Agenda and minutes

Agenda and minutes

Economy and Regeneration Scrutiny Committee - Thursday, 10th February, 2022 2.00 pm

Venue: Council Chamber, Level 2, Town Hall Extension. View directions

Contact: Michael Williamson 

Note: This meeting can be viewed on Vimeo at https://vimeo.com/670192234 

Media

Items
No. Item

5.

Minutes pdf icon PDF 129 KB

To approve as a correct record the minutes of the meeting held on 13 January 2022

Minutes:

The minutes of the meeting held on 13 January 2022 were approved as a correct record.

 

6.

Growth and Development Directorate Budget Proposals 2022/23 pdf icon PDF 358 KB

Report of the Strategic Director (Growth and Development) attached

 

Following the Spending Review announcements and provisional

local government finance settlement 2022/23 the Council is

forecasting a balanced budget for 2022/23, a gap of £37m in

2023/24 and £58m by 2024/25. This report sets out the high-level

position.

Additional documents:

Minutes:

Further to minute (ESC/21/53), the Committee considered a report of the Strategic Director (Growth and Development), which provided a further update on the saving proposals being proposed as part of the 2022/23 budget process.

 

Key points and themes of the report included:-

 

·                Following the Spending Review announcements and provisional local government finance settlement 2022/23 the Council was forecasting a balanced budget for 2022/23, a gap of £37m in 2023/24 and £58m by 2024/25;

·                Overall, the settlement announcement was towards the positive end of expectations and it was expected that mitigations in the region of £7.7m, as previously identified, would be sufficient to balance the 2022/23 budget;

·                The budget assumptions that underpinned 2022/23 to 2024/25 included the commitments made as part of the 2021/22 budget process to fund ongoing demand pressures as well as provision to meet other known pressures such as inflation and any pay awards (estimated at 3% from 2022/23);

·                Whilst this contributed to the scale of the budget gap it was important that a realistic budget was set which reflected ongoing cost and demand pressures;

·                The focus would now be on identifying savings and mitigations to keep the Council on a sustainable financial footing; and

·                It was proposed that budget cuts and savings of £60m over three years would be developed for Member consideration which equated to just under 12% of 2022/23 directorate budgets. In addition, £30m of risk-based reserves had been identified as available to manage risk and timing differences;

 

The Leader advised that whilst there were no major changes to the proposed budget following the report in November, a decade of austerity had resulted in £420 million having been removed from the Council’s budget, resulting in a  15% reduction in spending power compared to a national average of 2.4% and if Manchester had had the national average applied to its budget, it would have a further £85 million in its budget today.

 

The Strategic Director (Growth and Development) commented that the 2021/22 budget process had included £393k savings in respect of holding/deleting 11 posts in planning and building control.  Whilst the service redesign was expected to be completed in the first quarter of 2022, it would take time to implement the changes and recruit to all the posts.  To allow for service delivery, and succession planning it was necessary to amend the structure and invest in some areas, therefore it was anticipated that ongoing savings of c£150k would be realised from reduced staffing costs across planning and building control. This would require alternative savings of £243k to be identified and delivered in 2022/23.

 

Some of the key points that arose from the Committees discussions were:-

·                There was concern in relation to the ability to effectively ensure the enforcement of illegal planning if it was still proposed to reduce the number of staff within planning and building control;

·                Was it possible to have a breakdown of the proposed savings at a ward or neighbourhood level;

·                What opportunities had been identified from the review of Council assets to  ...  view the full minutes text for item 6.

7.

Manchester Work and Skills Strategy Refresh pdf icon PDF 205 KB

Report of the Director of Inclusive Economy attached

 

This report provides an update on the development of a new Work and Skills Strategy for Manchester, to replace the previous version which has reached the end of its life.  The strategy sets out the city’s work and skills priorities that matter to the people and businesses of Manchester, and how working towards identified collective goals will help to deliver the ambitions of the Our Manchester Strategy

Additional documents:

Minutes:

The Committee considered the report of the Director of Inclusive Economythat provided an update on the development of a new Work and Skills Strategy for Manchester, to replace the previous version which had reached the end of its life.

