Leeds City Council considering range of new measures to meet budget challenge
Leeds City Council chiefs are having to consider a range of additional measures including significant staffing reductions, building closures and asset sales as the latest steps in the ongoing major budget challenge.
At the meeting of the council’s executive board at the Civic Hall on Wednesday 18 October, a series of reports will be discussed on the financial position the council is facing now and for the years to come, together with options on how to meet the challenge.
Despite setting a balanced budget in February, the council is facing extra in-year pressures leading to an overspend of £29.6million for the current financial year. This reflects issues being felt nationally as a result of rising costs and demand for services, especially for looked after children, those with special care and education needs as well as for adult social care, together with an unfunded nationally-agreed pay increase for council staff.
All services have put forward proposals to deliver those savings, but the need for further savings continues on for the next three years with an estimated funding gap of £162.8m up to the end of March 2027, with £59.2m of that relating to the next financial year for 2024/25.
In order to meet this challenge, and fulfil the legal obligation to deliver balanced budgets each year, the council will continue to carry out continuous service and asset reviews along with freezes on recruitment, as well as on non-essential spending except where necessary for health and safety or statutory reasons.
Further significant measures will be necessary however, so the council has issued a formal Section 188 notice to consult with trade unions to avoid, reduce and mitigate the potential risk and consequences of compulsory redundancies with the council needing to reduce its workforce by up to 750 full-time equivalent posts by the end of the 2024/25 financial year.
This will be managed using a range of methods, including natural turnover of staff together with flexible retirement and voluntary leavers schemes, with compulsory redundancies being a last resort. In terms of its overall size, the council currently has around 3,500 fewer staff than it did in 2011.
As part of the ongoing service and asset reviews, the council continuously assesses the estate it owns and manages across the city. On average, around 10 buildings per year are released and as part of this process a further four are now being earmarked for potential closure by the end of the year due to having low occupancy levels and increasing maintenance costs. These are at Adams Court, 15 Lavender Walk, Broomhill Family Centre and Foxcroft Close. As a result of these proposed closures, staff impacted and the services they provide would be relocated.
Additional rationalisation being considered is the sale of four more assets owned by the council and currently leased out to operators. These are Swinegate Car Park, Harper Street Car Park, St George House and 2180 Century Way at Thorpe Park. If sold, these would generate substantial funds for the council to be used to mitigate the financial challenge.
Leader of Leeds City Council Councillor James Lewis said: “The proposals announced today are us being up front and clear with everyone about the scale of the challenge we and councils all over the country are facing.
“After responding to austerity for the last 13 years we have now reached the stage where we need to look at every option no matter how unpalatable, which sadly includes the possibility of compulsory redundancies as well as building closures, asset sales and stopping or reducing some council services which will no doubt have an impact.
“Given the scale of the funding shortfall we will be looking at every building in the council estate from the Civic Hall to local community facilities, to identify what can be disposed of while still providing services to the public.
“All areas of the council are doing everything possible to mitigate that impact with a focus on continuing to provide frontline and essential services that people rely on in every community and support our most vulnerable residents, but it’s clear as with councils all over the country we cannot meet these financial challenges alone.
“The government needs to address this crisis in local government finance as a matter of urgency now.”
Dudleys appointed to advise on £6m arts centre at Saltaire
Dudleys Consulting Engineers has been appointed by Shipley College to advise on full civil and structural engineering for the proposed new £6 million community and arts centre at the World Heritage site of Saltaire in Bradford.
A planning application was submitted recently by the College to deliver the 10,441 sq ft Community, Art, Heritage, and Future Technology Centre on a former car park at the corner of Victoria Road and Caroline Street.
As well as providing new teaching spaces for Shipley College, it will become a new home for the Saltaire Collection – an archive of important documents and artefacts recording the history of the village. The plans also include a roof top civic garden, exhibition spaces and new public toilet facilities and it is intended that the centre will become an initial welcoming point for visitors to Saltaire.
This new building has been carefully designed to sit contextually within the World Heritage Site, enhancing the public’s enjoyment and appreciation of it. The design and development ran alongside public engagement and consultation, as well as guidance from Bradford Council’s planning authority and Historic England, to ensure the plans protect the outstanding universal value of Saltaire.
Dudleys Consulting Engineers is working alongside designers, 3xa Architects and project management company, Spring & Co. to deliver the project.
Leeds established Dudleys has already advised around the feasibility of the site to support the planning application and will continue to assist with the delivery, subject to planning consent. It is hoped that building works could start by June 2024.
