Tag Archives: L&G

L&G WATCH

L&G Downing Street

We recently ran a story on our website about the relationship between L&G, who the Reverend Rees is gifting Arena island to, and the Tory government under Theresa May. Now we learn that the global pension player turned property developer continues to maintain strong links to the Tories under Johnson.

A Freedom of Information request to the Ministry of Housing, Communities & Local Government, contains an account of a meeting between the Minister for Housing and Planning, Esther McVey, and L&G on 27 January 2020. Topics included the greenbelt. L&G got to tell the Tory minister, “the entire country was not for protecting the Green Belt as a blanket rule”.

They also got to express concern about “the planning capability of local authorities,” stating they would pay a premium to get planning applications fast tracked. Explaining, “when large scale developments are delayed by slow decision making, the financial cost of delay is greater than it would cost to contribute to planning upscaling”.

McVey agreed to “take this point onboard as she considers further work”. Meanwhile, “the Minister was eager to know what L&G thought government has to do to speed up the release of public land”!

On the plus side, at least Tory ministers take minutes. Unlike BCC who gave Arena Island away at a private unminuted meeting at L&G’s offices in London attended by Rees’s dodgy property supremo Colin “Headboy” Molton, now at WECA.

Closer to home, the council has just published a VEAP for their Arena Island deal. A document used to avoid legal action by acknowledging they may have acted unlawfully in terms of regulation.

Tells us all we need to know about Rees’s shit deal with L&G

HAS THE REVEREND GIVEN ARENA ISLAND AWAY TO THE TORIES?

An old FoI request about the dodgy Bristol City Council/L&G Arena island deal catches the eye. It reveals L&G execs operating inside Number 10 [Downing Street] in 2015 and meeting Bristol City council property bosses who were supposed to be building an arena on the controversial site:

Downing Street FOI

The bizarre deal The Reverend has now struck with L&G execs is that they get the prime Arena Island site after £32m of public investment and BCC get a 40 year lease on one of the proposed L&G corporate office slabs proposed for the site … And both sides get to avoid any procurement or open sale that might upset the cosy arrangement.

But what the hell were L&G execs doing in Downing Street at the heart of power in 2015? The answer is John Godfrey, L&G’s longtime Corporate Affairs Director – basically their chief political lobbyist. The former Tory Parliamentary candidate worked at Number Ten as Head of Policy for Prime Minister Theresa May from 2015-17. At the time, this L&G/Downing Street revolving door generated headlines in the Financial Times like, “Legal & General gives Toryism a reboot“.

At the same time the Legal & General CEO was musing on his blog that “UK cities are not overbuilt but under-demolished”. The company also developed an interest in fiscal policy (basically government spending money on infrastructure); called on taxpayers to invest with savings groups such as, er, L&G and argued that planning laws should be eased to defeat ‘Nimbies’.

Alongside L&G’s political capture of Downing Street, another front opened. In 2016, John Kingman was appointed Group Chairman of Legal and General plc. Prior to this, Kingman was a senior Treasury official and, among other things, led a research project looking at the tax treatment of buy-to-let property, which led to major policy changes in the 2015 Budget.

The specific change was Section 24 of the Finance Act 2015-16, setting mortgage tax allowance for individual landlords to 20 per cent. A change that didn’t apply to corporate landlords or property rental companies. Corporates, effectively, were allowed to operate at a state-engineered advantage to smaller competitors in the property market.

With the political and legal environment in place to fill their boots, L&G now required gullible twerps from the provinces who think they’re big shot property players with access to public land. Please step forward on 12 December 2017 Marvin’s £1.5k a day ‘property expert’ Colin Molton.

He walked into L&G’s offices in London desperate to offload Arena Island quickly so that the Reverend’s favoured multinational, YTL, could dodge the ‘sequential test‘ designed to favour inner city sites over out-of-town and get planning permission for an arena in Filton. L&G were happy to oblige with a self-serving deal and advice on how BCC could dodge procurement regulations and hand them the land.  

