Havering’s Council Tax Meeting, 26th February 2025 (part two)

Background

Political groups nominated speakers to set out their propositions¹ and general debate followed. There were 12 speeches² and this gives a flavour of the debate.

General Debate

Michael White (Con) began (1hour 05) with, “He didn’t want to bring politics into the debate.” Michael believes everything is political. He said a pause in introducing the Food Waste collection would save the libraries. This is irrefutable.

Philip Ruck (Cranham RA) said HRA don’t understand their budget as it’s set by officers. He said borrowing £88m to put £5m into reserves is ludicrous. (£1m costs £50K p.a. in interest.)

Keith Prince (Con) said, “Politics don’t matter’. Councillors panicked, wondering who this imposter was. Keith, if it was him, identified savings which earn money like increasing the number of planning officers. He’s a fan of Harold Wood library and likes the police and CCTV.

Ray Morgon (HRA) Defended his budget quite well. He favours lobbying. A triumph of hope over experience.

Barry Mugglestone (HRA) He loves ‘law and order’ policies and liners for caddy bins. His argument for bin liners was feeble.

Gillian Ford (HRA) She got dewy eyed about libraries she’d visited 35 years ago with her children. Everyone wondered if she’d been in one since the 1990s. Apart from saying Gidea Park library was poor in the 1990s, that was it.

Graham Williamson (HRA) He should write his speeches to prevent confusion to himself and his audience. He tried, and failed, to trash Opposition amendments by saying the Finance Director was against them. He was, of course, wrong.

(Four HRA cabinet members spoke consecutively.)

Martin Goode (East Havering RAs) As soon as he spoke about Harold Wood library he was interrupted by Gillian. He failed to make a good point.

Brian Eagling (East Havering RAs) He denounced increased charges on football pitches. He was shouted down by Gillian and Barry. His good point wasn’t made.

(HRA really, really don’t like East Havering RAs and don’t conceal it.)

Robert Benham (Con) denounced the lack of ambition in the budget. He found it unbelievable HRA were borrowing their way ‘out’ of debt with £200m by 2026.

Jane Keane (Labour) Agreed with Keith Darvill’s tour d’horizon, which was compelling and depressing in equal measure.

Judith Holt (Con) She dislikes misery and feels councillors should recognise that Havering is attractive for people from other parts of London.

James Glass (HRA) He made an honest assessment of the budget. He showed how HRA councillors are tortured by decisions like closing libraries.

Best Speech: James Glass

Best Havering patriot: Judith Holt

Notes

1 Havering’s Council Tax Meeting, 26th February 2025 (part one) – Politics in Havering

2 Annotator Player This is in speech order beginning with White and ending with Glass.

Havering’s Council Tax Meeting, 26th February 2025 (part one)

Background

Havering is bankrupt. A legal ‘budget’ was set by borrowing a maximum of £88m from the government. The interest will, catastrophically, be added to the debt.

Principal Speeches

Chris Wilkins (Cabinet Member, Finance)

Chris’s (12 minutes)¹ new tactic is a seminar presentation. There were constant references to slides (invisible to users of the webcast). It reeked of officer speak.

He spent 13 minutes whining. His attack on the Conservatives was ineffective.²Chris failed to convince on the expensive urgency of the ‘food waste project’. He’s going to lobby the government for more grant finance. Good luck with that!

John Tyler (Cranham RAs)

John was a revelation (26). He offered a critique of choices and said government loans will cost £5m in interest. His propositions were adding seven posts to increase efficiency, pausing the Harold Wood library closure and a reduction in carparking fees. His one saving proposition was not borrowing a £1m and saving £50k interest.

Dilip Patel (Conservative)

His speech (34) provoked a stand-off between the Mayor and the Conservatives. They displayed posters which the Mayor didn’t like. It’s procedurally OK but the Mayor demanded they be removed and the Tories backed down. (If they’d been serious they’d have challenged the chair and had a ding-dong.)