Peter Dixon, Director of Dudleys and Fellow of the Institute of Structural Engineers, said: “The scheme has been brought forward with a rare opportunity to redevelop under-used land in the heart of this World Heritage Site, and will become a fantastic new heritage hub.
“Of course, the World Heritage status brings with it heavy restrictions on development potential, specifically for the overall height so as not to impede views of Salts Mill and beyond. To work with the topography of the site and maximise usable space, the proposed building sits within the existing ground profile featuring an upper and lower floor. The upper ground floor space breaks out into an open roof top garden space and the surrounding areas will be landscaped.
“Interestingly, the site was once home to a Sunday School in the 1800’s and we were able to draw on the benefit of original drawings held on file to facilitate the geotechnical investigations and identify any risk associated with the former basement.
“Due to strict limitations on overall building height associated with views of the adjacent Salts Mill, we are co-ordinating with adjacent landowners to ensure viability of a gravity led drainage system to avoid unnecessary pumping equipment.”
Dean Clough to host British Urban Film Festival
On Friday next week the ultimate awards finale for The British Urban Film Festival will take place at Dean Clough in Halifax, when Leeds-born actress Angela Griffin is due to receive this year’s British Urban Film Festival Honorary Award.
BUFF is the UK‘s longest running showcase for urban independent film. Over the past 18 years the platform has galvanised filmmakers and audiences with its annual award-winning film and industry programme which has been recognised domestically and internationally by BAFTA, the Iris Prize LGBT+ Film Festival, the British Independent Film Awards and the African Movie Academy Awards.
BUFF recently announced plans to move the event outside of London for the first time, bringing it to the North, after collaborating with Tracy Brabin, Mayor of West Yorkshire. An official launch event took place last month with theopening weekend planned in Leeds on Saturday, 14th October and Sunday, 15th October at Everyman Cinema, Leeds. The festival continues at VUE cinema in Halifax on Monday, 16th October through until the awards climax at The Crossley Gallery, Dean Clough on Friday, 20th October.
Jeremy Hall, Chairman and MD at Dean Clough, said: “I am thrilled that Dean Clough has been selected to host the awards finale for BUFF and we are excited to offer a very warm welcome to all guests in our wonderfully unique environment. For more than 40 years, we have worked hard to regenerate this historically important site and cultivate a truly vibrant and diverse destination for both business and pleasure.”
Bus manufacturer secures 104,000 sq ft Scarborough unit
Alexander Dennis, the manufacturer of double-decker buses and Britain’s biggest bus builder, has secured a 104,000 sq ft unit and become the latest tenant in Yorkshire-headquartered Eshton Group’s commercial property portfolio.
Grice House, located in Eastfield, sits south of the seaside town of Scarborough. The unit, which has been taken on a 10-year lease, is just a few minutes’ drive from Alexander Dennis’ current location on Eastfield Industrial Estate and will play a key role in the growth ambitions of the bus and coach manufacturer.
With prime industrial space in short supply, Eshton successfully acquired the property with a tenant already lined up, reinforcing the developer’s strategy of investing in commercial properties in markets where occupier confidence and demand are greatest.
Jonathan Chapman, director at Eshton Group, said: “Given the ongoing undersupply of quality commercial space across the region, it comes as no surprise that Grice House received such strong interest, and we’re thrilled to have secured Alexander Dennis as the latest tenant in our roster and in such short timescales following the site’s acquisition.
“The location will prove an invaluable asset to Alexander Dennis and allow effortless transportation of parts and goods from its nearby location at Plaxton Park. As a pioneer in innovation and renewable technology, Alexander Dennis is adding a range of low- and zero-emission buses to its portfolio, with its latest location at Grice House supporting the world leader’s growth aspirations.”
Michael Stewart, group finance director at Alexander Dennis, said: “Grice House adds substantial warehouse capacity to our operation as part of our growth strategy for the business and commitment to the Scarborough area. Working with Eshton Group has allowed us to make this improvement quickly, which further benefits our operations.”
Eshton was advised by Owen Holder of Holder & Co.
Duo of deals bring new businesses to Kirkstall Forge in Leeds
Two deals have been secured for space at the Kirkstall Forge development in Leeds. American firm, Buildings IOT, is opening its first UK base as part of its cross Atlantic expansion plans and local firm, CPA Consulting Engineers, is moving to accommodate its continued long term growth plans.
