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Agenda item

STRATEGIC RISK REGISTER - LOCAL ECONOMY

To consider a progress report on individual risks identified in the Council’s Strategic Risk Register.

Minutes:

The Committee considered a progress report in relation to the individual risks identified on the Strategic Risk Register, specifically in relation to the risk regarding ‘Local Economy’. The report was introduced by Mr Alan Cavill, Director of Place and Mr Steve Thompson, Director of Resources, who began by outlining a number of actions being undertaken to mitigate the identified risks.

 

In connection with the sub-risk ‘increased deprivation and unemployment’, Mr Thompson highlighted the work undertaken to ensure use of local suppliers where possible and cited that the contract procedure rules used to score tenders included a social value weighting of up to 20 per cent. He provided an example of a recent tender proposal to the Committee and highlighted a number of the principles included within it such as payment of the Joseph Rowntree Foundation living wage and use of suppliers with offices located in the FY postcode area. He added that 43 per cent of all suppliers used in 2017 had been local, which was particularly impressive considering the location of Blackpool and the specialist skills often required.

 

Mr Cavill advised that the Joseph Rowntree Foundation living wage was now paid by the Council and all Council companies, in addition to as many sub-contractors as could be encouraged to do so. He highlighted a number of ongoing projects that would ultimately result in a large number of jobs created including development of the enterprise zone at the airport, an extension to the Houndshill shopping centre and a new Imax cinema.

 

The Committee acknowledged the creation in skilled job roles and queried if there was an adequate education structure in place in Blackpool to ensure young people could attain the requisite skills and qualifications required to obtain a skilled job in the new enterprise zone. In response, Mr Cavill referred to the two ‘Outstanding’ colleges in Blackpool which had excellent links to local businesses, work undertaken to identify skill shortages and the opportunities offered by apprenticeship schemes. It was commented that research had demonstrated that connections and contact with businesses through school years resulted in higher success rates of business start-ups among young people. It was suggested that a route map for young people to obtain a skilled job would be beneficial and development of one could be considered.

 

In relation to the sub-risk ‘lack of good quality affordable housing’, Mr Cavill outlined the work ongoing with Blackpool Housing Company to create good quality housing stock from properties that were previously of poor quality. It was noted that 160 houses were currently being rented and a further 160 were being developed with an ambition to achieve 500 properties within two to three years. He added that the work was having a positive impact on a number of private landlords who were also improving the quality of housing offered.

 

The Committee queried the progress made in regards to lobbying for changes to the Housing Benefits Act, which was a control identified within the sub-risk, and Mr Cavill advised that the Council continued to raise the issue with the relevant Government departments.

 

In response to a further question, Mr Cavill advised that he was unable to provide an update on the progress of the Queens Park development at the meeting and would provide an answer following the meeting.

 

The Committee expressed concern that the gross risk score for the sub-risk ‘lack of good quality affordable housing’ had been set as 16, with the net risk score 12, without demonstrable evidence provided regarding how the risk had been reduced.  It was acknowledged by Mr Cavill that the figures were a subjective measurement of risk and that the Strategic Risk Register did not fully evidence all the work ongoing to mitigate the identified risks. Mr Neil Jack, Chief Executive added that there were extensive action plans including target dates and progress reports in place for each sub-risk.

 

It was noted that in order to monitor risk effectively the Committee required further detail than presently provided and it was agreed that consideration be given to how the additional detail and assurance could be provided to the Committee for future meetings. It was suggested that the Committee might wish to consider holding a specific meeting to consider the risks related to good quality affordable housing in detail.

 

Members went on to consider the sub-risk ‘lack of appropriate transport infrastructure’ and noted the bridge replacement, extension of tramway and quality corridors projects. Mr Cavill highlighted the gradual replacement of the Blackpool Transport Services bus fleet and reported an increase in custom as a result.

 

Asked about the Road Asset Strategy and resources allocated to compete for external funding, Mr Cavill advised that the small bid team achieved a high success rate citing the recent successful bid for funding to improve Yeadon Way.

 

In connection with the sub-risk ‘lack of educational attainment/appropriate training to suit the economy’, Mrs Diane Booth, Director of Children’s Services reported that there were a number of vulnerable young people in Blackpool who were unable to complete a CV or know how to attend an interview. In order to address such key issues, a young person who had recently left care had been approached to work with the Council in order to co-produce a policy that would engage young people and ensure they were first school ready and then employment ready.

 

Mrs Booth added that relationships with academies and sponsors had improved and work was ongoing with the Regional Schools Commissioner and Ofsted to ensure all academies were transparent and making the required improvements. She expressed concern that GCSE results would not improve in 2018, and highlighted key issues including poor English and Maths skills, level of exclusions, lack of quality teaching and the transition between primary school and high school. Regular meetings were held with sponsors to challenge, motivate and identify any support the Council could provide.

 

In response to a number of questions, Mrs Booth reported that in order to achieve improvement to all subjects, English and Maths must be taught well. She highlighted a significant issue with white, British boys in the cohort due to take GCSEs in 2018 and also advised that in order to minimise the risk, a systematic way to assess, track and monitor education across the town was being developed and would be implemented in the new academic year. She added that a timeline and targets had not yet been set due to the recent receipt of the required data.

 

The Committee also noted the work of the School Improvement Board and the role of the Council in ensuring regular reporting to the Regional Schools Commissioner regarding academies in the town. It was noted that the data that had been recently provided by the academies would ensure that progress could be monitored and that they could be held accountable for improvement. In response to a further question, Mrs Booth advised that she had been assured that the relevant notifications would be made by the Regional Schools Commissioner should improvements not be made.

 

The Committee agreed:

 

1.      To receive information regarding the Queens Park Development following the meeting.

2.      To consider how to receive the additional detail and assurance required regarding the sub-risks for future meetings.

Supporting documents: