Issue - meetings

(The Deputy Leader agreed to the consideration of this item as a matter of urgency as a decision was required thereon prior to the next meeting of the Cabinet).

Members considered a report on the closure of the national Kickstart Programme together with the implications of the closure of the scheme for the Authority and for residents who had benefitted from the scheme.

It was reported that the national Kickstart Programme had been established by the Government in 2004 to provide loans to residents on low incomes who were otherwise unable to access finance for home improvements which would enable them to live independently. In the West Midlands region a Partnership of Local Authorities had been established with Birmingham City Council hosting a Programme Management Team and Bromsgrove had joined the partnership in 2009. Since that time five households in Bromsgrove had benefitted from the scheme.

It was noted that following the decision of the Government to cease financing the scheme the Partnership was in the process of winding up and there was a proposal for the remaining secured and unsecured loans to be assigned to the relevant Local Authority. The loan portfolio would become the responsibility of the Local Authority to administer. It was noted that confirmation had been received that there would be no claw back of capital to the Government and the funds released as loans would not be ring fenced. Bromsgrove would therefore be taking responsibility for the administration of five secured loans with a value of £71,762.

There would be a number of tasks involved in administering the loans but in principle the Authority had the expertise to deal with these although the detailed arrangements would need to be agreed between the relevant officers. There would be no additional cost to the Authority other than the administrative costs.

It was noted that other Authorities in the West Midlands region had taken on the responsibility for administering the loans benefitting residents within their areas and in the circumstances it was felt to be appropriate that this Authority also undertook this.

Following discussion it was

RESOLVED:

(a)       that the position in respect of the closure of the Kickstart scheme be noted and the re-assignment to Bromsgrove District Council of the loans granted to Bromsgrove District Council residents (as set out in Appendix 1 to the report) be approved in order that the Authority is able to  manage the loans in future; and

(b)       that delegated authority be granted to the Head of Legal, Equalities and Democratic Services to enter into a Deed of Assignment in this regard on behalf of the Authority.