Issue - meetings

Report of the Cabinet Member for Finance and Assets

The Cabinet Member for Finance and Assets said the report sought Members’ agreement to put the Municipal Offices up for sale - a hugely significant decision, as the council has been involved with this iconic building for over 100 years.  The council’s Strategic Asset Management Strategy reviews and monitors its properties to ensure they are delivering the best financial and strategic returns and delivering the best value for Cheltenham residents. The many changes in the size and shape of the council, and particularly hybrid working which was grown since the pandemic mean that our accommodation needs are no longer suited to this building. 

This has presented a timely opportunity to consider the long-term purpose and uses of the Municipal Offices, to ensure it continues to play an active role in shaping a vibrant future for the town centre whilst enabling CBC to remain financially sustainable.  Wide consultation across the town has been undertaken, with the views and opinions the Civic Society, Local History Society, Architects’ Panel, Chamber of Commerce, BID, community sector representatives and representatives of youth groups, including CBC’s apprentices, taken into account – these are summarised in the report.  English Heritage is also keen to be involved.

He recognised that Members would have a range of valid views and opinions to share, and ended by summarising the recommendations of the report, including a commitment to bring a report to Council for a final decision on the future of this iconic building.    

In response to Member questions, the Cabinet Member for Finance and Assets and Executive Director for Finance, Assets and Regeneration confirmed that:

-       there is currently no firm plan for where the council might move to when the time comes, with the focus currently on the disposal of the Municipal Offices.  The council-owned Delta Place and Ellenborough House have been discussed, but it could be some time before future accommodation needs to be sought.  Where it goes will depend on what is available at that time, and how the needs of the council may have changed;

-       the Cumulative Annual Cash Flows by Option graph does not include the increases in the value of the asset with the investment of a full refurbishment; it models the cash flow impact rather than a balance sheet valuation of any additional investment;

-       the value of the asset would increase at the point of investment, but a formal valuation for the Statement of Accounts 12 months later may very well decrease significantly.  Local government finances don’t allow for depreciation in absolute cash terms; any revaluation downwards would be treated in the accounts as an impairment loss but wouldn’t have any impact on the council-tax payer.

In debate, Members made the following comments:

-       whilst recognising the need to make changes in the way the building operates, the report focuses on the sale but doesn’t analyse options at this stage, which is not entirely satisfactory.  Previous discussions over the last 50 years have concluded that the council needs to retain an  ...  view the full minutes text for item 11