Hillingdon Council Cabinet Member and Officer Decisions
New Allocation of S106 Contributions 2025/26: S106 Carbon Offset Fund - West London Alliance Energy Planning Partnership (Year 2)
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Democratic Services Location: Phase II Ext: 0636 DDI: 01895 277655 CMD No: 1447 To: COUNCILLOR MARTIN GODDARD CABINET MEMBER FOR FINANCE & TRANSFORMATION c.c. All Members of th e Residents’ Services Select Committee c.c. Nikki Wyatt & Ian Thynne, Place Directorate c.c. Karrie Whelan, Place Directorate Date: 4 June 2025 Non-Key Decision request Form D NEW ALLOCATION OF S106 CONTRIBUTIONS 2025/26: Carbon offset Fund - West London Alliance Energy Planning Partnership (Year 2) Dear Cabinet Members, Attached is a report requesting that a decision be made by you as an individual Cabinet Member. Democratic Services confirm that this is not a key decision, as such, the Local Authorities (Executive Arrangements) (Meetings and Access to Information) (England) Regulations 2012 notice period does not apply. You should take a decision on or after Thursday 12 June in order to meet Constitutional requirements about publication of decisions that are to be made. You may wish to discuss the report with the Corporate Director before it is made. Please indicate your decision on the duplicate memo supplied and return it to me when yo u have made your decision. I will then arrange for the formal notice of decision to be published. Anisha Teji Democratic Services Title of Rep ort: NEW ALLOCATION OF S106 CONTRIBUTIONS 2025/26: Carbon offset Fund - West London Alliance Energy Planning Partnership (Year 2) Decision made: Reasons for your decision: (e.g. as stated in report) Alternatives considered and rejected: (e.g. as stated in report) Signed ……………………………………………………… Date…………………….. Cabinet Member for Finance & Transformation Cabinet Member Report – 4 June 2025 Part 1 Public NEW ALLOCATION OF S106 CONTRIBUTIONS 2025/26: Carbon offset Fund - West London Alliance Energy Planning Partnership (Year 2) Cabinet Member & Portfolio Councillor Martin Goddard - Cabinet Member for Finance & Transformation Responsible Officer Karrie Whelan Corporate Director of Place Report Author & Directorate Ian Thynne/ Nicola Wyatt Place Directorate Papers with report None HEADLINES Summary To seek approval to allocate funds from the s106 Carbon Offset Fund to fund Hillingdon’s contribution towards The West London Alliance Energy Planning Partnership Net Zero work programme. Putting our Residents First Delivering on the Council Strategy 2022-2026 This report supports our ambition for residents / the Council of: Live in a sustainable borough that is carbon neutral This report supports our commitments to residents of: A Green and Sustainable Borough Financial Cost This report seeks to allocate £25,000 from the identified s106 carbon offset contribution held by the Council to fund Hillingdon’s contribution towards Year 2 of The West London Alliance Energy Planning Partnership Net Zero work programme as outlined in the report Select Committee Resident Services Select Committee Ward(s) All RECOMMENDATIONS That the Cabinet Member for Finance and Transformation, approves that a total of £25,000 from the s106 carbon offset contributions held by the Council at EO/017/582C , EO/014/567C & EO/015/579C is allocated and used to fund Hillingdon’s contribution towards Year 2 of The West London Alliance Energy Planning Partnership Net Zero work programme. Cabinet Member Report – 4 June 2025 Part 1 Public Reasons for recommendation(s) In accordance with the Council Constitution, the allocation of Section 106 (S106) and Section 278 (S278) funds is required to be formally approved by the Cabinet Member for Finance on a case- by-case basis. This report requests the approval for the S106 funds held at the case references detailed in this report to be committed as outlined in this report. Alternative options considered / risk management The Cabinet Member may agree to fund the scheme and / or suggest alternative projects to which funds could be allocated within the terms of the relevant legal agreements. If the S106 funds are not allocated to an appropriate scheme, the unspent funds may need to be refunded. Democratic compliance / previous authority The Cabinet Member for Finance has the delegated authority to allocate funds from S106 planning obligation monies. Both the Cabinet Member for Community & Environment and the Cabinet Member for Planning, Housing & Growth have been consulted and endorse the proposal. Select Committee comments None at this stage. SUPPORTING INFORMATION 1. Planning obligations, or s106 agreements, are an established mechanism for mitigating planning effects arising from development proposals. The agreements are usually negotiated within the context of planning applications, between Local Planning Authorities and persons with an interest in the piece of land (owners, leaseholders or developers). They are intended to make development acceptable, which would otherwise be unacceptable in planning terms. 