Buildings IOT delivers software and services to improve the operational performance and reduce the environmental impact of buildings and will be CEG’s partner of choice for its new build developments.
They are taking a Let Ready studio which provides fully furnished workspace, with modern kitchens, break-out and meeting areas. Mark Davenport, Director UK & Europe for Buildings IOT, explains: “The all-inclusive lease, and the fact we could move in, plug in, and start work immediately, was a huge bonus.
“As well as being instantly part of a fantastic business community, the studios offer a great opportunity to grow and expand on site as we roll out our adaptive building solutions across the UK, Europe and South Africa.
“We also benefit from all of the facilities at the Forge, from the railway station, Butlers café bar and business lounge, to the suite of meeting and conference facilities and the great concierge team.”
CPA Consulting Engineers is a home-grown Leeds business which was keen to expand in an environment designed to support collaboration, creativity and prioritise health and wellbeing. They are taking a 14-desk Let Ready studio on an all-inclusive five-year lease.
Simon Crabtree, Director of CPA Consulting Engineers, said: “Our new office and the wider building setting promotes modern and flexible working, as well as our investment in the well-being of our team. It will continue to accommodate our long-term growth and has a fantastic woodland, riverside setting.
“Number One Kirkstall Forge is a modern, inspiring environment with a dedicated railway station offering easy access to Leeds in minutes, as well as connectivity to Bradford and onto locations across the UK, which is fantastic for our growing client base and colleagues alike.”
Antonia Martin Wright, Head of Commercial Development at CEG, said: “We are delighted to welcome two new like-minded businesses to the thriving community here at Kirkstall Forge. It is a modern, inspiring environment designed to nurture smaller businesses as well as large corporates, with contemporary space, great onsite facilities and events, all of which can help to attract and retain staff.”
Ultimately, the £400 million Kirkstall Forge scheme is set to become home to a mixed-use community comprising up to 1,500 new homes, 300,000 sq ft of offices and 100,000 sq ft of retail, leisure and community space.
New MoU heralds strategic partnership between South Yorkshire Authority and Aviva Capital
South Yorkshire Mayoral Combined Authority and Aviva Capital Partners Limited have signed an MoU to forge a strategic partnership aimed at fostering innovation, economic growth and housing development in the county.
This landmark collaboration signifies a pivotal step towards realising SYMCA’s vision of a stronger, fairer, and greener economy for the region.
It’s said that the agreement reflects the commitment of both parties to capitalise on the vast potential of South Yorkshire, building on Aviva’s expertise and experience to support SYMCA’s pursuit of private investment for sustainable economic development. This partnership, supported by the four Local Authorities in Barnsley, Doncaster, Rotherham, and Sheffield, seeks to drive positive outcomes for the local economy and communities.
As a leading institution in the region, with 1,800 people based in Sheffield, Aviva will work closely with SYMCA to unlock private investment in South Yorkshire that aligns with the Authority’s objectives.
This is the latest commitment from Aviva Capital Partners, Aviva’s in-house investment unit which originates regeneration, housing and infrastructure assets using Aviva group capital to make places and communities more prosperous, inclusive and sustainable.
John Cummins, CEO of Aviva Capital Partners, said: “Aviva has a strong presence in South Yorkshire and is committed to boost the economy of the region through this new partnership with SYMCA. We’re looking forward to fostering sustainable economic growth, infrastructure and housing through private investment.”
Mayor Oliver Coppard said: “The ongoing transformation and regeneration of cities and towns in South Yorkshire, along with the region’s rich cultural and industrial heritage, present numerous opportunities for increased private investment in our region.
“Working closely with Aviva, I am looking forward to the opportunities that this relationship will bring about for South Yorkshire as we accelerate the growth of new businesses, foster innovation, and promote modern construction methods for residential development.”
“Our housing vision for South Yorkshire emphasises the availability of quality, affordable, and sustainable housing that contributes to a net-zero economy.”
“With a need for about 5,000 new homes annually, including 2,000 affordable ones, this is the start of a collaborative approach that will address the needs for the residents of South Yorkshire who deserve access to safe, affordable housing for themselves and their families.”
North Yorkshire launches ambitious plans to speed economic growth
Ambitious plans to tackle some of the biggest challenges which society is facing while accelerating economic growth across North Yorkshire have been harnessed in a brand new strategy for the county.
