accounts, but these could be rectified later if necessary.

The Director further explained that:

·           It was difficult to predict care costs, due to the different needs of those entering and leaving the care system;

·           There was year-on-year continued growth on the Adult Social Care budget; and

·           The VAT refund referred to in the report was a one-off windfall and would be used to support match-funding for the Transforming Cities programme.

The Committee noted the underspend on preventative services, that had been caused by staff vacancies.  The Director of Finance confirmed that there had been problems recruiting new staff to the service and that it had been suggested to the Strategic Director Social Care and Education that a report could be presented to the Adult Social Care Scrutiny Commission discussing how this could be addressed.

Members noted that the use of independent fostering agencies continued to increase and enquired whether anything could be done to encourage more people to become foster carers through the Council, rather than through these agencies.  The Director of Finance suggested that consideration could be given to whether publicity could be strengthened to identify the support the Council gave to foster carers beyond that offered by independent fostering agencies.

It also was questioned whether it would be more economical for the Council to use independent providers for specialised residential placements for children.  In reply, the Director of Finance noted that every child’s needs were different, so the best ways of addressing those needs required more than just premises.  However, active discussions were being held with Leicestershire County Council regarding the possibility of making use of some of that authority’s premises.

The Committee suggested that a decision on repurposing the welfare reserve, to give it a wider remit, be deferred until full information was available on a broad post-Covid anti-poverty strategy, as it was felt that insufficient information currently was available to consider if a widening of the remit could be supported.  The Director of Finance reminded Members that reserves could only be used for the purpose for which they had been set up.  The report suggested increasing the reserve, but this could be reviewed if wished.

AGREED:

1)    That the report be received and noted;

2)    That, in order to help address concerns about the increasing use of independent fostering agencies, the Strategic Director Social Care and Education be asked to consider whether publicity can be strengthened to include more information on the additional support that the Council provides to foster carers compared to that provided by independent fostering agencies;

3)    That the Executive be asked to consider deferring a decision on the proposal to repurpose the welfare reserve to give it a wider remit until full information is available  ...  view the full minutes text for item 97.

The Director of Finance submits a report showing the position of the capital programme at the end of 2019/20.  The Committee is recommended to consider the overall position presented within this report and make any observations it sees fit.

The Director of Finance submitted a report showing the position of the capital programme at the end of 2019/20 and reminded Members that capital spending often covered more than one year.

The Committee questioned whether the programme of work on the Jewry Wall Museum Improvements should be reviewed, as it represented significant expenditure at a time when some sectors of the local economy were in difficulty.  In reply, the City Mayor recognised that the economic situation had changed since the work was commissioned, but reconfirmed his commitment to the scheme and that the scheme would be delivered at a cost very close to that budgeted for.

The Committee asked how social distancing requirements resulting from the current Covid-19 pandemic increased the cost of a project and whether officers could be certain that these cost increases were genuine.  The Director of Finance explained that all claims were carefully monitored by the Director of Capital Projects, so he could be asked to come to a future meeting of the Committee to explain what additional costs were being incurred.

AGREED:

1)    That the report be received and noted;

2)    That the Director of Finance be asked to advise members of the Committee in writing what the programmed work on Welford Road related to;

3)    That the Director of Capital Projects be asked to attend the meeting of this Committee at which the next capital budget monitoring report is presented, to explain what additional costs are being incurred due to social distancing requirements in relation to the Covid-19 pandemic; and

4)    That the Executive be asked to take account of the comments and concerns of this Committee recorded above when considering this report.

The Director of Finance submits a report detailing progress made in collecting debts raised by the Council during 2019-20, together with debts outstanding and brought forward from the previous year.  It also sets out details of debts written off under delegated authority that it has not been possible to collect after reasonable effort and expense.  The Committee is recommended to consider the overall position presented within this report and make any observations it sees fit.

The Director of Finance submitted a report detailing progress made in collecting debts raised by the Council during 2019/20, together with debts outstanding and brought forward from the previous year.  It also set out details of debts written off under delegated authority that it had not been possible to collect after reasonable effort and expense.  The Director advised that is was not possible to forecast what level of debt recovery could be expected over the coming year, as there were too many variables that could affect this.

The Director drew attention to the three year moving average of debt owed to the Council, stressing that the Council continued to collect debt beyond the year in which it occurred, such as Council Tax being repaid over a number of years, or money owed by companies that had gone in to administration.

Concern was expressed that some businesses saw insolvency as a way of avoiding debt and information was requested in future annual income collection reports on how many insolvencies were challenged by the Council and how a genuine insolvency could be identified.  The Director confirmed that the Council was aware of the national issue of “phoenix” companies.  The National Fraud Office was considering how this could be addressed, so a further report could be made when more information was known.

The Committee noted that bailiffs were not used to collect fines from motoring offences.  The Director of Finance advised that care had to be taken to ensure that the cost of enforcement of a fine was not greater than the fine.  However, the courts were introducing a new electronic system to administer fines, which it was hoped would make their collection more straightforward.

It also was noted that the Haymarket Consortium owed the Council approximately £600,000, but at present it was considered unlikely that this would be recovered.

AGREED:

1)    That the overall position in relation to income collection April 2019 – March 2020 presented within the report be noted;

2)    That, once the current investigation by the National Fraud Office in to the problem is complete, the Director of Finance be asked to submit a report to this Committee on how the issue of companies using insolvency to avoid debt can be addressed; and

3)    That the Director of Finance be asked to include information in the next income collection monitoring report about the new system of administration for fines being introduced by the courts.

The Director of Finance submits a report reviewing how the Council conducted its borrowing and investments during 2019/20.  The Committee is recommended to note the report and make comments to the Director of Finance and the Executive as it wishes.

The Director of Finance submitted a report reviewing how the Council conducted its borrowing and investments during 2019/20, noting that the Council had not undertaken any borrowing during that time.

The Committee noted that Leicestershire Cricket Club currently was unable to play matches, due to Covid-19 restrictions, and for the same reason also would lose income from having had to cancel large events at its ground.  It therefore was questioned whether the Club would still have to pay the same rate of interest on its loan from the Council and whether the Council would be able to recover its money.

In reply, the Director of Finance advised that, as the loan had been underwritten by the English Cricket Board, the Council had no concerns at this stage.

AGREED:

1)    That the report be noted; and

2)    That officers be thanked for their work in managing the Council’s treasury activities.

The City Mayor will answer questions raised by members of the Committee on issues not covered elsewhere on the agenda.

Members are asked to submit these questions in advance of the meeting.

Covid-19 Local Lockdown of Leicester

Councillor Porter asked the City Mayor for his views on the terms of the restrictions imposed by the government through the local Covid-19 lockdown and what impact he felt these would have on the city’s population.  Councillor Porter also asked the City Mayor if, in advance of the review of the restrictions scheduled for 30 July, he would be preparing an indication of where he would like to see the boundary of the lockdown drawn.

The City Mayor assured the Committee that he would not be drawing a map, but would be reiterating his view that the political decision to place local restrictions on Leicester should change and the restrictions should be removed.  He reminded the Committee that during the lockdown period he had made it very clear that the government owed a duty to local government to provide the data needed to properly address local outbreaks of Covid-19 and the tools with which to work with the community that were now being given to other local councils.

The meeting closed at 7.38 pm