2. Any s106 monies generated from planning agreements must be spent on their intended purpose and ensure that the associated development contributes to the sustainability of the area by addressing the impacts of the development proposals. As a result, expenditure of s106 funds must relate to a specific development and must be in accordance with the corresponding legal agreement. If a contribution is not used for the intended purpose or not spent within the period allocated in the s106 agreement, the monies may need to be returned. Council’s Carbon Offset Fund – Allocation of Carbon Offset Contributions Background 3. All major developments in London are now required to be zero carbon. To meet this target an onsite reduction of at least 35% beyond the baseline of part L of the current Building Regulations is required; however, where further reductions cannot be achieved on- site, any Cabinet Member Report – 4 June 2025 Part 1 Public shortfall should be provided in agreement with the Borough through a cash in lieu contribution towards the Borough’s carbon offset fund or through alternative off -site provision. The London Plan allows for the shortfall in carbon, i.e the carbon tonnage sh ort of the zero-carbon standard to be offset through an in- lieu payment which is collected at a rate of £95/tonne and annualised over a 30- year period. This formula is set by the London Plan and is based on the expected “carbon lifetime” of the National Grid as it moves to renewable resources thereafter. 4. Carbon offset contributions are collected from qualifying developments via a S106 agreement. The money can then be pooled to create a fund to be used by the Council towards a variety of projects that will contribute to the reduction in carbon emissions. 5. The GLA has provided guidance on how the Council should consider the use of the s106 funds collected. The Council's own guidance was informed by the approach recommended by the GLA. This encourages the prioritisation of the delivery of “hard measures” or projects that deliver tangible carbon savings, such as reducing energy demand in existing buildings or generating renewable electricity. However, it also recognises the valuabl e contribution of “soft measures” such as behaviour change initiatives, feasibility studies, or programmes that have less tangible carbon savings but can demonstrably create the enabling environment for carbon reductions. 6. The WLA Zero Carbon Programme (as detailed below) meets the requirements of a ‘soft carbon project’. Although it does not provide a direct carbon saving, it is a programme that is much needed to address a significant area of concern for West London. The current energy infrastructure is time limited, inefficient and poses a constraint for developing a low carbon future. The programme has the potential to result in a plan that will ultimately have significant carbon benefits across West London and put in place the building blocks to deliver higher levels of carbon savings. The programme is relatively inexpensive with regards to the Carbon Offset Fund given the collaboration and contribution across a number of boroughs. Consequently, there is a clear exceptional case to release funds for this ‘soft project’ to create an environment for positive change. Proposed allocation 7. A total of £50,800 from the Council’s S106 Carbon Fund, has already been allocated towards the West London Alliance Energy Planning Partnership Zero Carbon Programme (Cabinet Member Decision 24/06/2024) . This comprise s a contribution of £25,800 towards the employment of a Net Zero Officer for a period of 2 years , and £25,000 towards the first year of the Zero Carbon Work Programme as outlined in paragraphs 9-14 below. 