“We managed to do in 18 months what Labour failed to do in eight years”

A stronger economy and stronger communities remain the priorities of the Conservative administration in North East Lincolnshire.

That is the message from NELC leader Philip Jackson at tonight’s virtual full council meeting, as he gave his budget speech.

He also highlighted the huge improvement in recycling and reduction in fly-tipping, saying: “We managed to do in 18 months what Labour failed to do in eight years.”

LEADER’S SPEECH – BUDGET COUNCIL – 18 FEBRUARY 2021

“It is a year since we last met physically as a full council, at last year’s budget debate at Cleethorpes Town Hall. Little did we know what was ahead of us and that within a few short weeks we were in the first of a series of lockdowns in response to the Covid-19 pandemic. 

“This has been an unprecedented year, both nationally and locally, and it is against that backdrop that we meet tonight, virtually, to consider the Budget, Finance & Commissioning Plan for 2021/22 to 2023/4 and set a budget for 2021/22.

“You do not need me to tell you about the devastating effect that the pandemic has had and continues to have on the national and local economy. As representatives of your local communities, you see it, day-in, day-out, and we know it will continue into next year. 

“The economic recovery challenge that lies ahead will put the council and our partners to the test, but the last twelve months have proven that collaboration and partnership is strong and effective in North East Lincolnshire. The depth and strength of these relationships will be vital to supporting our communities in the coming year.

“As a council, we need to ensure that we have the financial resilience, by way of reserves, to be able to mitigate the ongoing risks associated with the pandemic. Areas where we know demand will continue to grow include children’s and adult services, but we also know that vulnerable families and communities across North East Lincolnshire are likely to need additional support. We need to ensure we build the necessary capacity and resources into next year’s budget.

“The council continues to be flexible, creative and innovative in responding to the challenges thrown our way. As Leader, I would like to commend and thank our workforce for their agility, commitment and adaptability during the trials and tribulations of the last year.

“A stronger economy and stronger communities remain the priorities for this administration and while Covid has been at the forefront during most of the last year, we have continued to make major strides in many other key areas.

“The council’s role in enabling and facilitating economic growth and regeneration remains fundamental to building the borough’s longer-term resilience and features strongly in the plan for the next three years.

“Subject to the submission of satisfactory amended proposals by the end of next week, we will be in receipt of £17.28m of Future High Street Grant funding, the single largest regeneration grant in the council’s history. 

“Of the 101 towns who submitted bids, we received the seventh highest allocation – testament to the Government’s confidence in this council and its plans. This money will catalyse the redevelopment and repurposing of the western end of Freshney Place, who are partners in the project. 

“We have also submitted exciting outline plans to Government for seven other regeneration and enhancement projects around Grimsby town centre and eagerly await agreement in principle so we can submit detailed business plans to enable the drawdown of £25m of ring-fenced Towns Fund grant monies. 

“This will also lever in considerable private sector money for continued regeneration of Grimsby town centre. This is all on the back of the current public realm improvements being undertaken in St. James Square, Riverhead Square and Garth Lane. Progress also continues with the renovation and repurposing of the derelict West Havens Maltings into an OnSide Youth Zone facility. After many years of stagnation, we are at last seeing major improvements in Grimsby town centre under this Conservative administration.

“We have also been the recipient of considerable Government grant monies for public realm works in Cleethorpes, most of which were completed during the past year, though work in Sea Road and on the North Prom will continue in the year ahead. This administration is determined to ensure Cleethorpes remains and exciting and vibrant resort, and that it is fully able to take advantage of the reopening of the tourist sector post-Covid and make an even greater contribution to the local economy.

“At Stallingborough, steady progress continues with the SHIIP project, with the first anchor tenant now installed and enquiries had from many other potential investors. This will be a major driver of new jobs for the future as well as a source of much needed additional business rate income. The recent completion of the A1173 highway work has improved the connectivity and attractiveness of this business location.

“The recently submitted Humber Freeport bid is receiving our full support. This is an exciting opportunity to boost business, jobs and prosperity in the area, and is an excellent example of private and public sector joint working and strong collaboration around the Humber via the Humber Leadership Board.

“Decarbonisation, renewables and a green recovery should become our borough’s USP, supporting the mission of UK plc to reduce its carbon footprint and place areas like North East Lincolnshire on a leading sustainability footing. 

“Our renewable energy credentials speak for themselves and we will continue to support our sectors to build on this and, in so doing, enhance local supply chain opportunities, all contributing to our borough’s financial resilience.

“As an administration, we continue to spearhead the infrastructure improvements needed to ensure we can attract new business and build more homes. In addition to the previously mentioned A1173 improvements, we have just overseen the completion of the Tollbar roundabout upgrade, having scrapped Labour’s unpopular and unnecessary plans to replace it with a traffic light-controlled junction, and the new roundabout at the junction of Cambridge Road and Littlecoates Road. Both projects were completed on time and on budget, despite Covid, and will enhance highway connectivity and reduce congestion. 

“We also recently completed improvements to the A18 ahead of plan and the next phase of enhancements to this important route is included in next year’s capital programme. The new Humber Link Road will also be fully opened next year, improving access to our key Humber Bank employment sites.

“Next year will see further improvements to our waste and recycling services, with the initial trials of weekly food waste collections and the collection of more types of plastic. This comes on the back of the major improvements brought about by this administration in the last year with the introduction of the new and popular recycling wheelie bins. This has resulted in a major increase in our recycling rates, after many years of stagnation under Labour, and a reduction in fly-tipping. We managed to do in 18 months what Labour failed to do in eight years.

