Havering’s Cabinet, 6th November 2024

Bankruptcy dominates council decision-making. Item 6¹ discussed the unfolding financial situation. Chris Wilkins (28 minutes) introduced the item in his ‘reading a shopping list’ style. Surprisingly, he sounds like a born-again Labour loyalist with a mission to rescue Havering after 14 years of Tory misrule.

The £52m government loan, negotiated with the Conservatives, is inadequate. Chris says the 2025-6 outcome will be minus £73m. Ominously, he (31) identified the Freedom Pass as a pressure point. Havering has many OAPs and the Freedom Pass is very expensive at £8m. Chris could be thinking of that as a ‘savings’ item. If the government does not increase Havering’s funding, Chris might have to consider a huge increase in council tax.

Ray Morgon, Gillian Ford and Chris love lobbying. It’s ludicrous and is the triumph of hope over experience. Ray (33) said the GLA expects 25% of councils to be bankrupt by 2026-7 along with Havering.

“To engage in discussion with the Government regarding a fix to the underlying budget issue the Council faces or agree a further capitalisation direction to allow time for funding reform to be actioned.”²

The recent Labour budget allocated £1.3bn for local government. Ray said Havering should receive good treatment because it’s virtually bankrupt. Interestingly, neither Chris or Ray mentioned that the interest rate for the £52m loan had been reduced by 1%. The 1% saves half million pounds in annual interest payments, which is £200,00 more than closing four libraries.

The government could lift the ‘cap’ on council tax increases, “It is unclear… whether…[the new Government] will allow authorities more flexibility regarding tax increases.”³

Chris won’t welcome empowerment. He prefers being a helpless victim. If the £21m shortfall is funded by council tax increases, it will be dramatic in an election year.

Notes

1 Annotator Player

2 (Public Pack)Agenda Document for Cabinet, 06/11/2024 19:30 para 8.2

“….agree a further capitalisation direction to allow time for funding reform to be actioned.” This means that they intend to borrow long term for current revenue pressures. This is financial insanity.

3 ibid 8.3

Havering’s Cabinet Meeting, 9th October 2024

The meeting dealt with awarding contracts. Every officer recommendation was agreed. Scrutiny was provided by Keith Prince who did a manly job. This was especially the case with the award of a Housing IT contract, Item 8.¹

Keith (1:04)² focused on the price range,

“Indicative Market Comparison Costs……Based on the extensive market assessment across eight suppliers it is estimated that the total value of the contract will be within a range of c.£970,000 to £2.4m for the potential seven year life cycle of the software …..(results of market assessment across eight suppliers)”³

There is a 147% range between lowest and highest. Keith found this curious. Just how could there be such an enormous variation for the same performance? The complex story took an interesting turn when the director of finance said she could vary these prices by a further half million pounds under delegated powers. Taking the lowest indicative price, that was a further 51%. Reading the cabinet’s ‘body language’, it was obvious they didn’t know about her delegated powers. (The papers will be rewritten reflecting this insight.)

Keith did an excellent job at this meeting.

…………………………………………………………………………………………………………………………………

Ray Morgon’s attempt to suppress the Institutional Racism report hit another road block⁴ when the appeal against the Freedom of Information Tribunal judgment failed,

A judge ruled that the council’s grounds for trying to cover up the 400-page dossier were “inarguable” and had “no realistic prospect of success”. ⁵ (my emphasis)

He’s a sucker for punishment and might appeal against this judgement. The lawyers are loving it. Havering’s library users are less happy.

Notes

1 (Public Pack)Agenda Document for Cabinet, 09/10/2024 19:30 p97

2 Time is based on the webcast

3 loc.cit. p99

4 Institutional Racism and Havering Council – Politics in Havering

5 Information Tribunal rejects Havering Council racism dossier appeal | This Is Local London

Havering’s Bankruptcy and Margaret Thatcher

Thatcherite economics in 1979 was straight-forward. Income tax was reduced and capital assets lightly taxed to reward Conservative voters.¹ Lost revenue was replaced with massive increases in regressive taxes like VAT. George Osborne, a Thatcherite without the brains, introduced The Age of Austerity, 2010-24. His freezing of Council Tax ultimately made Havering bankrupt because lost revenue wasn’t replaced.