8. Officers are now requesting that a further £25,000 from the S106 carbon offset contributions detailed in table 1, is allocated and used to fund Hillingdon’s contribution towards year 2 of the Work Programme. This allocation will conclude Hillingdon’s contribution to the project. Cabinet Member Report – 4 June 2025 Part 1 Public Table 1 – Details of the s106 contribution to be allocated Project : The West London Alliance Energy Planning Partnership – Net Zero Work 9. The West London Alliance (WLA) is a sub-regional partnership that brings together seven local authorities to collaborate and innovate to improve outcomes for economy and skills, social care, and housing across Borough boundaries. As part of its work, and i n collaboration with the GLA, the Alliance is currently working to deliver Local Area Energy Planning (LAEP) across the West London area. This is a seven- stage process for optimising energy systems and built environments to achieve net zero. Local Area Energy Planning Process Cabinet Member Report – 4 June 2025 Part 1 Public Continuation of sub regional Local Area Energy Planning with the GLA Year 2 (£25k) 10. Phase 1 of the process (stages 1-4 above) have already been undertaken on a West London basis, funded by the GLA. The West London Leaders and Chief Executives have subsequently agreed to provide £25k per Borough per annum for two years to deliver the LAEP Phase 2 on a sub-regional basis as part of the West London Energy Planning Partnership. The funding will secure implementation support from the GLA for the following seven work packages. • Electricity network reinforcement • Energy system flexibility and peak demand reduction • Decarbonise heat • Energy efficiency upgrades in buildings • Maximise local energy generation • Decarbonise transport • Decarbonise major energy users 11. So far, work in year 1 has focused on energy flexibility and multi -borough solar PV opportunities. A study due to be completed in June 2025, will provide guidance for Boroughs on opportunities for flexible energy solutions for buildings focused on their own estate and identify potential areas of opportunity for multi-Borough PV projects that could be taken forward. 12. Year 2 is expected to build on the work done so far and look at other priori ties in the programme such as decarbonisation, building on the strategic heat network planning work recently carried out by the GLA, and looking at neighbourhood-level approaches to the roll out of heat pumps. The focus for further work streams will be finalised later in 2025, once the results of current work has been assessed and initial insights developed. 13. Work will also fo cus on continuing to look for opportunities to further engage with Major Energy users to provide data for future work streams and create more on- going engagement/collaboration amongst the private and public sector. 14. In order to complete the Council’s financial commitment to the Programme, o fficers are requesting the allocation of £25,000 from S106 Carbon Offset contributions as Hillingdon’s share of the cost s of year 2 of the Work Programme. This allocation will conclude Hillingdon’s contribution to the project. Financial Implications The report seeks the allocation of £25k from the three S106 contribution as detailed in Table 2 below:- Table 2: S016 Contributions S106 Funding Reference Scheme Amount Time Limit to Spend Cabinet Member Report – 4 June 2025 Part 1 Public EO/014/576C West London Film Studios, Springfield Road, Hayes 6,431 N/A EO/015/579C Fmr Star PH, Corner of Star Rd & Uxbridge Rd 10,331 N/A EO/017/582C Land to the East Side of Newport Road, Hayes 8,238 Jul 2030 Total Contribution £25,000 The S106 funds are to be used towards The West London Alliance Energy Planning Partnership Net Zero work programme Year 2. The £25k will be Hillingdon Council’s share of the contribution towards the programme. Allocating the S106 contributions meet the conditions stipulated in the S106 agreement s. The scheme will be accounted for under the S106 funded revenue projects RESIDENT BENEFIT & CONSULTATION The benefit or impact upon Hillingdon residents, service users and communities? The recommendations will enable external funds to be spent to maximum effect to provide viable improvements for the benefit of local communities. Consultation & Engagement carried out (or required) Not required CORPORATE CONSIDERATIONS Corporate Finance Corporate Finance has reviewed this report and concurs with the financial implications above, noting that the allocation of £25k S106 monies as carbon offset contribution is in accordance with Hillingdon’s contribution towards The West London Alliance Energy Planning Partnership zero carbon work programme scheme. Furthermore, it is noted that although this contribution does not provide a direct carbon saving, it is a programme that addresses a significant area of concern for West London. The programme has the potential to result in a plan that will ultimately have significant carbon benefits across West London and put in place the building blocks to deliver higher levels of carbon savings. Legal Legal Services have considered the content of the Section 106 agreement s referred to in this report together with the relevant discharge notices and concludes that the recommendation presented is consistent with the terms of the respective agreements. Cabinet Member Report – 4 June 2025 Part 1 Public Comments from other relevant service areas The schemes have been developed in consultation with relevant service groups as appropriate. BACKGROUND PAPERS Planning Obligations Supplementary Planning Document Adopted July 2008 and amended July 2015. Carbon Offset Funds: Greater London Authority Guidance for London’s Local Planning Authorities on establishing carbon offset funds July 2022