 

Key points and themes in the report and accompanying presentation included:

 

·         Providing a context and background;

·         The new strategy used the Our Manchester Strategy themes as a structural framework;

·         The Work and Skills Strategy would support a range of other city strategies;

·         An overview of research and engagement; and

·         The timetable for the delivery of the new strategy, noting that this would be presented to Executive for approval in May/June 2022.

 

Some of the key points that arose from the Committee’s discussions were: -

 

·         Every attempt should be made to ensure all opportunities for employment and retraining were provided to Manchester residents;

·         Training opportunities needed to be available to people who were already in employment but wanted to expand their skills set or retrain;

·         An exercise should be undertaken to map how this strategy intersected with a range of other Council strategies and identify key priorities;

·         Welcoming the inclusion of the real living wage and every lever the Council had should be used to ensure more employers across the city paid this;

·         Requesting that papers relating to the work of the Work and Skills Board be circulated to members of the Committee for information;

·         The need for parity of esteem between academic and vocational pathways as part of the careers advice service;

·         The need to breakdown silo working and encourage improved relationships between the Department of Work and Pensions and Department for Education to ensure that people received the most appropriate support and employment and training pathways;

·         The need to promote and articulate the positive experiences and outcomes that could be achieved via an apprenticeship programme;

·         The need to recognise that the Digital Inclusion Teams to improve digital skills amongst priority groups, particularly the over 50s, was too prescriptive and needed to address skills gaps and digital behaviours amongst younger people also;

·         Supporting the work to address economic inequality and requesting more information on the Poverty Impact Assessment; and

·         Would the consultation on the first draft of the strategy include face to face consultation. 

 

The Director of Inclusive Economy stated that entry level jobs and apprenticeships in the Council were ringfenced for Manchester residents. She stated that all levers and spheres of influence were used by the Council to encourage employers and other anchor institutions to support this programme and to pay the Real Living Wage, particularly in the foundation employment sector, supported further by the Greater Manchester Good Employment Charter and using the Shared Prosperity Fund to deliver this programme.

 

She described that the Our Town Hall Project had delivered a range of good quality work experience opportunities and suggested the Committee might wish to receive a more detailed report on this subject area at a future meeting. She further described that the relationship between good employment and mental  ...  view the full minutes text for item 7.

8.

LTE Group Update pdf icon PDF 412 KB

Report of the Principal and Deputy Chief Executive: The Manchester College/LTE Group attached

 

This report provides an update on three key areas - The Manchester College’s progress, performance and contribution to Manchester’s work and skills outcomes since the last report to the Economy Scrutiny Committee in 2021; Progress update and next steps on LTE Group estates and infrastructure plans including site disposals; and progress on apprentice provision via Total People.

Minutes:

The Committee considered the report of the Principal and Deputy Chief Executive: The Manchester College/LTE Group and the Chief Executive LTE Groupthat provided an update on key areas of activity.

 

Key points and themes in the report included:

 

·         The Manchester College’s progress, performance and contribution to Manchester’s work and skills outcomes since the last report to the Economy Scrutiny Committee in 2021;

·         Progress update and next steps on LTE Group estates and infrastructure plans including site disposals; and

·         Progress on apprentice provision via Total People.

 

Some of the key points that arose from the Committee’s discussions were: -

 

·         Welcoming the progress reported, in particular in relation to the gender balance of learners and the number of employment placements provided; and

·         What support was offered to learners who transitioned from Community Hubs into the Centres of Excellence.

 

Lisa O’Loughlin, Principal and Deputy Chief Executive: The Manchester College/LTE Group stated that the College had strong, well established relationships with employers that had assisted with securing good quality work experience placements. She stated that whilst COVID-19 had impacted on this she was confident that this would remain, adding that they were seeking to improve the two week placement offer. She further described that that their learners were very diverse, and they were regarded as a trusted provider across the city. She stated that the Manchester College worked to challenge and remove the barriers experienced by young people accessing quality employment, noting that they had witnessed an increase in the numbers of females entering the construction industry.

