HRA Teeter On The Brink, 26th February 2025

The budget debate concluded dramatically as HRA were punished for poor political judgement. The Maggie Thatcher approach, ‘There is no alternative,’ nearly cost them power.

Ray Morgon has inherited the wreckage of George Osborne’s Austerity programme. Havering’s borrowing might increase by £88m to pay for adult and children’s social care along with the homelessness crisis. Everyone knows that’s expensive but no-one knows how much because it’s demand led.  

The discussion about Havering’s £200m budget pivoted around food waste and libraries. David Taylor (1 hour 47)1 said HRA made political choices. The choices are to close three libraries or introduce the food waste collection six months earlier than required.

The Conservatives demanded that food waste collection begins on 1st April 2026. This saves £1.27m.2 By not supplying bin liners a further £270,000 is saved. (See addendum) Three libraries could have their closure paused for a year.3

HRA went to public consultation on closure. 83% voted against but HRA’s ‘Maggie Thatcher Tendency’ led them to ignore the consultation. HRA have forgotten they’re in a minority. The vote on Labour’s amendment was a sharp reminder. The vote tied at 24:24 and HRA won on the casting vote of the Mayor.

Seven councillors were absent, including former Conservative Leader Damian White. If he’d turned up HRA would have faced a vote of confidence and possibly lost power.

Philip Ruck (1:08)4 taunted HRA with being in the pocket of the officers. And the papers confirm he has a point. The Labour amendment led to this comment from the principal officer,

“Although the saving is financially viable, as the Council’s S151 Officer, I am unable to recommend this.”

Amazing!

S151 officers only advise whether amendments make financial sense. Philip said, “Officers advise and politicians decide.” HRA have neither the confidence or ability to reject officer advice. They tried to defend the politically indefensible.

Addendum: Labour’s amendment (edited)

Proposal. The Labour Group proposes the following budget amendments: That the saving closing South Hornchurch Library is reversed

That the saving closing Harold Wood Library is reversed

To reduce the Capitalisation Direction

That Gidea Park Library is re-purposed for alternative use

Total costs. This would be financed by: Removal of costs of bin liners from the Food Waste collection £0.270m

Source (Public Pack)Agenda Document for Council, 26/02/2025 19:30 p983

Best Speech: David Taylor

Notes

1 Annotator Player All times relate to this webcast

2 (Public Pack)Agenda Document for Council, 26/02/2025 19:30 p981

3 Martin Goode Havering’s Council Tax Meeting, 26th February 2025 (part one) – Politics in Havering At 58 minutes said that these were headline savings and didn’t include decommissioning costs.

4 Annotator Player

Council Meeting, 15th January 2025 (part one)

Attendance

Nine councillors (16%) were absent. Absenteeism like this is a *Red Flag* demanding action.1 Item 7b gave permission to a councillor be absent because of serious illness and that is right and proper. But what of the other eight?

Question Time2

Keith Prince (13 and 22 minutes)3 asked two questions about libraries. Gillian Ford didn’t show leadership in either answer. Keith wondered what additional work Gillian had done to garner community support and extend the commercial side of the library estate. She hadn’t done anything. *Proactive* is forbidden territory for her.

Dilip Patel (45 minutes) highlighted the tragic case of an 85 years old lady who’d been without heating for a month. Paul McGeary mumbled. His gravedigger voice buried this annoying triviality and the moment passed.

Webcast

The quality is poor and worsening. Gillian’s answer to Keith’s second question featured the brooding figure of Barry Mugglestone. At 37 minutes Natasha Summers disappeared altogether being replaced by Luke Phimister’s name. David Taylor’s question wasn’t filmed at all and Jane Keane’s question was truncated. Computer King Paul Middleton should solve this shaming problem. It makes the council look incompetent.

Notes

1 Councillors attendance summary, 25 July 2024 – 17 January 2025 | London Borough of Havering Six (11%) have 50%, or fewer, attendances and that doesn’t include the member who is seriously ill.

2 Council Questions 15 January 2025.pdf

3 Timings relate to the webcast Annotator Player

Havering’s Council Tax: The Consultation for Closing Four Libraries

The fundamental issue with the Council’s finances is not one of financial stewardship but that we simply do not receive enough Government support relative to the needs of the residents of Havering. Until that fundamental issue is addressed then it will remain a challenge to balance the Council’s budget.1

Closing four libraries is financially trivial. The two-year loan of £54m will cost £3.78m in interest annually. And in 2026 it will be an action replay. Salami slicing tactics2 are characteristic of political cowards. Tiny incremental cuts, which people can sort-of accept, and then wham: everything is gone.

The 2022-3 overspend was 4.5%, “a £7.788m overspend against a final net budget of £173m,”3  which was structural. Only a government injection of £4bn into local authorities will prevent further deficits.4 The bleak possibility is that Havering’s library service will be further reduced.5

Havering as helpless victim?

The council makes significant political choices. Roughly a million-pound subsidy to non-Romford car park users is utterly political. A million pounds to encourage car use? Roughly £300,000 is subsidising the MetPolice for five officers who are called away for operational duties elsewhere. Roughly £100,000 is spent closing park gates – for the few parks that have gates. Roughly £500,000 goes on CCTV, which notoriously didn’t prevent the arson attack on the Town Hall itself. And so on.

The Consultation document6 is mendacious, “…the budget challenges the Council faces means the library service’s budget needs to reduce”.7 This is untrue.

Closing libraries is a political choice.

Notes

1 draft_20222023_statement_of_accounts.pdf (havering.gov.uk)

2 Salami slicing tactics – Wikipedia

3 draft_20222023_statement_of_accounts.pdf (havering.gov.uk) p11

4  The prospect of further real terms funding cuts is likely to exacerbate existing concerns about systemic underfunding, with the current funding gap already estimated at £4 billion. Financial distress in local authorities: government response to the Select Committee report – GOV.UK (www.gov.uk)

5 The statutory minimum would be libraries in Hornchurch, Rainham and Romford.

6 Havering Council Libraries Consultation – London Borough of Havering Council – Citizen Space

7 loc.cit.