The council’s draft economic growth strategy calls for it to take a leading role in proposals to create a carbon negative economy, maximise investment and improve the quality of life for the county’s 615,000 residents and 32,000 businesses.
The five-year strategy includes plans to support business growth by building on existing sectors and increasing innovation and productivity. It is also looking to equip town centres so they can thrive through the 21st century by investing in transport, housing, digital and energy infrastructure. And the strategy is also aimed at ensuring that residents have the skills needed to meet these aspirations.
The draft plan sets a framework for detailed actions and investment plans with delivery both by ourselves and in partnership with other agencies. It also outlines the roles which the council’s area constituency committees will play to make sure local communities are involved and engaged.
Cllr Derek Bastiman said: “Our economic growth strategy is a key milestone for the council, marking an exciting new phase for our economy. We are set to take the lead on tackling some of the big economic challenges of our time and seek to maximise investment from the private sector, government and funding agencies.
“This strategy comes at a critical time for North Yorkshire, and one of the most exciting in its recent history. Having recently successfully completed the move to a single unitary, we have a once in a generation opportunity to embed a new approach to supporting economic growth in North Yorkshire.”
Already almost complete is a devolution deal with City of York Council have successfully secured a devolution deal with the Government. Subject to final approval by Parliament it will lead to the creation of a new York and North Yorkshire Combined Authority to drive regeneration and investment to the wider area.
Cllr Bastiman added: “North Yorkshire is a unique and special place. Its scale and industries make it integral to the North of England’s economic future, and its landscapes, culture and history make it a fantastic place to live, work and do business.”
North Yorkshire’s key economic strengths include:
- A thriving, entrepreneurial business base with high business density.
- A strong and diverse economy where growth and productivity have outpaced UK levels at various times in recent years.
- A highly skilled workforce and strong labour market, with employment rates and qualification levels exceeding UK averages.
- One of the best places to live in the UK with two National Parks and three Areas of Outstanding Natural Beauty and places like Skipton and Harrogate often voted among the best places to live in the country.
- A highly connected location at the heart of the North, with major sites primed for development and strong connections to east coast ports as well as major cities such as York, Leeds and Bradford.
- Access to world class research and innovation assets linked to economic strengths in food, energy and bio-renewables with close links to universities and research and development centres in neighbouring areas, including top-flight universities in Leeds and York.
- Outstanding places spanning urban, rural, and coastal locations, where a breadth of cultural and heritage assets combine with thriving market towns covered by the third largest local authority in England.
Recruitment crisis remains huge, says BCC
Fewer firms are reporting that they’re having problems recruiting staff, but it’s still a huge issue, according to the British Chambers of Commerce.
Jane Gratton, Deputy Director Public Policy at the BCC said: “Employers are offering more flexible working wherever possible but are still struggling to hire and retain the right staff to help get them through these challenging economic times. The picture in the hospitality and manufacturing sectors is particularly worrying.
“We have just under a million job vacancies in the economy, and skills shortages are damaging businesses’ ability to operate profitably – as well as impacting the wellbeing and morale of remaining staff.
“Businesses and the government need to work together to resolve this problem. Bringing more people back into the workforce, with rapid retraining programmes and comprehensive support, will help. While many employers remain sharply focused on investment in training, most businesses need more help to get the workforce skills they need. Positive interventions in the tax and skills system would be welcome, to boost investment in workplace training and development.
“It’s high time the government listened to employers and brought in the urgent reforms to the apprenticeship levy that will allow more people to get the training they need. We also need long-term commitment to Local Skills Improvement Plans that are bringing together employers and providers to plan for skills needs.
“And where businesses have tried everything possible to recruit people locally, a flexible and affordable immigration system must be there to support them. The Shortage Occupation List does not reflect the reality businesses experience on the ground. Last week, the Migration Advisory Committee underlined concerns that the list is not an effective tool to address labour shortages. An alternative must be developed urgently and in consultation with business.
“Our economic forecasts suggest the coming couple of years are going to be tough for everyone. Solving the recruitment crisis will be key to getting the economy growing again.”
Her comments come in the wake of the latest Quarterly Recruitment Outlook, a survey of nearly 5,000 UK firms of all sectors and sizes, by the BCC Insights Unit, reveals that many firms are still facing problems hiring staff.
The third quarter results for 2023, show a continuing decline in the percentage of companies facing hiring difficulties. The figure has dropped 9 percentage points from the historical high of 82% in Q4 2022. The figure has now fallen in each quarter of 2023 – but remains above 70%.
