Agenda item

[Report of the Director of Housing, Regeneration and Planning. To be introduced by the Cabinet Member for Finance and Strategic Regeneration]

The report seeks Cabinet to note the work of the Wards Corner Policy Advisory Group (PAG), which was established to review the options for the future management of the Seven Sisters Market in Tottenham Green Ward, in response to ongoing concern regarding the current management of the market.

The Cabinet Member for Finance and Strategic Regeneration introduced this report which asked Cabinet to note the work of the Wards Corner Policy Advisory Group (PAG), which was established to review the options for the future management of the Seven Sisters Market in Tottenham Green Ward, in response to ongoing concern regarding the current management of the market.

At the outset, the Cabinet Member stressed that the Council had no ownership of the Seven Sisters Market and that the PAG’s recommendations were not for the Council to implement. It was hoped that the key stakeholders would work together to ensure the recommendations were met.

The Cabinet Member informed that he had worked with Tottenham Ward Councillors to commission the independent review and enable this important conversation on the future management of the Seven Sisters Market to take place with key partners and stakeholders. As PAG, we have been very clear that we want the Seven Sisters Market, which includes the Latin Village, to be the best it can possibly be and recognise the social value that it brings to Haringey. That was why, even though the Council itself has no ownership or management role in the market, we recognise that the status quo was not working for all parties and we are committed to engaging with all the key stakeholders to find a sustainable solution for the future management and operation of the market that enables this important trading community to thrive in the future.

The Cabinet Member informed that, in recommending the Partnership Model as the proposed solution for future management and operation of this market, the review had considered the particular circumstances that the Seven Sisters Market finds itself in and balanced the importance of social value with the requirement for a viable operation. The PAG was confident, therefore, that the Partnership Model combined the benefits of an operator model with the right governance oversight from the key stakeholders.

The Cabinet Member highlighted that the approach was entirely consistent with the Community Wealth Building objectives of the Borough Plan which sought to build the strength, depth and wealth of our local economy and our Business Pledge to support SME businesses. And, it was vitally important that the key stakeholders came together to develop this model further to suit their combined requirements and aspirations.

The Cabinet Member was pleased this work had engaged with key stakeholders, including the majority of permitted traders as well as Grainger, TfL, the Mayor of London, the Assembly Member for Enfield and Haringey, Council Officers and Tottenham Councillors past and present in an effort to balance the needs and interests of all parties.

On behalf of PAG, the Cabinet Member paid a special thanks to the key stakeholders for their participation in this critical review and invited them to work collaboratively to implement all of the review’s recommendations and ensure a successful Seven Sisters Market.

In response to questions from the Leader, Cllr Brabazon, Cllr Hare, Cllr Ibrahim, Cllr Chandwani, and Cllr Hakata, the following information was provided:

• The Cabinet Member informed that the Independent Market Expert had written to a number of key stakeholders, including the Tottenham MP who had not responded.

• The Cabinet Member clarified that the Council was not the owner of the site but had a role within the Section 106 agreement. It was anticipated that by Friday 14^th February 2020, Grainger would appoint a new acting Market Facilitator. The Cabinet Member welcomed that step to ensure that there was someone to work with the traders to ensure the recommendations in the report were implemented.

• The Cabinet Member highlighted that the Market Facilitator and Market Operator were separate. It was expected that a permanent Market Facilitator would be appointed by April 2020.

• The Cabinet Member confirmed that Market Asset Management’s (the Market Operator) lease with TfL in respect of the existing market was due to end in September 2020 and it was expected that lease would not be renewed. MAM would continue to be a key stakeholder in the partnership model until that lease came to an end. Therefore, for as long as MAM continued to be the Market Operator, that was the basis for which they would continue to be a key stakeholder.

• The Leader noted the Council fully supported the 15 recommendations (as outlined on pages 505 and 506) put forward by the PAG. The Leader also noted that on Grainger’s website, they were committed to the Section 106 agreement, which included ensuring that rents did not go up by more than 2% a year for the duration of the temporary market and the first 30 months of the new market. The Leader assured that the Council was committed to ensuring that what was contained within the Section 106 agreement was honoured.

• The requirement, as set out in the Section 106 agreement, was to appoint a Market Facilitator.

• The Cabinet Member informed that the PAG had not looked at the historical aspects of Wards Corner but rather focussed on the future of the Seven Sisters Market. It was noted there had been a scrutiny review which had explored the historical aspects and Cabinet had responded to that review. The PAG looked at how the Council could assist in using the influence available to it to ensure that the recommendations were actioned. The recommendations focussed on developing a viable operating model for the new market

• The Cabinet Member informed there had been no discussions between the Council and the traders of the market since the January 2020 Cabinet meeting.

• The Cabinet Member noted the Planning department had completed an internal piece of learning from the management of the Section 106, which it was monitoring.

• The Cabinet Member did not see a contradiction in what was written at paragraphs 4.2.2 and 4.2.4 of the PAG report. Paragraph 4.2.2 outlined the relationship between TfL and MAM. Paragraph 4.2.4 detailed there could be a future relationship between Grainger and MAM.

RESOLVED

1. To note the findings and recommendations of PAG’s independent review of the future management models for the Seven Sisters Market.

2. To note that the Council has no role in the ownership or management of the market and therefore cannot implement the recommendations – it is for the key stakeholders to adopt and implement the recommendations of this review.

Reasons for decision

Members are being asked to note the findings and recommendations of the independent experts review.

Although the Council is not in a position to make a decision on the management and operation of the Seven Sisters Market, it has an important role to play in ensuring a sustainable management and governance model that has the support of all parties is agreed in order to secure a sustainable future for the Seven Sisters Market.

The Council also has an interest in the regeneration of Wards Corner and is in a development agreement with Grainger to bring forward this site.

Alternative options considered

As part of his review the independent market expert considered a series of market management model options before recommending a preferred model for further discussion with key stakeholders.

The review considered a shortlist of 12 market management models which were assessed against the following criteria agreed by PAG:

1. Ability to be affordable and self-financing
2. Have an effective management/operation structure with robust governance
3. Ability to be implemented within specified timeframes and resource/capability available
4. Ability to facilitate entrepreneurship, business support and growth
5. Ability to support social value by providing opportunities for local people
6. Ability to support and contribute to the place and offer

The review concluded that of the 12 shortlisted market models a total of 6 scored more than two thirds of the total weighted score. In accordance with the criteria agreed with PAG, the following 6 market models were provisionally accepted for further development and discussions with the key stakeholders.

1. Social Enterprise – Community Interest Company operates the market as a business with specific ethical focus
2. Cooperative – market owned and operated by the Traders for their cooperative benefit
3. Partnership – day to day management of the market by a third-party operator with strategic oversight delegated to a multi stakeholder board
4. Market Operator – market leased and operated by a third-party i.e. the current position
5. Arms-length – market operated by an ‘arms-length’ company of Grainger
6. Local Authority – market owned and operated directly by the LBH

The management and operational vehicle that is being recommended by the review is the Partnership Model. This model has been selected as, like all the 6 top scoring options, it can be implemented within required timescales and could be applied to any of the possible market locations, including the current Wards Corner development. Also, the model brings with it the expertise, knowledge base and resources that good operators with a proven track record can provide. Coupled with the additional oversight from the Board this will result in a highly effective solution that will address most of the key stakeholders’ issues, priorities and aspirations.

As current and future landlord TfL and Grainger are ultimately responsible for implementing the recommended management and operational model including the appointment of the operator.