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The following Motions were submitted in pursuance of paragraph 31.1 Council Procedure Rules:
Motion 1
Proposer: Councillor David Beavan
Seconder: Councillor Mark Jepson
This Council notes that:
Our stock is past its prime. ‘More than 65% of our homes are over 50 years old with fewer than 3% being less than 20 years old.’ These older buildings become more expensive to maintain and harder to retrofit to modern standards. St Peters Court is an example where demolition was the only sensible answer.
East Suffolk Council faces eight figure cost pressures to remediate regulatory compliance lapses, meet a requirement for EPC C on all stock by 2030, address a repair backlog and finance a loss-making legacy project.
Although welcome, the curtailment of right to buy by the present government means a loss of sale receipts to finance new building.
Whilst the new 10-year rent settlement helps in the longer term, it doesn’t provide the cash injection that is required immediately.
All reserves are fully utilised, and we are borrowing near to our prudent council limit of £130m. There is no money to respond to the government’s launch this month of the £39bn affordable housing grants.
On top of this we are required to pay the Treasury £10m this year for our self-financing agreement from 2012.
At the present rate, the HRA will atrophy and go bust by 2050. Older homes mean higher costs, means less spare margin for new build, means older homes, and so on.
The only solution is a radical and urgent injection of capital to boost the HRA into an upward spiral of more homes, younger stock, greater margins, and yet more homes.
The government is offering 25 year 0.1% loans to private registered providers.
East Suffolk Council resolves to:
Continue to lobby government to extend these 25 year 0.1% loans to local councils to enable them to protect their communities by ensuring the viability of social housing stock.
Leverage the building of 500 social homes in the next 5 years to save East Suffolk Council’s HRA, contingent on the extension of the government’s 25 year 0.1% loans to East Suffolk Council’s HRA, subject to business case.
Councillor Beavan stated that most of the Council’s housing stock was built decades ago in the post war era, with some around a century ago by the old Southwold Borough. Over time, the Council had to sell off some of the homes at knock down prices, while being prevented from charging the rents needed to replace them. The older homes left were increasingly expensive to maintain and difficult to retrofit to modern standards. As maintenance costs rise, profit margins shrink which results in building fewer homes and the housing stock continues to get older, which creates a downward spiral.
Housing associations face similar financial pressures with some selling off isolated social homes in villages. Councillor Beavan posed whether the current status was desired for East Suffolk, where poorer residents are bussed out of towns every day to serve affluent rural communities.
Councillor Beavan believed that across all parties, there was an understanding of the moral and economic necessity of ensuring that people in East Suffolk can afford to live in East Suffolk. Homelessness devastates lives and economy and finances; the Council spends a million pound a year on temporary accommodation because it is a legal duty. The money could be invested in permanent housing instead.
Councillor Beavan believed it could be turned around. With targeted investment, the Council could borrow to build, social homes pay for themselves within 40 years—even at current Public Works Loan Board rates—and then generate a surplus for decades.
Councillor Beavan added that reserves were exhausted and borrowing was near its prudent limit. The Council were due to give the Government £10 million to buy back the Council’s own housing stock. Councillor Beavan considered an alternative option of using that £10 million to leverage a major house building programme. The Council could deliver 1,000 new social homes over the next decade, doubling the annual target from 50 to 100. The Council could partner with the Government’s £39 billion Social and Affordable Homes Programme starting this year.
Councillor Beavan concluded that newer homes would mean better margins, which would lead to more investment, which would in turn mean homes, creating an upward spiral. Councillor Beavan urged members to support a long term, cross-party strategy to end the housing crisis and build the future that East Suffolk deserved. He believed housing was not just a policy area but the foundation of dignity, security, and opportunity for all.
Councillor Gandy welcomed the motion and offered support to lobby government. The Councillor echoed the importance of decent housing of all residents being a fundamental duty and biggest responsibilities as a Council.
Councillor Daly expressed support for the motion, stating that security of a home is basic requirement to allow people to live decent lives. The Councillor commented that there was lots of building developments but was any of it reaching where the need was.
Councillor Ewart urged consideration on how the new arrangement could strengthen the ability to respond to challenges in rural communities, particularly where housing policy and school sustainability would intersect. Some rural schools have small numbers of pupils and are dependent on families being able to live locally if it they are to remain viable. Councillor Ewart described a local example where social housing was with a third party provider but were up for sale due to refurbishment costs. Councillor Ewart commented that the newest estate included no affordable homes at all with most properties purchased by higher income households who were in their later years.