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Executive Decision Notice – 17 June 2025
This notice is a public document also available to view on the Council's website www.hillingdon.gov.uk
OFFICIAL EXECUTIVE DECISION NOTICE
PUBLISHED BY DEMOCRATIC SERVICES
Notice is hereby given that the following decision(s) have been made today by
Cabinet Members at the London Borough of Hillingdon:
Title of decision NEW ALLOCATION OF S106 CONTRIBUTIONS 2025/26:
Carbon offset Fund - West London Alliance Energy
Planning Partnership (Year 2)
Reference No. 1447
Date of decision Thursday 17 June 2025
Call-in expiry date Thursday 24 June 2025
Relevant Select
Committee
Resident Services Select Committee
Relevant Wards All
Decision made
Cabinet Members
making the decision
Councillor Martin Goddard - Cabinet Member for Finance &
Transformation
Decision Approved
The Cabinet Member for Finance and Transformation,
approved that a total of £25,000 from the s106 carbon
offset contributions held by the Council at EO/017/582C ,
EO/014/567C & EO/015/579C is allocated and used to fund
Hillingdon’s contribution towards Year 2 of The West
London Alliance Energy Planning Partnership Net Zero
work programme.
Reason for decision In accordance with the Council Constitution, the allocation of
Section 106 (S106) and Section 278 (S278) funds is required
to be formally approved by the Cabinet Member for Finance on
a case-by-case basis. This report requests the approval for the
S106 funds held at the case references detailed in this report
to be committed as outlined in the report.
Alternative options
considered and
rejected
The Cabinet Member may agree to fund the scheme and / or
suggest alternative projects to which funds could be allocated
within the terms of the relevant legal agreements. If the S106
funds are not allocated to an appropriate scheme, the unspent
funds may need to be refunded.
Classification Part 1 Public
Link to associated
report
The Link to the report can be found here
Executive Decision Notice – 17 June 2025
This notice is a public document also available to view on the Council's website www.hillingdon.gov.uk
Relevant Officer
contact & Directorate
Ian Thynne/ Nicola Wyatt Place Directorate
Any interest declared
by the Cabinet
Member(s) /
dispensation granted
N/A
Implementation of decision & scrutiny call-in
[Internal Use only]
When can this
decision be
implemented by
officers?
Officers can implement Cabinet Member decision in this notice only
from the expiry of the scrutiny call-in period which is:
5pm on Thursday 24 June 2025
However, this is subject to the decision not being called in by
Councillors on the relevant Select Committee. Upon receipt of a
valid call-in request, Democratic Services will immediately advise
the relevant officer(s) and the decision must then be put on hold.
Councillor scrutiny
call-in of this
decision
Councillors on the relevant Select Committee shown in this notice
may request to call-in this decision. The request must be before the
expiry of the scrutiny call-in period above.
Councillors should use the Scrutiny Call-in App (link below) on their
devices to initiate any call-in request. Further advice can be sought
from Democratic Services if required:
Scrutiny Call-In - Power Apps (secure)
Executive Decision Notice – 17 June 2025
This notice is a public document also available to view on the Council's website www.hillingdon.gov.uk
Further information These decisions, where applicable, have been taken under The
Local Authorities (Executive Arrangements) (Meetings and Access
to Information) (England) Regulations 2012.
This is the formal notice by the Council of the above executive
decision, including links to the reports where applicable.
If you would like more information on this decision, please contact
Democratic Services on 01895 250636 or email:
democratic@hillingdon.gov.uk.
Circulation of this decision notice is to a variety of people including
Members of the Council, Corporate Directors, Officers, Group
Secretariats and the Public. Copies are also placed on the
Council’s website.
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