Agenda item
The future of Brent in2 Work and employment provision within the Borough
This report sets out the proposed future role of the Council in the delivery of employment services in the light of reduced funding opportunities. It presents a number of options to explore that could offer the council a new delivery model to support the borough’s long term unemployed into work.
(Appendix also below)
Decision:
(i) that the changing economic, policy and funding environment for the local delivery of employment services be noted;
(ii) that the implications for the council’s approach to employment, and specifically for the Brent in2 Work services be noted;
(iii) that the proposed approach to allocating the remaining Working Neighbourhoods Transition Fund beyond April 2010, as set out in section 5 of the report from the Director of Policy and Regeneration be noted;
(iv) that approval be given, in principle, to the establishment of a new Special Purpose Vehicle for the delivery of employment services, in partnership with Working Links, subject to the development of a satisfactory business model and in line with the Heads of Terms agreement set out in Appendix 1;
(v) that agreement be given in principle to the contribution of £1 million of Working Neighbourhood funding to the SPV;
(vi) that agreement be given in principle to the provision of the guarantees as set out in the report from the Director of Policy and Regeneration;
(vii) that a further report be submitted in Spring 2010 setting out the draft Memorandum and Articles and Shareholder Agreement for the Special Purpose Vehicle;
(viii) that the Council’s participation in a full bid at Invitation To Tender stage for the delivery of the Flexible New Deal Contract for West London be endorsed.
Minutes:
The report from the Director of Policy and Regeneration set out the proposed future role of the council in the delivery of employment services in the light of reduced funding opportunities. It presented a number of options to explore that could offer the council a new delivery model to support the borough’s long term unemployed into work. Approval was being sought for the establishment of a Special Purpose Vehicle in partnership with Working Links, an opportunity to deliver appropriate training across the West London area. Councillor Detre (Lead Member, Regeneration and Employment) outlined the risks associated with the project, the requirement for the council and Working Links to contribute £1m each of working capital and the need for students to stay in a job for a minimum period in order for the government grant to be payable.
The Executive in discussion sought assurances on the assumptions to keep people in work for a year and also ensure a reasonable return for the council and the consortium. The Director of Finance and Corporate Resources contributed that following a meeting the preceding week, further data was sought from the partner and so agreement in principle was required at this stage subject to satisfactory analysis.
Councillor Detre also drew attention to contract the value which now had to be divided between two successful bidders at approximately £16m each.
The Executive also had before them an appendix to the report which was not for publication as it contained the following category of exempt information as specified in Schedule 12 of the Local Government (Access to Information Act) 1972:
“Information relating to the finances or business affairs of any particular person (including the authority holding that information.”
RESOLVED:-
(i) that the changing economic, policy and funding environment for the local delivery of employment services be noted;
(ii) that the implications for the council’s approach to employment, and specifically for the Brent in2 Work services be noted;
(iii) that the proposed approach to allocating the remaining Working Neighbourhoods Transition Fund beyond April 2010, as set out in section 5 of the report from the Director of Policy and Regeneration be noted;
(iv) that approval be given, in principle, to the establishment of a new Special Purpose Vehicle for the delivery of employment services, in partnership with Working Links, subject to the development of a satisfactory business model and in line with the Heads of Terms agreement set out in Appendix 1;
(v) that agreement be given in principle to the contribution of £1 million of Working Neighbourhood funding to the SPV;
(vi) that agreement be given in principle to the provision of the guarantees as set out in the report from the Director of Policy and Regeneration;
(vii) that a further report be submitted in Spring 2010 setting out the draft Memorandum and Articles and Shareholder Agreement for the Special Purpose Vehicle;
(viii) that the Council’s participation in a full bid at Invitation To Tender stage for the delivery of the Flexible New Deal Contract for West London be endorsed;
(ix) that the above approval be subject to the satisfactory outcome of the Director of Finance and Corporate Resources’ review of analysis.
Supporting documents:
- PRU Brent in to wk, item 13. PDF 155 KB
- Restricted enclosure View the reasons why document 13./2 is restricted