Councillor Ewart asked Councillor Beavan if he could reassess what influence the council Could have in the future with regards to the three council structure and over registered providers when they choose to dispose of social housing in these vulnerable rural locations. Councillor Beavan responded that he had spent a lot of time with cases in rural areas and the reason third party providers were moving stock into sale, was due to the cost. Councillor Beavan added that he would like to take them over, however it was not always economically possible.
Councillor Langdon-Morris offered his support for the motion and considered the position of the new Local Plan and Neighbourhood Plans in looking at the placement of different types of housing to meet the needs of local areas.
Councillor Folley commented that a number of social housing in Felixstowe were sold off because of the retrofit expense, however they were then renovated and back on the market within three weeks, selling for huge profits. Councillor Folley added that there should more scrutiny over this taking place.
Councillor Beavan responded that at the last Council meeting there was provision of the S106 in the budget. A new team within the housing department had been set up to look at S106 and it was hoped to have more scrutiny over sales and to be able to make the most of opportunities that might arise.
Councillor Jepson thanked Councillor Beavan for bringing the motion and new through previous employment the challenges faced by providers and community members. Councillor Jepson discussed the motion with the Head of Housing and Chief Finance Officers Fully. Councillor Jepson recognised Councillor Beavan’s motivation to take the work forward and it was felt that whilst the challenging situation was understood it needed to be addressed.
Councillor Beavan was heartened to see the Council coming together to agree a long-term plan.
By a unanimous decision the motion was passed.
Motion 2
Proposer: Councillor Peter Byatt
Seconder: Councillor Tess Gandy
This Council notes that:
East Suffolk Council continues to recognise the need for an effective Flood Barrier for Lowestoft, given that Lowestoft is the only major UK town without appropriate permanent defences against the sea.
The lack of a Flood Barrier not only continues to put at a risk a significant number of homes and businesses around Lake Lothing, and beyond, but also adversely affects the development of Kirkley Waterfront, preventing the provision of much -needed affordable and social housing.
Whilst recognising that funding is a major hindrance to a Flood Barrier, this Council is keen to find a solution.
East Suffolk Council resolves to:
Investigate the possibility of a public-private partnership to develop new funding proposals for a barrier.
Councillor Byatt referenced the flood of 6 December 2013, within a very short space of time, the tide rose to threaten local homes and businesses on either side of Lake Lothing. Councillor Byatt witnessed firsthand the brutality of the North Sea. The consequences were devastating and brought home the lack of a flood barrier for Lowestoft harbour. The tidal barrier scheme was designed as the final and most essential part of the flood protection program. It was designed to protect Lowestoft for the next 100 years. A century of greater safety, greater certainty, and greater opportunities. The barrier would have protected homes, families, and livelihoods for future generations. It would have created the confidence that investors needed to bring their businesses there. A barrier would support jobs and growth in developing brownfield sites around the Harbour and strengthening Lowestoft’s key role as a major green energy hub for renewables and part of the supply chain of other major projects. It would have supported the Kirkley water hub project so that we could provide affordable housing alongside private sector provision without any flood risk to deter investors. Construction of such a barrier would have been destructive, but the evidence was clear. Short-term inconvenience but with resulting transformational benefits. It was understood that the barrier was suspended due to funding issues and the motion was seeking to commit to renewed engagement by the council with government and any other relevant agencies, organisations or businesses to find a way forward to construct it. Delaying re-engagement on this issue increases risk to residents, the local economy and to critical infrastructure. Every flood brings financial loss, emotional strain and environmental damage. Councillor Byatt referenced Suffolk County Council’s recent Full Council meeting where a similar motion was unanimously agreed. Councillor Byatt concluded that Lowestoft deserved safety, stability and a future where families do not fear the next spring tide and businesses do not have to gamble with every storm.
Councillor Ashdown supported the motion and recognised it would not happen overnight with lots of work having historically taken place. The Councillor encouraged the new authority and mayor to take on the responsibility. Councillor Ashdown felt that Lowestoft could have been in a different place if the barrier had been completed.
Councillor Langdon-Morris discussed the National Wealth Bank and National Wealth fund a precedent for leveraging public / private partnerships.