As an added sweetener May’s L&G-friendly Downing Street operation stepped up, hinting to the Reverend and Molton that £100m of government money was on the table towards the Temple Quarter regeneration.

However, since the demise of May in 2019, L&G’s influence in the corridors of power has waned and the Johnson government with its levelling-up agenda focussed on the Red Wall seems uninterested in handing over £100m to the Reverend to regenerate Temple Meads.

In fact, they’ve now knocked back two funding applications from Bristol. Leaving the people of Bristol shortchanged and Tory L&G with a prime piece of public land in Bristol to cash in on. 

What a scam.

LETTER TO ALL COUNCILLORS FROM UNISON

From: Bristol Unison
Sent: 14 February 2022 07:58
To: All councillors
Cc: Bristol Unison; Branch Secretary; Branch Secretary, Unite
Subject: full council and collective disputes

Good Morning Councillor

I am emailing you regarding the budget proposals for Full Council on February 15th.

I am unsure if we are allowed to speak, but even if we are if will only a minute.  Hardly sufficient.

I have to inform you that we have raised two collective disputes.  One regarding museums, is by UNISON, the other one is unsurprisingly regarding the cut to trade union facility time.  With the latter, we are joined by UNITE.

The collective dispute regarding museums relates to the paperwork that was submitted to Cabinet and scrutiny prior to the full council.  The equalities impact assessment ( EQIA) was wrong and out of date.  Full details of this, is within out statements.  Furthermore, on meeting with Senior officers they confirmed this and apologised.

The EQIA should not be a paper exercise, but a robust evaluation.  I would suggest that this is especially important within culture and particularly in relation to museums and archives.  This remains the last free event that a low waged family can undertake on a rainy day.  With the cost of living increases and the low wage economy this is essential to many of your citizens.

The cuts in the papers suggested only £85k, when the true figure of nearer £420k has now arisen.  This will decimate the staff group. 

There are other issues, but with the speed of the consultative process prior to budget setting and inaccuracies within the paperwork, we are unable to engage properly.  We are asking for this report to be withdrawn, so it can be written properly and we can engage with our ideas on raising revenue to offset damage  to this service.  Furthermore, has Cabinet been misled?

Our other collective dispute with UNITE, involves the intention to cut trade union facility time.  We expect that the intention is to hamper us being able to represent member’s views in situations like this, and allow budgets and similar to pass through unmolested by democracy. 

I have spent days trying to get to the bottom of this, unsuccessfully.  I was first directed to the office of Kevin Slocombe, after a few days.  He engaged for a bit, and then handed me and our collective queries to John Walsh.  I have only received platitudes, not concrete assurances that this cut will not decimate trade union’s ability to function.  I have been told that this not a cut, but a realignment of funds.  If that is the case, then why is it in the budget proposals dealing specifically with cuts? 

We ask you to vote against this and withdraw it for proper consultation.  If it is not a cut, then it can be dealt with at the HR committee.  We will be discussing these collective disputes at this afternoon’s CJCC, with a view to them being heard at the next HR committee.

We have also been informed from other sources that Councillors have been told to vote this budget through, or fall foul of the Code of Conduct.  There is a letter circulating on social media, showing this. We believe that this undermines democracy in our city further.  We would support any councillor who votes with their conscience on the 15th.  The press would be interested in such a threat, as would the citizens of Bristol.  Who voted you in, to represent their wards and constituencies.

Lastly, I need to make a point about waste of finances.  We are told about Central Government reducing funding and putting us in such a position, that we need to cut services and outsource.  However, it is our opinion that BCC has not been entirely prudent with the budget.  For example the recent giving away of land at Temple Island to L and G, with a further £34m in improvement works.  To our knowledge, there was not a procurement process or open market tendering.  We are unclear what benefits there are for BCC or Bristol citizens.  City Leap has cost £7.4m, with a further £3m in reserves.  Bristol Energy lost £43m.  Colston Hall has now cost the council tax payer £54.4m.  I could go on, with salary increases for senior officers being one example.  We are in the process of collating evidence of this type of possible financial mismanagement.  If you are interested, then please get back to me and I can provide the list.