Dilip’s amendments were more police, more CCTV and keep open Harold Wood library. This all paid for by not having the food waste scheme. Good knockabout stuff.

(The Mayor explained what a ‘point of order’ is to Barry Mugglestone.)

Keith Darvill (Labour)

Keith made a very good speech (46). He said the budget is ‘fiction’. And he’s right. Havering’s bankruptcy means government loans balance the books. The debt could reach £200m in 2026-7 with only statutory services provided. He hoped the Fair Funding propositions would rescue Havering but increased defence spending make that unlikely. Next years’ interest charge will be about £10m.

Martin Goode (East Havering RAs)

Martin returned (58) to his normal themes of budgets that over promise and under-achieve. Importantly he highlighted the costs of closing libraries. These costs reduce savings. He thought that Harold Wood’s closure should be paused. A good solid speech. He should provide evidence about under-achievement of savings. Martin relies on assertion, which creates a credibility gap.

Best Speech: John Tyler

Note

1 Annotator Player All times relate to this webcast

Havering Council: Budget Setting – 28th February, 2024

Question: Havering is going bankrupt.¹ What did councillors do in the budget?

Answer: Dug a deeper financial hole.

(They took a government loan of £54m, without increasing Council Tax to pay the £3.4m annual interest therefore adding to the shortfall.)

Chris Wilkins (11 minutes)² His dreadful speech showed a tragic lack of awareness.

Keith Prince (29) Two minutes of ‘Thank you’ name checks was ‘padding’. A more-or-less content free speech followed.

Keith Darvill (44) The government loan is expensive – £3.4m in interest – but the ‘only’ option. Otherwise, he made sound political points.

Martin Goode (56) His speech was hesitant and expressed dismay at the loan proposition.

Phillip Ruck (1 hour 05) He discussed the loan’s implications. The £54m will be consumed in two years followed by a death spiral!

Judith Holt (1:33) She pointed out the iniquity of the Residents Parking Permit for those living in terraced houses without off-street parking.

Barry Mugglestone (1:39) Oblivious to budget problems. He loves 30 minutes free car parking in Hornchurch, where he lives, and £900,000 for five police officers.

Mandy Anderson (1:44) A considered speech. The budget is a ‘valiant effort’, which is damning it with faint praise.

David Taylor (1:47) He said the budget involved choices. He illustrated this with the million-pound subsidy for Hornchurch carparking.

Martin Goode (1:53) He liked the idea of government commissioners. Nothing would change as the council had no control anyway. The loan was dreadful.

Keith Darvill (1:58) Havering should grow the economy and, therefore, get more council tax. This is ‘a wish and a prayer’ economics.

Keith Prince (2:03) More nit-picking.

Ray Morgon (2:08) Summary remarks claimed it was a “budget of necessity”, which sort-of conceded Goode’s point.

Best Speech: Phillip Ruck

Runner-ups: Mandy Anderson and David Taylor

Audacious Proposition: Dilip Patel – a lottery to pay off the £54m shortfall

Wooden Spoon: Chris Wilkins

Notes

1 Havering Council Tax: Is It Too Low? – Politics in Havering This is four years old but the principal points hold good

2 Annotator Player (sonicfoundry.com) Time refers to when speech began

Havering Cabinet Meeting: 8th November, 2023

Havering is facing bankruptcy because of Conservative government policies. It has off-loaded statutory duties onto Havering without funding them.¹ Consequently, the council taxpayer meets the costs of social care for adults and children. The direction of travel is that the entire budget will be consumed by these items.

Ray Morgon (@2)² led a blistering attack on the incompetence of the Conservative government. He scorned the Austerity programme, 2010-23. Chris Wilkins (@6), denounced the government’s use of the 2011 Census for Havering’s funding formula.

Gillian Ford (@11) said a 102-year-old woman could be evicted to save money. This might suit Boris Johnson but Gillian was outraged. Oscar Ford (@14) identified *hedge funds* as profiteers from children’s services. He prefers the Scottish no-profit system. Keith Darvill (@15) quoted woeful statistics about homelessness, which made him despair.