Councillor Robinson added that he felt it was an obvious choice which Lowestoft needed. There was a lack of investment in areas to due to the vulnerability from flooding. Councillor Robinson was concerned that with the three unitary model getting funding for such projects could be more challenging.
Councillor Topping stated that would be a Mayoral project and recognised that the issue of a flood barrier is a huge problem as there was not £300 million of funding available. Councillor Topping referenced ‘Use your Voice’ who have carried out some engagement work with businesses regarding their perceptions of flood risk and vulnerabilities to them Councillor Topping proposed an amendment to the motion:
East Suffolk Council resolves to:
Continue to lobby national Government to fund the Lowestoft Flood barrier and to create a position of Coastal Minister whilst exploring alternative funding options, such as private businesses.
Councillor Packard seconded the amendment.
Councillor Hammond stated he supported the amendment as it underlined the fact that central government were responsible for funding. During the last general election this issue had been raised during hustings. Peter Aldous MP had stated he had been told there was no funding for it, the then Labour candidate Jess Asato had stated she would push the Secretary of State to agree funding. Despite being elected, funding had not materialised. Councillor Hammond stated that while a public/private partnership would be beneficial, the government should not be left off the hook.
Councillor Jepson asked what a Coastal Minister would do and whether this would over complicate the issue. Councillor Topping stated she pushed for a Coastal Minister as this would ensure that someone was responsible for the important area of work.
Councillor Ewart asked whether this amendment would exclude other opportunities and close the door to industry involvement, for example insurance companies could put funding in to help reduce insurance payouts. Councillor Topping responded that the option for public-private partnership had not been removed from the motion, the phrase ‘continue to lobby the government’ had been added so that the government was still held responsible.
Councillor Smithson stated that a Coastal Minister would be helpful for a number for reasons and she would be happy to support this amendment.
Councillor Langdon-Morris stated that he had experience of using existing legislation and frameworks to deal with coastal flooding issues, and supported the introduction of a Coastal Minister to bring policy together it more fit for purpose.
Councillor Byatt stated that he was concerned that two issues had been conflated in one sentence and asked whether the amendment should be separated into two sentences with the lobbying for a Coastal Minister split out.
This was accepted as a friendly change to the amendment. The amendment now stated that
East Suffolk Council resolves to:
1. Continue to lobby national Government to fund the Lowestoft Flood barrier whilst exploring alternative funding options, such as private businesses.
2. To lobby national Government to create the position of Coastal Minister.
Councillor Beavan stated that he sat on the LGA special interest group for coastal communities and they also lobbied for the creation of a Coastal Minister.
Councillor Ashton stated it needed to be clear who was responsible for the funding of the barrier, and it needed to be clear that governments were fundamentally responsible for this. If there was some potential for support from private business this was fine, but this should not be the primary focus.
It was by a unanimous vote resolved to accept the amendment.
Councillor Back stated he had supported the motion as it had been put to Suffolk County Council. Lots of money had been spent putting flood walls up around the harbour. The intention had been that the barrier would protect 1500 homes and businesses, and the tidal barrier was the missing piece of the puzzle to protect the area. It would also unlock the potential of the Kirkley Waterfront area and allow for it to be developed and invested in. Councillor Byatt recognised that it was important that government stepped up to protect coastal communities.
Councillor Graham stated the tidal barrier was incredibly important to Lowestoft. The funding model for flood defences was from 2007 and required investment from central government, local authorities and private business and in the case of Lowestoft this could not be met. The funding mechanism was very out of date and did not take into account future investment, regeneration and housing growth and government also needed to be lobbied on this point.
Councillor Gee stated she had attended a meeting of the Broadland Futures Initiative. Within 50 years, if Lowestoft does not have a tidal barrier the water would overtop Mutford Lock and the whole of broadland would be impacted. The ramifications were much wider than just Lowestoft.
Councillor Pitchers stated his home had nearly been flooded in 2013, and he fully supported the motion.
Councillor Gandy stated that Lowestoft businesses and residents should be allowed to thrive without the threat of flooding. Businesses should be encouraged to invest in Lowestoft, and the lack of flood barrier was preventing this. Councillor Gandy thanked members for their constructive comments and hoped a solution could be found.
Councillor Byatt concluded and thanked members for sharing their experiences with flooding and the coast. The barrier would also provide opportunity to create more housing, regenerate the area and allow the town to thrive in the future. Councillor Byatt also noted the comments from MPs and agreed it should be pushed.
By a unanimous decision the motion was passed.