- Mayor notifies landlord that GLA will be leaving current building
- Planning permission confirmed by Newham Council
- Move will save GLA Group £61m over five years
The relocation of City Hall to the Royal Docks has moved a step closer today.
The Mayor of London, Sadiq Khan, confirmed last month that the Greater London Authority (GLA) will leave its current City Hall home next year and move its headquarters to The Crystal building.
The move will save the GLA Group £61m over five years and is necessary because the Government is not adequately funding local and regional government in London, including the costs of the Covid-19 pandemic.
The Mayor has confirmed today that he has served the break notice on the current City Hall, officially notifying private landlords Kuwaiti-owned St Martins that the GLA will be leaving the building next year.
In contrast to the current City Hall, The Crystal is owned by the GLA through its commercial property subsidiary, Greater London Authority Land and Property Limited (GLAP). This means that for the first time, City Hall will belong to Londoners.
Last week, Newham Council granted planning permission for the necessary modifications needed at The Crystal, including the creation of a new Chamber, and have now published their formal planning decision notice.
The Mayor of London, Sadiq Khan, said: “Serving the break notice and securing planning permission means we are now making significant progress towards relocating City Hall to The Crystal building. This will save £61m which can instead be spent on frontline services like our police.
“The Royal Docks really is an amazing place, and relocating City Hall will also help us to drive forward the regeneration of the area.
“We will shortly start to make the necessary modifications needed at The Crystal, including the creation of a new Chamber and additional security improvements.”
The current City Hall at More London, near London Bridge, is a very expensive building. Next year, rent to private landlords Kuwaiti-owned St Martins was set to go up to £9.6m a year. The Mayor also has to pay an additional £3m a year in business rates and service and millions on utility bills, running costs and maintenance.
With the GLA Group facing a £500m financial black hole this year and next due to Covid-19 reducing tax income, which is expected to be lower for several years to come, the savings will be used by the Mayor to protect front-line public services including the police, the London Fire Brigade, and key transport services and to invest in London’s economic recovery.
Notes to editors
In accordance with legal requirements, the GLA holds its buildings through its commercial property subsidiary, GLA Land and Property Limited (GLAP). This means a lease agreement is required between the GLA and GLAP. The Mayor has approved the terms of this lease, which for tax reasons treats the GLA in the same way as if GLAP were renting to another organisation.