“We have also included the resources and capacity in next year’s budget to maintain and enhance the street scene improvements we have brought about over the past two years. We will also continue to provide the resources needed bare down on littering, dog fouling, fly-tipping and anti-social behaviour, working with our partners where appropriate. This will bring about a cleaner and greener borough and enhance pride in the area.

“I want to mention the three-year extension of the contract with ENGIE through to 2025, negotiated by this administration. This not only provides stronger strategic oversight by the council, enhanced service levels and better value for money, but guarantees a saving of £1.1m a year on the cost of the contract. None of this would have been possible with Labour’s preferred option of bringing all these services back in-house.

“I now want to turn to the four further amendments made to the budget at Cabinet on February 10, all to be funded from reserves:

• An increase in the council tax hardship fund of £200,000 in 2021, to provide additional support to those households in hardship, especially in response to the pandemic.
• An increase in ward funding of £2,500 per ward, to provide ward councillors with additional capacity to support their communities.
• An investment of up to £90,000 per year in revenue, supported by a programme of capital investment to include consideration of anti-social behaviour deterrents, which will be developed to undertake a programme of investment in the 53 play parks across the borough. This is to support the health and well-being of our residents and the value placed on our parks and open spaces. This administration recognises the need for improved parks and open spaces because of pandemic and took note of elected members’ wishes expressed via a notice of motion passed at full council last year requesting improvements.
• A revenue investment of up to £80,000 per year in the green agenda, which will vastly improve our approach to environmental sustainability, including access to grant external funding.

“In the current financial climate, arriving at a balance budget proposal for 2021/22 was no mean feat. I would like to thank officers at all levels in the council for the tireless work they have put into the Budget, Finance & Commissioning Plan. 

“I would also like to thank my cabinet members for all the detailed budget work they have done in their individual portfolio areas. I am particularly grateful to Councillor Stan Shreeve, the finance portfolio holder, for his oversight of the whole process. Thank you to members, too, for your input during the various budget scrutiny meetings.

“Finally, this is a positive and forward-looking Budget, Finance and Commissioning Plan that builds on the solid achievements of the first two years of this Conservative administration. I commend the plan to you and move the recommendations included within it along with the further amendments made at cabinet on February 10.”

Seconding the proposed budget and updated commissioning plan, which was passed, Councillor Stan Shreeve,  Portfolio Holder for Finance, Resources and Assets, said: “

These are uncertain times, and even with the progress made on vaccinations and falling infection rates, there cannot yet be an absolutely clear view as to how events will spin out. Who would have thought that  coronavirus would be the lead item on national news every day for more than a year?

“In formulating these plans we have used assumptions that are known, such as the number of dwellings within the borough, and inflation and other cost assumptions largely consistent with previous plans. The lack of certainty as to the future is something we have to live with, and this is recognised in years two and three of this plan which are not yet in balance and indicate a funding gap. 

“To return to 2021/22, the proposed budget is a balanced position. The divisional plans that underpin this are as rigorous, detailed and actionable as conditions allow, and as my cabinet colleagues may allude to.

“Central government support for the budget year comes as a one-year settlement with additional funds totalling almost £8-million. The quid pro quo for this support is the assumption that local authorities will increase local taxes by the maximum allowed without a referendum, in our case by 1.98 % for council tax and 3% for the adult social care precept (as are some 100 or so other local authorities).  

“This is not something that we have done lightly, and it is a matter of regret that this is necessary but sadly this authority does not currently have a sufficiently resilient income base for us to take any other course of action.

“This tabled budget and commissioning plan are in line with the report approved by cabinet and forwarded to the two scrutiny events for members  for review. I pay tribute to you all for your diligence with which you undertook this. 

“The scrutiny events were supplemented by extensive public consultation confirming that the public saw their current priorities as social services in the round, whilst also reflecting on core services, where a high level of satisfaction was observed. 

“I will now briefly mention Covid-19. In addition to the national programmes costing hundreds of billions of pounds, support for North East Lincolnshire during the pandemic has been phenomenal. In the current year of 2020/21, the authority received direct support for council core services totalling £14.2-million, not to mention the £50-million or so paid directly to our residents and businesses.”

Councillor Shreeve went on to outline further support for the budget year of 2021/22:

• Direct funding for core services – £5-million.
• Strategic Covid ringfenced and earmarked reserve – £2-million.

“The plan also details our capital spending priorities,” he said. “Our ambition to grow the local economy is reflected in this programme of almost £130-million, of which £58-million or nearly half comes in as grants. I would stress that the resulting additional borrowing is within our prudential limits.”

Following consultation and a time for reflection, Cabinet tabled a number of amendments:

• 300% increase in the size of hardship funds.
• Additional resources – both capital and revenue – in renovating and refurbishing the 53 play areas in the borough.
• Additional funds for members under the ward funding scheme; a  50% increase per ward.
• Additional resources deployed behind the promotion of the green agenda.

These amendments are being funded from reserves and the capital programme in the short term. 

Councillor Shreeve said: “Despite the uncertainty, I am optimistic. We have an ambitious plan which describes in some detail how this Conservative administration plans to deliver the twin priorities of Stronger Economy and Stronger Communities and to deliver on its manifesto promises, bringing pride back to the borough.”