Attempted recruitment in Q3 was virtually unchanged from the previous quarter, with 61% of firms looking to find staff (60% in Q2).
Recruitment difficulties are being felt across the economy, but the hospitality sector continues to suffer the most, with 79% of firms reporting hiring challenges in Q3 (compared to 86% in Q2). This is closely followed by both construction & manufacturing on 78% (down from 86% and 81% respectively in Q2). 72% of retail businesses said they had experienced recruitment issues.
Of the hospitality firms reporting problems, 58% faced difficulties in finding semi/unskilled workers, 41% skilled manual/technical staff. In the construction and engineering sector, 78% faced problems getting skilled manual/technical workers, but just 21% for semi/unskilled.
As businesses continue to face a series of economic headwinds, most are still reporting no increase to investment in workplace training. Just over a quarter of firms reported an increase in staff training (27%, the same as Q2), with 13% reporting a drop (14% in Q2).
Labour costs are cited by the most firms as a source of cost pressure, with 66% citing this (compared to 63% in Q2 and 67% in Q1). 59% of firms say they’re concerned about energy costs.
Hull Trains to increase numbers of trained mental health first aiders
Hull Trains is set to increase its number of internal Mental Health First Aiders following a positive rollout of the scheme earlier this year.
This week is World Mental Health Day and the theme this year is ‘mental health is a universal right’. The evidence-based training gives people skills to spot the signs of poor mental health, the confidence to start a conversation and the knowledge to signpost appropriate support.
Hull Trains has already trained seven colleagues to become Mental Health First Aiders, and a further 15 are set to receive the training.
Deborah Birch, Head of HR at Hull Trains, explained: “Our employees are the heart of our organisation, and their wellbeing is of the utmost importance to us. By increasing the number of trained Mental Health First Aiders, we are demonstrating our commitment to creating a supportive and compassionate work environment. We want our colleagues to know that help is readily available if and when they feel they may need it.”
The training has been delivered to colleagues across all roles in the company, including each of the line managers.
The expansion of the Mental Health First Aider programme aligns with Hull Trains ongoing efforts to foster a workplace culture that prioritises colleague wellbeing, destigmatises mental health issues and encourages open communications.
The operator remains dedicated to ensuring that all colleagues have the necessary resources and support to maintain their mental well-being through their employee assistant programme which is available to all staff 24/7.
Hull trains MD Martijn Gilbert added: “It’s been great to see how positively our team has responded to the adoption of Mental Health First Aiders. Although there are lots of avenues available to provide support for our colleagues, and the customers they serve, knowing we have colleagues on the ground who are trained to spot signs of potential mental health matters and can signpost non-invasive ways of help will be key to ensuring our whole team feel comfortable to speak out if needed and knowing they have someone to turn to.”
Time to prepare: PSTN and ISDN switch off occurs in December 2025
BT are ceasing their PSTN (traditional copper phone line) and ISDN (digital phone lines).
You will either need:
• Internet-Based Communication: VoIP services allow you to make calls over the internet using a broadband connection. You’ll have to subscribe to a VoIP service provider, acquire compatible VoIP hardware (IP phones or analogue telephone adapters), and configure the necessary settings to use the service. This may mean a new phone number, although some providers offer the option to retain your existing number.
OR
• A mobile network system (Mobile Communication): You can switch to mobile networks by using mobile or smartphones. This involves selecting a mobile service provider, obtaining a SIM card and activating a mobile plan.
Traditional landline phone services will stop working. WHY?
The change is being made so that all telephony services move away from the old systems that have been in place for decades to a newer, more reliable technology.
Some countries have already made the change and the rest of the world are planning on doing this soon.
You may need to get new phones, phone numbers and devices for these options.
Existing landline phone may no longer be compatible with the new communication technologies.
But in most cases the existing number (especially for businesses), should be able to be moved across (it’s called porting your number).
You’ll need to switch to other ways of making phone calls.
If you use a phone system or have an Internet connection which relies on these traditional systems, whether at work or at home, you will be affected by this change. Any service that has not already been migrated to one of the new options will simply stop working.
How can LCS help?
LCS can help you move seamlessly from the old to the new by implementing Voice Over IP (VOIP), or mobile systems. These may result in additional one-off cost to replace any incompatible handsets / systems but the on-going running costs should be cheaper than your current systems and be more reliable and provide additional functionality.
T: 01522 718192 E: support@lcsit.com W: www.lcsit.com
