Agenda item

Purpose: This report provides a progress update on the economic opportunities set out within Surrey’s Economic Strategy. It explores how these will evolve in the coming years through the “LEP integration” process and provides a deep dive into the council’s “Programme for housing” to help address one of the main barriers to growth.

Witnesses:

Tim Oliver, Leader (Remote)

Sinead Mooney, Cabinet Member for Childrens and Families (and Housing)

Natalie Bramhall, Cabinet Member for Property and Waste (Remote)

Michael Coughlin, Executive Director, Partnerships, Prosperity, and growth

Matt Furniss, Cabinet Member for Highways, Transport and Economic Growth

Key Discussions:

1. A Member asked what the timeline was for unravelling existing LEP structures and transferring responsibilities and assets to County Council. TheCabinet Member for Highways, Transport and Economic Growth reported that LEP integration was progressing well and offered to report back to the Committee once the transfer had taken place.

A member asked what further engagement was planned with stakeholders to understand the local need and to shape the future service offering. TheCabinet Member for Highways, Transport and Economic Growth noted that a strategic business review was recently conducted with local businesses and stakeholders. A preferred model had not been identified yet but would be in place by 1^st April 2024. Further guidance was needed from government around growth hubs and the level of funding that might continue with those.

1. A Member asked what governance arrangement would be put in place and how this would relate to existing Institutions. TheCabinet Member for Highways, Transport and Economic Growth answered that the One Surrey Growth Board and its sub-forums would be used to provide the business voice and help shape the approach.  Work was underway to look at how to refresh the Growth Board and Business Leaders forum to get a greater range of views on that.

2. A Member asked how integration of LEP functions would support the Council’s green agenda or boost the green economy. TheCabinet Member for Highways, Transport and Economic Growth answered that the green agenda was a big priority for the Council and growth in the green sector had a lot of potential in Surrey. £2.3 million had been bid for Skills Bootcamp Funding which had green skills education. There was also opportunities with the Rural Prosperity Fund Partnership to encourage businesses to switch to Electric Vehicle options.

3. A Member asked if there was enough resources to carry out the Council’s ambitions. TheCabinet Member for Highways, Transport and Economic Growth answered financially yes but noted that this was a new process and should be reviewed in a year’s time.

Skills

4. The Cabinet Member for Childrens and Families (and Housing) highlighted areas of the strategy which identified housing for key workers as a priority. Childrens homes and adults social housing had also been accelerated due to this strategy.

5. A Member noted that responsibility of delivering housing belonged with Districts and Boroughs but asked if there was enough buy-in from them around for the Housing strategy. Historically there were concerns. The Executive Director for Partnerships, Prosperity, and growth noted that a lot of work had been done to reassure Ds and Bs and many concerns had been resolved.

6. A member noted dependencies with the planning system and that many of the issues raised in the Housing strategy stemmed from there.  The Executive Director flagged that the ‘Call to Government’ highlighted these issues.  The Cabinet Member for Childrens and Families (and Housing) explained that a significant part of the work had to be addressed nationally with a call to government. The Cabinet Member had written to the Housing Minister and the Shadow Minister and had received an acknowledgment and offered to share the response once received with the Committee.

7. A Member asked how success could be measured and how to assess the progress made against the programme for Housing workstreams. The Executive Director for Partnerships, Prosperity noted that metrics such as the number of people on housing registers, house price ratio and homeless applicants were all collected in the baseline assessment that demonstrated the housing crisis from 2022. These baseline metrics would then be used most likely on an annual basis to compare progress.

8. A Member asked about the thinking behind the revision of essential worker accommodation. The Executive Director for Partnerships, Prosperity, and growth answered that there were two main opportunities within the Council: repurposing assets the Council held and freeing residential estate that the Council held for the purpose of housing essential workers.

9. Discussion of the recommendations. Two Members raised concern with the wording on Housing Strategy recommendation two and supported the rephrasing of the word failure.

Cllr Buddhi Weerasinghe left at 14:51

Actions/requests for further information:

1. Cabinet Member for Adult Social Care (Sinead Mooney) will share the Housing Minister’s response to the Call to Government on housing issues in Surrey once received.

Recommendations:

Following discussion of the draft recommendations it was resolved that the Communities Environment and Highways Select Committee:

LEP Transition

1. Welcomes the creation of a Surrey Growth Hub and the greater clarity and coherence for local businesses that this will bring.

2. Seeks reassurance that support to business on green issues and decarbonisation is prioritised by the new Growth Hub service in line with Council net Zero goals.

3. Endorses the planned governance review of the One Surrey Growth Board and the vital importance of ensuring local business voices and needs are at the heart of decision making and arrangements going forward. Requests the Cabinet Member/Service to report back to the Committee on ‘business voice’ and on progress more broadly with integration by the end of this Municipal year (May 2024).

Housing Strategy

1. Supports continuing efforts to work collectively with Councils, housing associations, other public sector land-owners, service providers and the private sector in a spirit of collective endeavour to address the evidenced housing crisis in Surrey.

2. Recognises the efforts that have been made to engage Districts and Boroughs and that these are ongoing. Asks the Service to continue working to resolve these issues and for the Cabinet Member to report back to the Committee on the state of play in this regard before the end of the next Municipal year (May 2025).

3. Asks the Cabinet Member and the relevant Executive Directors to update the Committee on progress against the Strategy at or before its October 2024 Session, including on progress against workstream KPIs for the SCC Programme for Housing as appropriate.