Uncertainty ahead for the GLA in the Mayor’s budget
In anticipation of the Mayor’s draft 2018-19 budget, the London Assembly Budget and Performance Committee has today released its ‘Pre-Budget Report’. The document highlights uncertainty around the funding of several organisations within the GLA group. The financial difficulties of the London Stadium and the uncertainty of Brexit are additional stresses on the balance sheet.
Key recommendations in the report include:
- As a matter of urgency, the Mayor needs an action plan to address the Stadium’s financial pressures on the LLDC, with clearly defined targets as to when we can expect improvements.
- The Mayor should clarify how far his funding programmes will go towards meeting London’s housing need of 66,000 new homes a year, 65 per cent of which are affordable.
- The Mayor should publish the detail of his proposals to fund half of Crossrail 2 during construction.
- The Met needs an action plan to get digital savings back on track and the Mayor should consider using his Chief Digital Officer to oversee and provide challenge to the action plan.
- The Mayor should explain why capital funding has been cut for domestic retrofitting and energy projects, and what funding he has allocated to increase recycling in London.
- The Mayor should conduct an urgent review of the performance of the GLA’s existing programmes to assess whether they are delivering the desired outcomes, and publish KPIs for 2018-19 alongside his final budget.
Gareth Bacon AM, Chairman of the London Assembly Budget and Performance Committee said:
“The finances of the London Legacy Development Corporation (LLDC) go from bad to worse. Over the next four years, the LLDC’s debt to the GLA will double to some £767 million. The Mayor needs to come up with an action plan to address this problem, which threatens the finances of the whole GLA Group.
London’s housing is another area of great challenge with the supply falling short of what the Mayor believes the capital needs. We want to know how many new affordable homes the Mayor’s budget will deliver for London.
We have concerns over TfL’s falling fares income, and its ability to produce accurate forecasts. We question how TfL and the Mayor will be able to fund Crossrail 2.
Funding for the Met is a key concern. In the absence of any additional funding from Government, or the Mayor, or the realization of significant new savings and efficiencies, the Met may see a substantial drop in the number of police officers.
This year’s budget process needs more transparency, clear KPI’s and defined measures. It’s up to the Mayor to make sure that the best services are provided to Londoners. We will be closely watching and will hold the Mayor accountable.”
Notes to editors
- Pre-Budget Report
- The key responsibility of the Budget and Performance Committee is its annual scrutiny of the Mayor’s budget proposals for the next financial year. This involves detailed examination of the Mayor’s plans for spending his budget to help ensure taxpayers’ money is used appropriately and effectively.
- Gareth Bacon AM, Chairman of the Budget & Performance Committee is available for interview. See contact details below.
- As well as investigating issues that matter to Londoners, the London Assembly acts as a check and a balance on the Mayor.
For media enquiries, please contact Sonia Labboun on 020 7983 5769. For out of hours media enquiries, call 020 7983 4000 and ask for the London Assembly duty press officer. Non-media enquiries should be directed to the Public Liaison Unit on 020 7983 4100.