MD2443 GLA Group Capital Spending Plan for 2019-20

Type of decision: 
Mayoral decision
Code: 
MD2443
Date signed: 
26 February 2019
Decision by: 
Sadiq Khan, Mayor of London

Executive summary

The Mayor is required under sections 122 and 123 of the Greater London Authority Act 1999 (the “GLA Act”) to prepare a capital spending plan for the following financial year for the five functional bodies; these are the London Fire Commissioner (LFC); the Mayor’s Office for Policing and Crime (MOPAC); the London Legacy Development Corporation (LLDC); Transport for London (TfL); and the Old Oak and Park Royal Development Corporation (OPDC). The Mayor is also required under the GLA Act to send the plan for the forthcoming financial year to the Secretary of State for Housing, Communities and Local Government, London Assembly and the functional bodies before 28 February. For completeness the capital spending plan for the core Greater London Authority is also included within this approval so that the proposed expenditure for the entire GLA Group – as it will be constituted in 2019-20 – is presented in one place.

The draft capital spending plan for 2019-20 was issued for consultation on 20 December 2018 alongside the Mayor’s consultation budget. Revised versions of the capital spending plan were presented in the Mayor’s draft and final draft consolidated budgets for 2019-20 which were considered by the Assembly on 24 January and 25 February respectively.

A copy of the final capital spending plan for 2019-20 will be placed on the GLA website at: www.london.gov.uk/budget

Decision

The Mayor is requested to approve the Capital Spending Plan for 2019-20 for the GLA Group and to note that the approved plan will be sent to the Secretary of State for Housing, Communities and Local Government, the London Assembly and each functional body before 28 February 2019.

Part 1: Non-confidential facts and advice

Introduction and background

The Mayor is required to prepare a capital spending plan for the subsequent financial year for the functional bodies and to send it to the Secretary of State (for Housing, Communities and Local Government) and the Assembly before 28 February in line with section 123 of the GLA Act. This report seeks the Mayor’s formal approval for the final capital spending plan for 2019-20.

Objectives and expected outcomes

The draft capital spending plan for 2019-20 was issued for consultation on 20 December 2018 alongside the Mayor’s consultation budget. Responses to the consultation budget were received from the Budget and Performance Committee of the London Assembly, representatives from three London boroughs, four business representative bodies and members of the public. The Mayor has noted all the comments from respondents to the consultation and considered them before finalising his budget and capital spending plan for 2019-20.

The capital spending plan figures in the final draft consolidated budget considered by the Assembly at its plenary meeting on 25 February included revised capital expenditure figures for the GLA and MOPAC. The final capital spending plan for 2019-20 proposed for approval is unchanged from the version considered by the Assembly on 25 February.

The borrowing limits and statutory prudential indicators for 2019-20 which the Mayor is required to set for the GLA and functional bodies - in order to illustrate that their proposed capital plans are prudent, affordable and represent value for money – and the new GLA Group capital strategy will be submitted for approval by the Mayor before the end of March 2019.

A copy of the final capital spending plan for 2019-20 will be placed on the GLA website at: www.london.gov.uk/budget.

Equality comments

As public bodies, the GLA and the functional bodies must comply with section 149 of the Equality Act 2010, which provides for the “public sector equality duty”. This duty requires each public body to have due regard to the need to eliminate unlawful discrimination, harassment and victimisation, to advance equality of opportunity, and to foster good relations between people who share a relevant protected characteristic and those who do not. The relevant protected characteristics covered by section 149 are: age; disability; gender reassignment; pregnancy and maternity; race; sex; religion or belief; and sexual orientation. Observance of the duty may involve, in particular, removing or minimising any disadvantage suffered by those who share a relevant protected characteristic, taking steps to meet the needs of such people and encouraging them to participate in public life or in any other activity where their participation is disproportionately low, including tackling prejudice and promoting understanding. In limited circumstances this may involve treating people with a protected characteristic more favourably than those without the characteristic.

The duty has applied to the formulation and approval of the GLA’s and functional bodies’ individual budgets and capital spending plans. Part 3 to the final draft budget provided detailed advice on the equalities implications of the Mayor’s final draft budget relevant to their proposed capital spending plans.

How the GLA Group capital spending plan for 2019-20 will impact on specific persons who share a protected characteristic will be dependent on the specific decisions of the GLA and the functional bodies in regard to their individual capital programmes. In exercising their functions, including when making policy and spending decisions, the bodies are required to comply with the public sector equality duty. Compliance is necessarily iterative and on-going. It includes carrying out a process to identify and actively consider potential detrimental impacts (if any) that may arise for individual protected groups and what mitigations (if any) could be implemented to address them at a level proportionate to the decision being taken. The GLA and functional bodies will continue to carry out this process at a budget and capital spending plan level, and in the implementation of their individual strategies, policies, programmes, projects and expenditure.

Other considerations

Consultation Responses

As set out above, the Mayor consulted on the 2019-20 budget - including the capital spending plan - with the London Assembly, London boroughs, the Corporation of London and other key stakeholders between 20 December 2018 and 14 January 2019. The consultation was placed on the GLA’s website and sent to the bodies and key stakeholders mentioned above.

The Mayor has considered the comments from respondents to the consultation including the London Assembly Budget and Performance Committee before finalising his capital spending plan for 2019-20.

Risks

There are no further implications for risk management as these have been addressed as part of the budgetary process.

Financial comments

These are highlighted so far as they are relevant in the capital spending plan for 2019-20.

Activity table

Activity

Timeline

In accordance with the GLA Act the capital spending plan for 2019-20 will be sent to the Secretary of State for Housing, Communities and Local Government, London Assembly and the functional bodies before 28 February.

27 February 2019