Minutes:
The Chair invited James Alexander, Lead Adviser, to introduce the item.
James stated that the relationship between the LGA and LG Mutual has now changed, and with the LGA no-longer being the sole owner. The LG Mutual is now owned by both the LGA and nine founding members (or co-owners). Five further founding members will soon co-own the company.
James made reference to paragraph six – nine (the councils who have dropped out of being a Founding Member), along with authorities that have been accepted. James confirmed that different types of councils are being represented within the pool of Founding Members. The mutual will be able to provide cover to councils from April 2019.
James suggested members of the Resources Board look into suggesting that their councils to undertake the business case process on a non-commitment basis, in order to gather a cover offer and price for due consideration.
James concluded that the Leadership Board now holds responsibility to the Mutual due to change of ownership, and that the Resources Board no longer will receive regular updates.
The Chair invited members to comment:
- Members discussed the LGA’s insurance. Sarah Pickup stated that a report to the Leadership Board alongside a quote will be submitted in due course.
- Members requested more information on where the periodic reports for the Mutual are being fed into? James Alexander stated that this is all under consideration, including using the Founding Members to sense check all reports. Sarah Pickup also stated that accountability of the LGA will now fall under the new LGA Unlimited Board, along with the Commercial Advisory Board.
The Chair concluded with praising officers for all their hard work, and encouraged members of the Resources Board to enquire regarding cover from the Mutual.
Action
- Members noted the report.