Agenda item

To consider the controls being implemented to manage the strategic risk relating to the economy and deprivation.   

The Committee considered a progress report outlining the individual risks identified within the Strategic Risk – Unsustainable Local Economy and Increased Deprivation.

Mr Alan Cavill, Director of Communications and Regeneration provided an overview of the sub-risk ‘Increased deprivation and unemployment.’ He summarised the existing controls and mitigations as outlined within the progress report and noted that the additional government restrictions implemented as part of second national lockdown had impacted heavily on Blackpool’s hospitality industry. He informed the Committee of the newly-launched Discretionary Grant Fund which would assist businesses that had not automatically been eligible for other Covid business grant support.

In acknowledging the impact of Covid-19 on the town’s retail sector, the Committee questioned whether the Council would be able to make a significantly positive impact with regards to employment for young people in the post-Covid environment. Mr Cavill highlighted the employment opportunities arising from the leisure and tourism industry within the town and suggested that experiential services could not be adequately recreated online and as such remained popular with consumers and visitors. With specific reference to retail, Mr Cavill informed the Committee that the Council was supporting colleagues at the Houndshill retail centre, with future development plans to include a cinema and restaurants thereby not relying solely upon retail.

Mr Cavill reported that the Blackpool Enterprise Zone continued to progress, with the arrival of the transatlantic cable in October 2020 heralding a great opportunity for the area. He stated that Blackpool was a town with a strong digital economy and that the successful establishment of one business would then lead to other companies moving to the area, bringing with them employment opportunities for local and young people. The Committee was pleased to be informed that the Council planned to launch its newly-developed Digital Strategy.

With regards to the employment opportunities resulting from the Enterprise Zone, the Committee questioned whether the area was reaching saturation point or if space remained for additional investors. Mr Cavill advised that although some space for further investment remained, a planning application had been submitted in relation to the eastern end of the site which aimed to open up an additional 38 hectares to the area, which could ultimately result in a further 1500-2000 jobs.

The Committee was supportive of the Council’s decision to pay the Foundation Living Wage (FLW) to all its employees, including colleagues at the Council’s wholly owned companies, but requested that the option of widening the scheme across all employers in Blackpool be explored. Mr Neil Jack, Chief Executive advised that whilst the Council was able to insist on the FLW for its own employees, there was not currently the facility to expand this to include all employers across the town.

Mr Alan Cavill provided an overview of the sub-risk ‘Large, poor quality private rented sector in inner Blackpool continues to drive transience and deprivation.’ He outlined the beneficial work in progress via Blackpool Housing Company (BHC) in the provision of better quality private rented housing as well as the delivery of new Council homes. In addition, Mr Cavill informed Committee Members of the successful application from BHC for its subsidiary Lumen Housing to be granted Registered Provider status, which would lead to increased funding opportunities for the provision of better quality housing.

The Committee sought further details of the implementation of the selective licensing scheme, aimed at regulating private sector housing in Blackpool. Mr John Blackledge, Director of Community and Environmental Services reported that as of October 2020, 1653 properties had applied for a licence and explained that the scheme was introduced to enable landlords to receive a discount if their properties were of a higher standard, free from category one hazards and had all management safety documentation in place. Members were informed that investigations were underway to ensure that all properties which claimed to were actually meeting the required standards as well as work to determine what legal action could be taken against landlords who failed to meet the agreed standard. In response to a further question from the Committee, Mr Blackledge confirmed that the scheme included supported housing properties and he acknowledged that some residents were not receiving the support they were entitled to. A multi-agency approach would be taken in order to tackle the issue and Mr Blackledge suggested that updates be reported back to the Audit Committee every six months.

The Committee raised concerns over the possibility of a large number of guest houses flooding the property market and being available for purchase at low cost. Mr Blackledge advised that adherence to planning restrictions would hinder this from occurring, with Mr Cavill highlighting that BHC was also supporting the utilisation of available properties to provide good quality housing in the town.

Mr Blackledge provided an overview of the sub-risk ‘Lack of appropriate transport infrastructure,’ identifying that due to its innovative approach via ‘Project Amber’, the Council had been successful in its bid to receive £4.5 million challenge funding to invest in the highways network. He explained that the project aimed to invest in roads which had been identified as falling into the amber category to avoid them reaching further disrepair and reaching category red. He further reported that improvements to cycling and pedestrian routes had been identified as a government priority and as such would also be considered when reviewing the highway network and infrastructure.

With regards to the Fylde Coast rail infrastructure, the Committee asked for an update on the anticipated improvements to the rail connection to London. Mr Cavill reported that scheduled disruption to the west coast rail line by Network Rail had been announced which would affect routes at weekends throughout 2021 which he anticipated would impact significantly on leisure visitors to Blackpool. The disruption to services would negatively impact Avanti’s marketing strategy for rail use during that time, with Mr Cavill advising that post-Covid marketing of rail use would be cautiously launched in January 2021.

The Committee sought information on the proposed Fleetwood tramway extension, with Mr Cavill advising that frequent tram services to Blackpool North would allow more accessible rail travel to London from the area. The question was raised of whether the tram extension would hinder better connections to Preston, with Mr Cavill confirming that the passing loop could be utilised for either tram or rail extension, so would therefore be beneficial for both cases.

Mrs Diane Booth, Director of Children’s Services provided an update in relation to the sub-risk ‘Lack of educational attainment/appropriate training to meet the needs of the economy.’ She outlined the mitigations and controls in place to reduce the sub-risk, explaining that the risk score had remained unchanged due to the full impact of the pandemic on pupils not yet being clear. Mrs Booth made reference to the forthcoming Literacy Strategy, highlighting that this would be a ‘cradle to grave’ strategy that would aim to capture all age groups.

The Committee questioned whether employers had been involved in undertaking a skills analysis to identify any gaps in employment need. Mrs Booth reported that the Opportunity Area Board had undertaken a significant piece of work looking at employment skills, with the findings fed back to schools in order to impact on careers advice offered to pupils.

The Committee agreed:

1.     To receive an update in relation to the implementation of the selective licensing scheme after a period of six months; and

2.     To request an update on the sub-risk ‘Lack of educational attainment/appropriate training to meet the needs of the economy,’ after a period of 12 months.