Ray Morgon borrowed £52m, at 7%, from the government to replace the lost revenue in 2024. This is like using credit cards for day-to-day spending, which is obviously insane. Worse, the council is selling capital assets to fill the hole Osborne made. (Bankrupt aristocrats call this, ‘selling the family silver.’) It’s a futile tactic to buy time.

In a full year, 2% of council tax will be needed to pay the interest on the loan.

Havering is bankrupt because council tax is too low.². Trivial *cuts* like four libraries reduce the deficit by £300,000.³ Havering’s budget is £180M.

What does inflation, 2010-24 tell us?

General inflation: 61%⁴

House price inflation: 100%+⁵

Council tax inflation: 46.7%⁶

The 2024-25 budget deficit is expected to be £32M.⁷This is caused by Council Tax not being inflation linked. Council Tax is a Property Tax.

House price inflation has been at least 100% because of the magic ofThatcherite economics. Wealth in assets is lightly taxed and rises in value. Or, as the Bible says, The rich get richer.⁸ Born-again Thatcherites like Andrew Rosindell probably know this. Meanwhile pot holes are a symptom of bankruptcy.

Ray Morgan and Gillian Ford should beg government for the freedom to set Havering’s Council Tax.

Notes

1 BBC Budget 97 “In his first [1979] Budget he raised VAT from….8% to a single rate of 15%….an increase in prescription charges from 20p to 45p and a major relaxation of exchange controls.” In the same budget higher rate taxation was reduced from 60% to 40%.

2 Havering Council Tax: Is It Too Low? – Politics in Havering

3 Havering launches new library strategy | London Borough of Havering

4 £1 in 2010 → 2024 | UK Inflation Calculator (in2013dollars.com)

5 House Prices in Hornchurch (rightmove.co.uk) 11 Ravensbourne Crescent, Romford increased 142%. 17 Ravenscourt Grove, Hornchurch increased 117%

6 Previous years’ bands | Council Tax bands and bills | London Borough of Havering Using Band D.

7 Cabinet agrees “toughest budget ever” | London Borough of Havering The actual out-turn won’t be £32M because much expenditure is demand led and not quantifiable accurately.

8 Matthew 25:29

Havering’s Cabinet Meetings: 11th September and 18th September, 2024

Item 6: 11^th September

Assure Havering residents that the Council takes Hate Crime seriously and has robust mechanisms in place to help combat/reduce such behaviour; and · Inform victims and witnesses about the various support options currently available, including how to contact those specialist agencies.^1,2 (my emphasis)

The government requires councils to have *Hate Crime* policies. The policy is for Havering’s housing tenants. Paul McGeary (36 minutes)³, read a statement. He has no enthusiasm, it’s as if it’s an unwelcome chore. Keith Darvill (42) worried about costs. When told there were no additional costs he was still worried, which was surprising.

The schizophrenic cabinet endorsed this policy whilst paying a fortune to a King’s Counsel (KC). The KC will try to sustain the council’s position on the suppression of their report on racism amongst council employees.² Institutional racism, of course, is a hate crime. The report will be uncomfortable and unwelcome. It is, in the words of the Tribunal which decided the Romford Recorder’s Freedom of Information request, “of overwhelming public interest”.⁴ Therefore, it should be published.

Item 10: 25^th September

This item is a Performance Report on the Council. The ‘score card’ categories are as follows:

“· Red = Below target and below the ‘variable tolerance’ of the target

Amber = Below target but within the ‘variable tolerance’ of the target
Green = Above annual target.”⁵

The outcome isn’t flattering, with 41% being RED and a cause for concern.

Interestingly the IT document transmission failed and Opposition leaders only received a summary report. Keith Prince (1:32) believed it should be made public. Reading the Leader’s *Body Language* this is unlikely to happen.

Councillors spent three minutes (from1:31) on this item. Chummy cabinet meetings, with lots of bonhomie, are a tragic wasted opportunity. The public is ill-served when a 41% failure rate is shrugged off without comment.

Notes

1 (Public Pack)Agenda Document for Cabinet, 18/09/2024 19:30 (havering.gov.uk) p579

2 Institutional Racism and Havering Council – Politics in Havering

3 Annotator Player (mediasite.com) Times refer to this webcast. There wasn’t any sound until this item. This gelled with the members’ criticisms about the poor Council’s IT interface.

4 Havering Council seeks appeal over racism report ruling | Romford Recorder

5 (Public Pack)Agenda Document for Cabinet, 25/09/2024 19:30 (havering.gov.uk) p184

Institutional Racism and Havering Council

Several years ago, there were disturbing allegations of Institutional Racism amongst officers of the Council. A report was commissioned to uncover the truth. The report was completed three years ago and it sustained those allegations. The Conservative Administration of Damian White rejected demands for publication. Ray Morgon, the Leader of the Opposition, demanded the report be published. A campaign began led by the Romford Recorder who put in a Freedom of Information request.

For three years the Council resisted that Freedom of Information request.

The Romford Recorder¹ has won a court case demanding publication of the report. The Council won’t publish and it continues to fight the Recorder. Institutional Racism is an insidious ‘Hate Crime’, which rots trust in the workplace and community.

“The council was ordered in August to disclose a 400-page dossier of evidence to the Romford Recorder within 42 days, after we won a legal action on behalf of our readers…Information Tribunal judges ruled that the council was not entitled to suppress the document as its contents were of overwhelming public interest.”² (my emphasis)

HRA’s response is to continue resistance by hiring a King’s Counsel for an appeal.

The appeal is lame. Firstly, it wants to protect other councils, which is a specious justification and a waste of Havering taxpayers’ money.

Secondly, they claim the document is “historic” and therefore misleading. It’s historic because the council have fought tooth and nail to prevent publication.

Thirdly, the document is inflammatory, which “….risks fracturing community cohesion in the borough at a time when the national temperature is heightened.”³ Really?

Assuming the Recorder has faithfully recorded the Chief Executive’s justifications for the appeal, its chances of success are slim, and very expensive.

Council officers oppose publication because they fear reputational damage. However, it is Conservative and HRA politicians who are preventing publication, not officers.

Questions:

1) Are any perpetrators still employed by Havering?

2) Was compensation paid to any victims?

3) Did the council demand No Disclosure Agreements from any employee in relation to the findings of this report?

4) Were any councillors named in the report?

Notes

1 Havering Council seeks appeal over racism report ruling | Romford Recorder

2 loc.cit.

3 loc.cit

Havering Council Meeting: 4th September 2024 (part two)

Library Closure Debate (Begins at 56 minutes)^1,2

This was the best debate in recent years. Thoughtful and insightful points were made in an ultra-positive environment. Great stuff.

Martin Goode (56mins) set the tone. Firstly, placing libraries in the community and then forensically analysing the financial actualité. A lot of the savings is staffing. However, Havering has a no redundancy policy so there is an over-statement of savings.

Two councillors³ explained the importance of libraries to their, and every body’s, childhood. Dilip Patel (1:25) quoted Woodford Green library as an example of creative regeneration. This set the scene for ‘thinking outside the box’, a point approvingly made by Ray Morgon (2:16) to Keith Prince’s (2:19) surprise. The consultation didn’t offer alternatives to closure.

Philip Ruck (1:31) favours morally correct decisions. James Glass (1:49) is refreshingly optimistic unlike HRA, which embraces ‘victimhood’. Chris Wilkins (1:22) exemplifies victimhood: he’s wedded to ‘Loans and Savings’. He’s oblivious to the £1.5m that a 1% council tax increase offers, an option “that dare not speak its name”.⁴

Graham Williamson (1:44) stunned councillors by saying that libraries are ‘subsidised’. They’re a public service, which might surprise him, as he implies they’re failing businesses. Gillian Ford was outraged that Prince wanted to conclude the debate even if it went on beyond 10:30 (2:00).⁵ He said HRA are led by officers. Council officers, as a group, have reductionist attitudes: ‘You want savings? Here they are!’

Four libraries might close to ‘save’ 0.55% of the deficit.

Best sarcasm: Philip Ruck

Best politics: Brian Eagling (1:28)

Absentee councillors: Nine, which is outrageous.

Notes

1 Annotator Player (mediasite.com) All times relate to this webcast

2 Motions.pdf (havering.gov.uk) For the wording of the motion and amendments

3 Mandy Anderson and Judith Holt made significant speeches on this point.

4 Havering Council Tax: Is It Too Low? – Politics in Havering

5 A close vote 25:21 casts doubt on this

Havering Council Meeting: 4th September 2024 (part one)

Question Time¹

Question Time is for councillors to quiz cabinet members. It’s limited to 45 minutes. Unlike parliament, where there’s no limit on questions, only 15 questions are allowed. Six more questions should have been posed because the time wasn’t used. Ray Morgon favours scrutiny, so more questions fits his agenda. This inexplicable rule needs revising.

