To approve as a correct record the minutes of the meeting held on 9 January 2024.

Decision

That the minutes of the meeting held on 9 January 2024 be approved as a correct record.

Report of the Strategic Director (Growth and Development) and the Strategic Director (Neighbourhoods)

This report provides an update and overview of progress made in delivery of the Transport and Travel workstreams within the Climate Change Action Plan from 2020 to 2025.

The Committee received a report of the Strategic Director (Growth and Development) and the Strategic Director (Neighbourhoods) which provided an update and overview of progress made in delivery of the Transport and Travel workstreams within the Climate Change Action Plan from 2020 to 2025.

Key points and themes within the report included:

·       Progress against Climate Change Action Plan commitments in relation to direct emissions;

·       Work to reduce the broader citywide emissions associated with highways-based transport and travel; and

·       Future actions.

Key points and queries that arose from the Committee’s discussions included:

·       The trajectory of overall emissions from transport in the city and the levers available to the Council to influence this;

·       That the ‘Right Mix’ element of the 2040 Transport Strategy should be reviewed;

·       The impact of congestion on the city and its economy;

·       Taxis which were licensed outside of the city;

·       Levels of car ownership in different parts of the city and whether this influenced prioritisation of investment;

·       Meeting demand for Electric Vehicle charging;

·       Idling vehicles, particularly around schools;

·       The benefits of the Active Neighbourhoods scheme in Levenshulme and Burnage;

·       When would the Manchester bus fleet be fully electric; and

·       The impact of the City Centre Strategy on wards on the outskirts of the city centre and how these issues could be addressed.

The Director of Highways reported that a policy was being produced on Electric Vehicle charging, advising that interim measures would be needed, for example in relation to trailing cables across footpaths, until the technology developed further to enable quicker charging and more permanent infrastructure was in place.  The Assistant Director (Infrastructure and Environment) informed the Committee about funding of approximately £3.3 million which the Council had secured to improve the provision of Electric Vehicle charging and the options being considered for how to invest this money.

In response to the question about car idling, the Director of Highways highlighted the role of softer measures, such as signage around schools, advising that there were challenges with undertaking enforcement action in relation to this but that he would look into whether more could be done, in relation to both enforcement and education.  The Executive Member for Environment and Transport reported that the Enforcement Team were starting to address this, initially speaking to drivers who were idling, to be followed by a media campaign.

In response to a Member’s comments about the ‘Right Mix’ vision within the Greater Manchester Transport Strategy 2040, Jonathan Marsh, Head of Strategic Planning, TfGM, reported that this had been developed prior to the pandemic, that there had been a lot of changes to travel behaviour since then and that TfGM was reviewing the ‘Right Mix’ as part of the work to update the Local Transport Plan.  In response to a question on the timescale for this, he stated that a consultation would take place around autumn or winter 2024, depending on when the General Election was held, and that stakeholders such as Councillors would be consulted as part of this. He highlighted that ‘Right  ...  view the full minutes text for item 7.

Report of the Strategic Director (Neighbourhoods)

This report is an annual culture update which sets out the full work programme of the Council’s culture team.

The Committee received a report of the Strategic Director (Neighbourhoods) which provided an annual culture update setting out the full work programme of the Council’s culture team.

Key points and themes within the report included:

·       The Council’s investments in arts and culture;

·       Cultural Impact Survey;

·       Zero carbon;

·       Loads to Do website;

·       Manchester Culture Awards 2023;

·       International partnerships and other collaborations; and

·       Cultural Strategy.

The Committee also received a presentation which provided an overview of the Cultural Impact Survey 2022/23.

Key points and queries that arose from the Committee’s discussions included:

·       The importance of culture to the city and to welcome the achievements in this area;

·       The decrease in volunteering and freelancers since the pandemic;

·       Engagement with schools; 

·       Addressing the under-representation of non-white residents;

·       How culture was defined including the role of smaller events outside of the city centre; 

·       The financial challenges facing the sector; and

·       The importance of having spaces for creativity in local communities, to increase participation and engagement and to encourage and enable local residents to develop careers in the creative industries.

In response to comments about a decrease in volunteering, the Statutory Deputy Leader reported that the culture sector was still recovering from the pandemic, as well as being affected by the cost-of-living crisis and austerity, although investment in the sector had been maintained in Manchester.  He acknowledged Members’ points about culture encompassing a wide range of events and activities across the city, stating that the Cultural Impact Survey provided a snapshot of the organisations surveyed but that the team would look into how this could be expanded to capture broader cultural events.

The Policy and Programmes Manager (Culture) reported that the work on the Cultural Strategy indicated that the culture in people’s lives was a lot more diverse than what was included in the Cultural Impact Survey, which was largely about the city centre-based cultural offer, based on the organisations which had responded to the Survey.  She welcomed a Member’s comment about work that a school in her ward had been doing and the good practice which could be shared more widely.   She reported that the pandemic had highlighted the vulnerability of the freelance workforce and that positive initiatives had been introduced as a result of this.

