That, subject to the Council’s approval of recommendations 6 and 7, the following be implemented:

1.            TorVista be instructed to progress the current projects of St Kilda and Torre Marine, subject to viable business cases, as directed by the Director of Adult and Community Services;

2.            TorVista be instructed to refrain from taking on any new development work, or projects, until further notice unless requested to do so, in writing, by the Council’s Chief Executive or formal decision from Council;

3.            TorVista be instructed to reduce operating costs from £370,000 per annum to a maximum of £223,700 per annum through removing all functions, and associated costs, other than those required to provide a landlord service for the current 32 Units within their ownership;

4.            Torbay Council set up a ‘Torbay Council Strategic Holding Company’ and, subject to ensuring compliance with the Regulator of Social Housing, move the wholly owned company of TorVista from Torbay Economic Development Company to become a wholly owned sub company of the Council ‘Strategic Holding Company’ and the Chief Executive, in consultation with the Leader of the Council and Cabinet Member for Finance and Corporate Services, be given delegated authority to establish all governance arrangements for the Strategic Holding Company;

5.            That further work is undertaken by the Director of Finance with regards to the future management and operation of the 32 units currently owned by TorVista, (plus any subsequent units that might arise through either St Kilda and/or Torre Marine), to drive down operational costs which, subject to the compliance with the Regulator of Social Housing, might include:

(a)  Transferring the residential assets to alternative Residential Providers and the land assets back to Torbay Council; and / or

(b)  Integrating the TorVista landlord function with the management and maintenance of other Council owned assets such as temporary accommodation properties;  and

The outcome of this work be reported to the Cabinet to enable it to make recommendations to the Council meeting on 7 December 2023, (as part of, and to inform, the budget setting process), on whether it wishes to continue to fund TorVista to develop, and deliver, specialist housing schemes which link directly to the Council’s Community and Corporate Plan and Housing Strategy priorities which could include:

o   Extra Care Housing;

o   Supported Living;

o   Care leaver accommodation;

o   Temporary Accommodation

Recommendations to Council:

That Cabinet recommends to Council:

6.         The Director of Finance be instructed to write off the ‘working capital’ loan of £1.5m, accrued by TorVista as at September 2023, to be funded through a strategic review of Council Reserves;

7.         that Council Minute 67(v) of 20 July 2017 be rescinded, thereby removing any approval of prudential borrowing to facilitate further schemes by TorVista; and

8.         The Council approve revenue funding of £115,000 for maintaining TorVista operations for the six-month period from October 2023 to March 2024.