Paul Middleton (@22) confirmed libraries would be affected. Graham Williamson (@23) said the decline in the planning services continued. Barry Mugglestone (@27) defended his untenable 30 minutes free parking policy. The current financial situation makes this a luxury and there’s no evidence it works.

Keith Prince (@29) got Williamson to admit Havering’s police funding would be paid by ‘someone or other’. Mysterious! Martin Goode (@40) jog-trotted through the proposals. A feral cabinet³ attacked him. They didn’t like his pithy “scrambling in the dark” summary of their efforts.

The CEO (@58) reiterated his passion for lobbying. This is a triumph of hope over experience.

The Conservatives have thrown down the gauntlet to local government.⁴ Local councils should exploit the fact that 2024 is an election year and go into battle!

Notes

1 No solution to ‘broken’ children’s services that are crippling council budgets, MPs warned (msn.com)

2 All times relate to the webcast Annotator Player (sonicfoundry.com) @2 means 2 minutes into the webcast.

3 Mugglestone, Middleton, G. Ford and Darvill

4 Surrey Council tax rise of 15% scrapped – BBC News As there are 4 cabinet ministers in Surrey it’s widely believed a back stairs deal was done with the government. See also Havering Council Tax: Is It Too Low? – Politics in Havering

Havering’s Cabinet Meeting, 28th September 2022

Boris Johnson’s economic philosophy was straightforward: I want my cake and I want to eat it.¹ Ray Morgon’s Cabinet would do this too if it wasn’t fantasy. Havering once had a substantial government grant but Osborne’s Age of Austerity programme ended that.² Havering’s budget is apparently balanced but this is achieved by ‘smoke and mirrors’. Damian White’s March budget is a classic example.³ 400 redundancies were penciled in, without any loss of services. A claim made with a straight face.

Local government finance is boring until the bills arrive. (Most people used to pay energy bills without bursting into tears. Not anymore.) Since 2010, Havering’s government grant has evaporated from £70 million to £1.5 million. Havering hasn’t been allowed to increase Council Tax to fill the revenue gap. The inevitable decline in public services has accelerated and will continue.

‘Low hanging fruit’ will be picked. This means school crossing personnel, park gates left unlocked, fortnightly bin collections, library hours cut, swimming pool hours reduced for example. HRA’s sacred cow is street care but it might take a hit under the pressures.⁴

Setting Council Tax for 2023-4 will be hideous. The council is crippled by financing Adult and Children’s services, which are statutory.⁵ Will Kwasi Kwarteng cap Council Tax increases? Realistically 10% is needed but the Conservative government might find this politically unacceptable.

The government imposes duties on Havering council and denies the resources to fulfil them.

Notes

1 For Brexit it worked out this way Post-Brexit trade: UK having its cake and eating it, says Boris Johnson – BBC News On a personal basis he ‘paid’ for gold wallpaper and then got a dupe to actually pay Boris Johnson’s Wallpapergate: Leaked £200,000 estimate reveals flat renovation plan included £7,000 rug and £3,675 trolley | The Independent

2 Budget 2010: Pain now, more pain later in austerity plan | Budget | The Guardian

3 Agenda for Council on Wednesday, 2nd March, 2022, 7.30 pm | The London Borough Of Havering

4 ibid HRA councillors voted to reduced councillor allowances to pump money into street care in a pitiful example of ‘gesture’ politics.

5 Chris Wilkins led the debate. He floundered through a repetitious presentation. He weaved in and out of ‘pressures’ like a ship drifting without power. And the elephant in the room – the size of the Council Tax increase – wasn’t hinted at. Heroically Ray said that they should lobby the two Conservative MPs to see if they’d vote against the government. See Annotator Player (sonicfoundry.com) for the debate. Wilkins speaks for the first 20 minutes