Barry Mugglestone answered eight questions. His world-weary approach is understandable. Question 1: Can the Cabinet Member for Environment confirm that the option of paper visitor parking permits is still available in Havering? [Judith Holt: 19 mins]² The answer was, ‘Yes’, but he was more expansive. After the unpleasantness at the last Council Meeting being gracious was important.³

Mandy Anderson (38 mins) highlighted three unregistered Children’s Homes used by Lambeth and Hampshire Councils. Oscar Ford’s blandness pill grated. Mandy’s ward is Havering’s most deprived and is a ‘dumping ground’. Oscar couldn’t care less. Council’s officers are, “Keeping their eye on it.” If Upminster had three illegal Children’s Homes he’d care a great deal more.

Keith Prince’s question (46 mins) about CCTV was interesting until he promoted facial recognition systems. Neither he or Barry realise facial recognition is racially biased and flawed. Keith is a cheer-leader for HRA. Question 15 (49 mins) to Ray Morgon was classic: Do you agree with me that you’re great?⁴ Ray shyly agreed he was great.

Best humour: Gerry O’Sullivan’s constant mispronunciation of Martin Goode’s name.

Notes

1 Council Questions 4 September 2024.pdf (havering.gov.uk)

2 Annotator Player (mediasite.com) All times relate to this webcast

3 Havering’s Council Meeting 24th July 2024 (part one) – Politics in Havering

4 Not his ‘exact’ words but that’s what they added up to

Havering’s Council Meeting 24th July, 2024 (part two)

The principal activity of council meetings is debating Motions. These are free-wheeling discussions where any councillor can participate. Motions ought to be important and probing.¹ Motions presented to this meeting were, in general, an insult to the electorate.²

^{…………………………………………………………………………………………………………………………………………………………………………………………}

The first motion by the Conservatives was:

A This council agrees to implement a pairing system for members, to ensure that serious illness does not impact the political balance of the Chamber.

Keith Prince (1 hour 31)³was abysmal. He literally hadn’t worked out the implications of his proposition. Keith Darvill (1:34) told him. Prince acknowledged he’d got it wrong. It was drivel.

……………………………………………………………………………………………………………………………….

The Conservative’s second motion was pivotal. The financial ‘reasons’ for library closures are flakey and legitimately contestable. Perfect territory for intelligent debating:

B Council calls upon Cabinet to maintain the operation of all local libraries, acknowledging the critical social impact of their potential closure, and to encourage the use of financial reserves to ensure their continued funding. (my emphasis)

Keith Prince (1:42) withdrew the motion, which is beyond belief. The Conservatives literally don’t know what an Opposition party should be doing, or, what constructive criticism is.

………………………………………………………………………………………………………………………………….

The Conservative’s third motion was inconsequential:

C Council agrees to amend the Constitution to allow for 2 follow-up questions during full council meetings.

Keith Prince (1:43) continued his poor form. Once more Keith Darvill dissected the motion. He gained support from Stephanie Nunn and Ray Morgon.

…………………………………………………………………………………………………………………………………….

The final motion came from the Labour party:

D This Council adopts the Co-operative Party’s Charter Against Modern Slavery as shown on the attached.

Katharine Tumilty (1:55) made a very good speech about the horrors of modern-day slavery. Dilip Patel (2:08) shared his first-hand experience when he recounted his involvement in rescuing a young woman. Very moving and inspiring for everyone in the chamber. Barry Mugglestone (2:10) outlined his department’s intervention in illegal HMOs.

It was a long wait but councillors, at last, showed their best side.

Best speech: Katharine Tumilty

Notes

1 There are eight council meetings but there are no motions at Annual Council

2 SUPPLEMENTARY AGENDA 24th-Jul-2024 19.30 Council.pdf (havering.gov.uk) p11

3 Annotator Player (mediasite.com) All times refer to this webcast

Havering’s Council Meeting 24th July 2024 (part one)

Ray Morgon’s first meeting since trashing the coalition with Labour leaves HRA alone – naked and unashamed. Controversial policies like the Data Centre in Upminster are now totally owned by HRA.

