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Government issues guidance on establishment and governance of ‘Town Boards’

The Department for Levelling Up, Housing and Communities has issued guidance for local authorities and towns on the establishment of the new breed of ‘Town Boards’ and development of their ‘Long-Term Plan’.

Annexed to the guidance is further detail regarding the governance requirements for Town Boards, as well as a policy toolkit which sets out the powers available to towns in England (and, in some instances, Wales) and a list of policy interventions with an already agreed case for investment, that towns should consider when developing their Long-Term Plan, DLUHC said.

The Prime Minister has previously announced the 55 towns that will receive funding and support totalling up to £20m. These towns are expected to set up a Town Board by 1 April 2024 bringing together community leaders, employers, local authorities, the police and the local MP.

Town Boards, which will have regeneration powers including to auction empty high street shops, have to submit their plan by 1 August 2024.

Levelling Up Secretary Michael Gove said: “We’re giving under invested towns the much-needed funding and support to get going on their long-term plans.

“Our £1.1 billion long term plan for towns will make sure communities can take control of their future and invest in local priorities.”

DLUHC said that Town Boards should be led by an independent chair, “who will act as a champion for the town”.

In relation to governance, the annex says:

1. Transparency

In line with the principles of public life, the operations of the Town Board must be transparent.

The Town Board should publish membership and governance arrangements (including minutes of meetings and decision logs) on the lead council’s website.

We expect Town Boards to meet quarterly and to publish:

  • a documented decision-making process outlining the voting rights of the board
  • profiles of board members
  • all board papers in advance of the meeting within 5 working days
  • draft minutes of meetings following the meeting within 10 working days
  • final minutes, once approved by the board within 10 working days
  • any conflicts of interest reported, within the published minutes

Town Boards should follow lead council governance and finance arrangements when considering private reports, with the default position being that all papers are open to the public.

2. Code of conduct

All Town Board members should sign up to a code of conduct based on the Seven Principles of Public Life (the Nolan Principles).

There should be clear processes for managing conflicts of interests (both commercial, actual, and potential) in decision making, which apply to all involved with the work of the Town Board.

3. Declaration of interests

The lead council should provide guidance on:

  • the financial and non-financial interests individuals must declare
  • the process Town Board members must follow for declaring interests
  • the process for requesting an exemption

Town Board members must then complete a declaration of interests, which the lead council will then hold. This can be in a format the lead council already uses.

Town Board members are responsible for declaring their interests before the Town Board considers any decisions. The lead council must record:

  • actions taken in response to any declared interest
  • any gifts or hospitality given to the Town Board or individual members