 

Lisa O’Loughlin, Principal and Deputy Chief Executive: The Manchester College/LTE Group stated that there was a programme established to support learners to orientate and familiarise themselves as they transitioned to the centres of excellence. She further noted that numbers of SEND learners were increasing year on year.

 

Decision

 

The Committee note the report.

 

9.

Manchester Adult Education Service update pdf icon PDF 476 KB

Report of the Director of Inclusive Economy and Head of MAES

 

The purpose of this report is to provide information on MAES performance in 2020/21, the response to COVID-19 and the skills challenges in the city.

Minutes:

The Committee considered the report of the Director of Inclusive Economy and Head of MAES.

 

Key points and themes in the report included:

 

·         An introduction and background, noting that the vision for MAES continued to be ‘To deliver inspirational adult education that connects Manchester’s adults to their potential, their community and their future’;

·         The response to COVID-19;

·         MAES performance in 2020/21; and

·         The skills challenges in the city.

 

The key point that arose from the Committee’s discussions was: -

 

·         Noting the resources needed to deliver the work and ambition of the service at scale for the benefit of Manchester residents.

 

The Director of Inclusive Economy commented that the central government funding to deliver adult education had reduced by over 40% during the previous ten years. She described that despite this challenging environment the service remained committed to improving opportunities for residents. She advised that it was recognised that the physical infrastructure of the estate needed to be improved, and monies from the Shared Prosperity Fund would support this.  She commented that the Greenheys Adult Learning Centre had been identified as a priority site. She further advised that MAES would continue to strengthen and build upon their relationships with local employers and the Job Centre Plus to promote this offer recognising that they were a visible and trusted provider that were rooted in local communities.

 

The Director of Inclusive Economy also discussed the wider engagement work that was delivered collaboratively with the Voluntary Community and Social Enterprise (VCSE). The Chair recommended that a report on this work with the Voluntary Community and Social Enterprise sector be added to the Committee’s work programme for consideration at a future meeting.

 

The Head of MAES informed the Committee that the intention was to increase the Level 3 provision for adults, noting that it was recognised that there was a need for this.

 

Decision

 

The Committee:-

 

(1)      Recommends that a report on the MAES External Review is provided to the Committee for consideration at an appropriate time.

 

(2)      Recommends that a report on the work delivered in partnership between MAES and the Voluntary Community and Social Enterprise sector is provided to the Committee for consideration at an appropriate time.

 

10.

Economy COVID19 Sit Rep Report pdf icon PDF 574 KB

Report of the Director of City Centre Growth and Infrastructure and Director of Inclusive Economy

 

This report provides Committee Members with a further update summary of the current situation in the city in relation to COVID-19 and an update on the work progressing in Manchester in relation to areas within the remit of this Committee.  Further detail on specific issues will be available as required.

 

Minutes:

The Committee considered a report of the Strategic Director, Growth and Development, which provided a further update of the current situation in the city in relation to COVID-19 and an update on the work progressing in Manchester in relation to areas within the remit of the Committee.

 

Decision

 

The Committee notes the report.

 

11.

Overview Report pdf icon PDF 365 KB

Report of the Governance and Scrutiny Support Unit

 

This report provides the Committee with details of key decisions that fall within the Committee’s remit and an update on actions resulting from the Committee’s recommendations. The report also includes the Committee’s work programme, which the Committee is asked to amend as appropriate and agree.

Minutes:

The report of the Governance and Scrutiny Support Unit which contained key decisions within the Committee’s remit and responses to previous recommendations was submitted for comment. Members were also invited to agree the Committee’s future work programme.

 

In response to a question from a Member who enquired when a report on purpose-built student accommodation would be submitted for consideration, the Chair advised that this would form part of discussion on the wider Housing Strategy. She advised this would be considered in the new municipal year.

 

Decision

 

The Committee note the report and agree the work programme, noting the recommendations arising from consideration of the previous agenda items.