Bombshell revelation shows Labour “abandoned” oversight of £7 million+ overspent major works projects
An FOI request has shown that the “major works core group” - which was comprised of the Deputy Leader and Cabinet Member for Housing - “had not been in existence for some time”, and had disbanded around the time that key major works projects were underway.
Major works on Devon Mansions, Canada Estate, Arica House, Kirby Estate, and Chilton Grove have overspent by more than £7 million in total, amid controversy over delays and poor-quality work.
The “Gateway 2” decisions authorising the projects – which were signed off under Labour cabinet members – specifically stated that quarterly reports would go to a “major works core group” for oversight, which included the Deputy Leader and Cabinet Member for Housing.
When asked for documents or meeting records of that group, the council responded saying that it “has not been in existence for some time” and suggests that it ceased to meet around the time of the pandemic, which is when the scandal-laden major works schemes were in progress.
More alarmingly, the FOI also suggests that a separate panel without political oversight did monitor the schemes – but the emerging overspends on three of the schemes were somehow not specifically noticed or dealt with.
Oversight of the schemes had been called into question when long-overdue investigations into the works revealed that key governance processes were skipped – including rushing through spending of hundreds of thousands of pounds which usually required stringent sign-off processes.
Southwark Liberal Democrats had previously asked about the major works core group in a council assembly question – but the leader of the council avoided answering directly, and opted instead to merely concede that there “has been failings”.
Labour’s record on housing has been marked by instability, with eight cabinet members in six years. Labour Councillor Michael Situ was recently forced to resign from the post after only a matter of months after the Liberal Democrats discovered he was not following the council’s own landlord rules.
The previous Leader of the Council Cllr Keiron Williams – who had also served a stint as a housing cabinet member - also stood down following the major works scandals, a judgement finding “serious failings” by the Government’s social housing regulator, and a vote of no confidence brought by the Liberal Democrats.
Commenting, Liberal Democrat Leader of the Opposition Cllr Victor Chamberlain said:
“This bombshell revelation cuts right to the core of the problem with Labour’s record on housing. They abandoned critical oversight of major works schemes which ended up both ballooning in cost and leaving residents with unacceptable quality of works.
We now understand why the Leader of the Council decided not to answer my question about major works oversight – because it didn’t happen at all!
The fact that we’ve had eight cabinet members for housing in seven years shows that Labour simply cannot take housing seriously, and as a result, they’ve taken their eye off the ball – as usual it’s residents who are paying the cost of Labour’s incompetence.
Liberal Democrats would overhaul Labour’s failing housing department and put proper oversight back where it belongs.
On the doors we’re hearing that residents are sick and tired of Labour letting them down, and know that only the Liberal Democrats can fix Southwark”
