Agenda item

[Alison Shannon, Chief Accountant, and Heather Clark, Head of External Funding and Digital Projects, to present report]

The Chair invited Heather Clark, Head of External Funding, to present the report.

The Head of External Funding advised the panel that the report gives an overview of the external funding opportunities available to the Council and the Council’s approach to the management and delivery of externally funded projects.

The Head of External Funding commented on the importance of securing grant funding to the delivery of key Council priorities set out in the Our City: Our Plan and the five-year financial strategy.

The Head of External Funding commented that the Council has benefited from significant external funding in the past which has contributed to the delivery of these city priorities.

The Head of External Funding gave examples of the different funding opportunities that have been used to deliver the priorities of the City. The average cost of the Council’ submitting a competitive grant funding bid is estimated by researchers to be around £30,000.

The Council is in discussions with the Government about the importance of a developing a new relationship between central and local government to improve the efficiencies in the grant bidding process.

The Head of External Funding gave a summary of the significant external bids submitted and the outcome to date.

The Council's external funding team regularly review external funding opportunities and this work is supported by having access to a database which includes details of future bid opportunities.

The Head of External Funding advised the panel that all external funding bids must be signed off by the Section 151 Officer before submission and to Cabinet Resources for approval.

The Head of External Funding commented on the importance of having a strong project management approach to maximise the benefits and reduce risk to the Council from external funding bids.

The panel were invited to comment on the report and to provide feedback on the Council’s approach to managing and delivering externally funded projects.

The panel queried if there was compensation built into the delivery of the Victoria Street and Civic Hall Public Realm Zone to business affected by the development work. The panel also queried if consideration was given in the plans to the recommendations of the Wolverhampton Pound report.

The Chief Operating Officer advised the panel that Government grants from the Future High Street Scheme do not include an amount for compensation as there is a statutory compensation scheme that businesses can apply to if affected by disruption caused by utilities work.

The Head of External Funding confirmed that the bids for external grant funding are considered in relation to the Wolverhampton Pound findings and recommendations, for example, the Council will ask projects to seek four quotes and two of these must be from local suppliers. This change will have a positive impact on achieving the aims of the Wolverhampton Pound priorities.

The panel requested further details about the projects allocated funding from the UK Shared Prosperity Funds and specifically where the money has been spent among the wards in Wolverhampton

The Head of External Funding advised that the Council is waiting for details from WMCA (West Midlands Combined Authority) about the funding agreement.

The Head of External Funding added that the Council has identified several priority actions that will be supported in the financial year, for example, community shops, and the cost-of-living hub, as part of the financial well-being support offer.

The Head of External Funding commented on plans to recruit an external funding programme manager to support and build on current work in preparation for future funding opportunities for large strategic projects.

The Head of External Funding offered to meet panel members to discuss funding opportunities under the local priorities and reassured the panel that all wards will benefit from the different city-wide activities.

The panel requested a breakdown of the external bids and spending on a ward basis in the financial year.

The panel also requested a recent copy of External Funding Update report to be shared.

The Head of External Funding advised the panel that the last report was published in November 2022 and related to the breakdown of the UK Shared Prosperity Fund and agreed to share a copy.

The panel queried the factors considered when consideration is given to the costs of preparing a bid submission and how expectations of success are assessed and managed.

The Head of External Funding advised the panel that it is a competitive process, and it is estimated that only 1 in 3 bids are successful and highlighted the importance of submitting quality bids. If a bid is unsuccessful for a local project, then consideration will be given to look for other funding opportunities and funding packages that can deliver the scheme.

The panel queried if Government was able to recover any underspend if there were delays in delivering the project on the previously agreed timetable.

The Head of External Funding advised the panel that the current requirement for UK Shared Prosperity Fund is that the funds should be spent in the year awarded but due to the late agreements then there is expectation that the Government may be flexible provided the Council can show that there is a plan to spend the funds.

The Head of External Funding advised the panel that if there was an underspend at the regional level then this could affect future allocations and it was important therefore to have strong back up plans should some activity spend not go ahead as expected.

The panel thanked the presenter for the report.

Resolved:

1.    The panel comments on the Council’s approach to managing and delivering externally funded projects is noted.

2.    The Head of External Funding advised the panel to share a copy of the External Funding Update report with the panel.

3.    The Head of External Funding to provide an analysis on ward basis of spending local allocations from the UK Shared Prosperity Fund for the period 2022-2023.