………………………………………………………………………………………………………………………………….

Question Time (began at 46 minutes)

Question Time is the Barry Mugglestone Show.¹Barry is a bit of a bruiser. He said unrectified service defects were the fault of ward councillors. If they’d worked harder informing him he’d have resolved problems immediately. Good knockabout stuff. Tim Ryan (1:06) substituting for David Taylor got the treatment. It was unfair but fun.

Paul Middleton was ambushed by Judith Holt (1:27). A straight-forward question about the upkeep of Upminster cemetery became emotionally fraught. She was asking about the maintenance of her family grave. Councillors can’t demand special treatment but Paul should have been gentler.

Some cabinet members were ill-prepared for supplementary questions. Paul McGeary, Natasha Summers and Graham Williamson disappointed.

Gerry O’Sullivan was absent and deputy-Mayor, Sue Ospreay, substituted and displayed her unique style. Calling Nisha Patel ‘My lovely’ (1:10) was a novelty, which we could have done without.

Oscar Ford (1:08) said Havering was helpless in answer to Keith Darvill about flooding at Brookside Academy. The council can’t do anything because it’s an Academy.

Best tactician: Barry Mugglestone

Councillor Absence

Twenty percent of councillors were absent. Cllrs Benham, Frost, O’Sullivan, Ruck, Taylor, White D., Walker, Wilkes, Williams and Wise

Note

1 Public reports pack 24th-Jul-2024 19.30 Council.pdf (havering.gov.uk) pp249ff The webcast is here Annotator Player (mediasite.com) All times relate to this webcast

Havering’s Councillors: Their Sick Leave Culture

….U.K. the rate of employee absence has risen to its highest level in a decade…[it] has reached 4% in 2023, with an average of 4.8 days lost per employee per year. (my emphasis) Source: Absence trends in the United Kingdom: Strategies for effective management – WTW (wtwco.com)

The 2009 ‘expenses scandal’ revealed how British MPs ripped off the taxpayer. Some MPs were jailed. Nonetheless, parliamentary rules protected their pensions. (see Addendum One) Havering’s councillors are angels in comparison.

……………………………………………………………………………………………………………………………………………….

Absenteeism amongst councillors is triple the British norm (see Addendum Two). Between 19^th January and 13^th July 2024, councillors were scheduled for 440 attendances at meetings.¹One councillor could have attended 13,² whilst the least number was four.³ (Four meetings equate to one every six and a half weeks.)

Councillors, collectively, missed 58 meetings – equivalent to 13.2%. Non-attendance makes scrutiny of policies weak and toxic policies are sometimes implemented. Absenteeism destroys ‘Institutional Memory’ a crucial factor in good decision-making. Havering’s democracy is weakened by indolence.

Attendance at council meetings is one part of a councillor’s duties. Many councillors are active in their communities.⁴ Obviously this is just one publicly available. Other councillors might be equally assiduous but unavailable for scrutiny.

The principal point is councillors only have a legal duty to attend a meeting every six months. This weakens their commitment.

Addendum One: MPs and their pensions

….former MPs who were jailed in the wake of the parliamentary expenses scandal are also understood to remain entitled to full pension benefits despite their records.

MP pension rules mean there are almost no circumstances under which an MP can be stripped of their pension, with the exception of the most extreme crimes such as treason…. Source MP expenses cheats and sex offenders keep taxpayer-funded pensions (msn.com)

Addendum Two: Council Meeting, 24^th July 2024

The shocking absenteeism amongst councillors reached unbelievable levels at this meeting. Of Havering’s 55 councillors 11 were absent = 20%. This is quadruple the national average.

Source: Agenda for Council on Wednesday, 24th July, 2024, 7.30 pm | London Borough of Havering

Notes

1 Councillors attendance summary, 19 January 2024 – 13 July 2024 | The London Borough Of Havering Legally they must attend one council meeting every six months or they forfeit their seat See also Does Havering have too many councillors? – Politics in Havering

2 Chris Wilkins (He missed two, which is 15% absenteeism.)

3 David Godwin and Christine Vickery (they both had full attendance)

4 ‘The heating and hot water have failed, affecting hundreds of residents. The Council is aware of issues but seems reluctant to fix them.’ – The Havering Daily This report is about the community work of Cllrs McKeever and Stanton in Beam Park