The Director of Culture reported that it was a challenging environment for cultural organisations at present and that many were having to re-negotiate their Key Performance Indicators (KPIs) with their funders due to the impact of the pandemic and the cost-of-living crisis, particularly energy costs.  He reported that the cost-of-living crisis was impacting on both the supply and demand sides, with the costs of staging a production increasing and audiences having less disposal income.  He reported that the Government tax relief schemes had helped but that smaller organisations struggled to access these.  He reported that cultural organisations in the city were working together, using creative and collaborative approaches, to get through this difficult period.  In response to comments from the Chair about ticket prices, he reported that all the  ...  view the full minutes text for item 8.

Report of the Strategic Director (Neighbourhoods)

This report gives an overview of the information and data relating to Manchester International Festival 2023 and the opening season of Aviva Studios from October to date.

The Committee received a report of the Strategic Director (Neighbourhoods) which provided an overview of the information and data relating to Manchester International Festival (MIF) 2023 and the opening season of Aviva Studios from October to date.

Key points and themes within the report included:

·       The impact of MIF23;

·       The economic impact of MIF23;

·       The opening season of Aviva Studios;

·       Manchester City Council support for the Festival and Aviva Studios; and

·       Performance against strategic objectives.

Key points and queries that arose from the Committee’s discussions included:

·       To welcome the city’s achievements in relation to the Manchester International Festival and Factory International and to recognise the value of investing to achieve economic and social impact;

·       Positive experiences of Manchester International Festival and events at Aviva Studios;

·       Whether Factory International would be setting more ambitious targets for the coming year;

·       The appointment of a new Chair of Manchester International Festival, which traded as Factory International and delivered MIF every two years; and

·       Strengthening community engagement.

John McGrath, Artistic Director and Chief Executive, Factory International reported that Moira Sinclair had been appointed as the new Chair of MIF and, in response to Members’ comments, he highlighted that it had a diverse Board which reflected the city’s population.  He provided clarification on the figures on job creation within the report, advising that most jobs created by MIF were temporary but that, with the establishment of Factory International, there were now approximately 140 permanent employees and he offered to provide further statistics.  He highlighted the role of Factory Academy, the organisation’s talent development scheme.  He also highlighted Factory International’s performance against its key indicators set out a 7.2 in the report and outlined how the targets might be amended in future, which he advised could include setting more ambitious targets for some indicators but also taking a more in-depth look in relation to some of the statistics, for example, looking at whether different parts of the city were accessing affordable ticket options rather than just looking at the overall figure on affordable ticket purchases.  In response to a question about South Asian artists and audiences, he agreed that more work needed to be done on this and stated that his organisation was looking into some specific, targeted initiatives.  He acknowledged a Member’s comment about the economic impact of volunteers, stating that he would look into how this was assessed.

In response to a Member’s question, Randel Bryan, Executive Director and Deputy Chief Executive, Factory International reported that economic impact included both visitor spend and Factory International’s investment in artwork and productions.  He highlighted some of the figures on economic impact from the report, advising that Manchester International Festival was still critical to the vision and purpose of Factory International.  The Principal Resources and Programmes Officer (Culture) offered to provide clarification on the definition of “attendees” and “visits” used in the report following the meeting.  The Chair requested that in future reports these definitions be clarified.

Menaka Munro, Head of Engagement, Factory International informed Members about  ...  view the full minutes text for item 9.

Report of the Deputy Chief Executive and City Treasurer

This report sets out the latest forecast revenue budget position, and the next steps. Following the Provisional Finance Settlement announced 18 December 2023 the Council is forecasting an estimated budget shortfall of £38m in 2024/25, £79m in 2025/26, and £90m by 2026/27. After the application of approved and planned savings, and the use of c.£17m smoothing reserves in each of the three years, the budget is balanced for 2024/25 and the remaining gap reduce to £29m in 2025/26 and £41m by 2026/27. This position assumes that savings of £21.4m are delivered next year.  

This report provides a high-level overview of the updated budget position. Each scrutiny committee is invited to consider the current proposed changes which are within its remit and to make recommendations to the Executive before it agrees the final budget proposals on 14 February 2024.

The Committee received a report of the Deputy Chief Executive and City Treasurer which provided a high-level overview of the updated budget position.  It set out the latest forecast revenue budget position, and the next steps. Following the Provisional Finance Settlement announced on 18 December 2023, the Council was forecasting an estimated budget shortfall of £38m in 2024/25, £79m in 2025/26, and £90m by 2026/27. After the application of approved and planned savings, and the use of c.£17m smoothing reserves in each of the three years, the budget was balanced for 2024/25 and the remaining gap reduced to £29m in 2025/26 and £41m by 2026/27. This position assumed that savings of £21.4m were delivered next year. 