We firmly believe that our City should not be subjected to cut after cut and revenue should be more carefully managed, and utilised to deliver services.

Thank you for taking time to read this email and we hope you join us in defending our city.  It deserves much better.

Best wishes

Area Organiser, Unison Office, The Create Centre

ARENA ISLAND TROUGHING UPDATE

Arena Island Bridge
A nice little corporate earner: the bridge to nowhere at Arena Island

Plans by Bristol City Council, cloaked in secrecy, to hand over the prime Arena Island site to pension fund L&G for free without an open market sale or procurement process continue.

The deal, cooked up by the council’s former £260k a year interim regeneration boss Colin “Headboy” Molton, who was officially characterised by the council’s own legal team last year as “incompetent”, finds the council guaranteeing rents for 40 years on a speculative office slab L&G intend to build on the site.

And there’s lots more public money to go around for privileged corporate sector players in on this public money giveaway. For instance, new council regeneration boss Stephen “Preening” Peacock has just signed off £420k to a corporate ‘strategic partner’ (Arcadis working with Arup and Mott MacDonald) “to provide project management, cost management and design services to maintain progress”.

Progress on what? Er, a further £32 million worth of “enabling works” on the site that the public are paying for before handing the site over to L&G.free of charge.

Nice work if you can get it!

WET AND WEAK MONITORING OFFICER DROPS HIS TROUSERS AND BENDS OVER FOR THE MAYOR AGAIN

O'Gara

“L’il” Tim O’Gara, the city council’s weak and woolly Monitoring Officer, is at it again.

Richly rewarded to be a tough and independent voice at the council, keeping the Mayor, councillors and staff in line and acting according to the council’s constitution and policies, “L’il” Tim has consistently failed at this. Instead he has carved out a reputation for doing whatever the mayor tells him, regardless of propriety or the law.

Among his many handiworks has been turning a blind eye to the Reverend’s lack of any apparent open sale or procurement process as our valuable land at Arena Island is handed over to pension fund L&G. They will develop the land at a considerable profit to themselves while lumbering us with a 40 year rental charge for an already obsolete office block they intend to build.

O’Gara was also behind hiding vital Bristol Energy documents, such as dodgy business plans and realistic accounts, from the councillors and the public. A dumb practice only helpful to the Reverend, keen to hide his fundamental incompetence, now condemned by the council’s auditors. “L’il” Tim’s work almost certainly helped the shambolic energy reseller run up a £43m debt for council taxpayers.

Now we learn “L’il” Tim has turned his attention to next week’s motion before the Full Council to have a referendum on whether we should continue to have a mayor. And “L’il” Tim has helpfully allowed the Reverend to table an amendment to the Lib Dem’s motion stating that the alternative to the Mayor should be a leader and Cabinet system not the committee system requested by the Lib Dems.

This is odd because last year, when the Lib Dems put in a similar motion, proposing a leader and cabinet system, the Greens tabled an amendment to change it to a committee system. Only for O’Gara to pop up and dismiss the Greens stating it was a “wrecking amendment”. 
So what’s changed now? Apart from it’s the Reverend (who O’Gara’s shit scared of) tabling this latest and similar amendment?

Why is some weak and useless tosspot of a Monitoring Officer allowed to be entirely partisan and fuck about with our city’s democracy like this? With his limited legal skills, mental weakness and poor character, might “L’il” Tim be better suited to provincial house conveyancing practice rather than to the political cut and thrust of a core city local authority where the bullies and thugs tend to congregate at the top?

“L’il!” Tim is a wimp and a coward and he now really needs to fuck off before he does any more damage to our city.