Key points and themes within this report included:

·       Changes to the budget position;

·       Summary budget position;

·       Budget consultation;

·       Equalities impact and anti-poverty assessments;

·       Scrutiny of the draft proposals and the budget reports; and

·       Next steps.

The Executive Member for Finance and Resources stated that the Government’s approach to the Local Government Settlement had been chaotic and only announced just before Christmas. He reported that the final announcement had resulted in a cut of 84% in the Services Grant and that this equated to a £6.1m cut for Manchester. He stated that this had resulted in an outcry from local authorities and MPs from all political parties. He stated that this situation needed to be understood in the context of 14 years of austerity and Government funding cuts and unfunded pressures such as inflation and population growth.  

The Executive Member for Finance and Resources added that the Government had then announced an additional £500m for Social Care; however, local authorities were still facing a £4bn budget gap nationally, resulting in a number of local authorities serving a Section 144 notice and it was anticipated that more would follow.

The Executive Member for Finance and Resources commented that, despite this, Manchester had set a balanced budget and this had been achieved through diligent planning and management that had seen strategic investment in preventative initiatives; using financial reserves prudently and investment in activities that were important for Manchester residents, such as libraries; leisure centres, highways, parks and green spaces and reducing the carbon footprint.

The Executive Member for Finance and Resources stated that although Manchester had been able to deliver a balanced budget this year, the Council’s financial position was expected to become even more challenging. The projected budget gap, even after using reserves for 25/26, was £29m in 2025/26 and £41m in 2026/27. He expressed concern that the Government had continually failed to listen to local authorities.

The Chair supported the Executive Member for Finance and Resources’ remarks in relation to the national Government and the impact of its decisions and actions on local government.

Key points and queries that arose from the Committee’s discussions included:

• That there was widespread concern about the cuts to local government and the impact on public services that people valued;
• That the impact of cuts over 14 years could be  ...  view the full minutes text for item 10.

Report of the Strategic Director (Growth and Development)

This report provides a further update to members on the priorities for the services in the remit of this committee and details the changes to the initial revenue budget options proposed by officers in November 2023. Each scrutiny committee is invited to consider the proposed budget changes that are within its remit and to make recommendations to the Executive before it agrees to the final budget proposals on 14 February 2024.

The Committee received a report of the Strategic Director (Growth and Development) which provided a further update on the priorities for the services in the remit of this Committee and detailed the changes to the initial revenue budget options proposed by officers in November 2023. The Committee was invited to consider the proposed budget changes that were within its remit and to make recommendations to the Executive before it agreed to the final budget proposals on 14 February 2024.

Key points and themes within this report included:

• Service overview and priorities;
• Service budget and proposed changes;
• Commissioning and procurement priorities;
• Workforce implications;
• Equality and anti-poverty impact; and
• Future opportunities, risks and policy considerations.

The Executive Member for Housing and Development supported the earlier comments about the impact of Government cuts on local government, including on areas like Growth and Development.  He reported that this was an area which brought funding into the Council and supported the Council’s strategic objectives, highlighting new social housing, investment in Extra Care and accommodation for Looked After Children.  He praised the work of officers in bringing in as much external funding as possible to support this work.

The Executive Member for Skills, Employment and Leisure drew Members’ attention to the areas of the report within his portfolio, in relation to Work and Skills, the Manchester Adult Education Service (MAES) and digital inclusion.  In particular, he highlighted the emerging budget pressure on MAES from increased costs, stating a commitment to continue to provide the existing service and to seek options to mitigate these pressures in future.  In response to earlier comments, he stated that, while the Council had worked hard to mitigate the impact of Government cuts on Manchester residents, the cuts had had an impact on residents and the Council was not able to provide all the services it would want to.

The Chair emphasised the importance of protecting MAES from service reductions, advising that this was an example of investing to save as it equipped people with the skills to contribute to the economy and reduced service demand in other areas.  Noting the reference in the report to future pressures from the legislative changes in building safety requirements, he recommended that the Committee receive a report on this in the next municipal year.

In response to a question from the Chair, the Director of Highways reported that penalty charge notices for parking contraventions were set out in statute and that the Council did not have the power to increase the level of the charge.  In response to a further question, he confirmed that the Council did have powers to increase parking fees.  The Head of Finance (Corporate Core) reported that the recommendation that Highways external charges be increased by up to 5% related to a range of income streams within Highways which the Council was able to control.  In response to a further question from the Chair about why these were not being increased by the average rate of inflation of 8%, he reported  ...  view the full minutes text for item 11.

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.

A report of the Governance and Scrutiny Support Unit was submitted. The overview report contained key decisions within the Committee’s remit, responses to previous recommendations and the Committee’s work programme, which the Committee was asked to approve.

Decision:

That the Committee note the report and agree the work programme.