Laburnum School – "Consultation" Period Over

Today is the end of the “consultation” period. Laburnum kids and parents are handing in hundreds of signatures on petitions and postcards to the Learning Trust who will make specific proposals and consult on them throughout November. Below Carl Taylor puts forward our perspective on the “consultation” in a letter to the Learning Trust ; meanwhile the Save Laburnum Campaign goes on.

 

It is the view of Hackney Independent that Hackney Council/the Learning Trust intend to close Laburnum School regardless of this “consultation” exercise. You are going through this exercise only because you have to legally. However we do not accept that closing Laburnum School is inevitable. Hackney Independent is campaigning as an organisation in the south of the Borough and as part of the Save Laburnum School Campaign against closure of Laburnum School. We want to impress upon Labour councillors in Haggerston Ward in particular that this decision will cost them too much in political terms. They nearly lost Haggerston Ward to IWCA (Hackney Independent) candidates this year, and they will have no chance of retaining Haggerston in 2006 if they allow this school to close.

 

On the subject of the election, the decision to close Laburnum School makes a mockery of local democracy. Just five months ago five rival political groups were out campaigning in Haggerston Ward in the Council elections. Four of the political groups did not know about the proposal to close Laburnum School. The Labour Party candidates did, but chose to hide it. In voting, or in choosing not to vote, none of the Haggerston electors knew that the Council was considering closing Laburnum School. For this reason we call for a referendum across Haggerston Ward on this issue before a final decision is made on closing Laburnum School.

 

We accuse the Council of running down Laburnum School for years. The Council tolerated an unpopular Head, who did much damage to the school. The Council took no action then, leading to the school going into Special Measures. Now under a popular Head, who working with governors and staff has turned the school around, the Council say the school must close. And you have the cheek to say part of the reason is that the School is on Special Measures. But it is only on Special Measures because of the lack of Council support in the first place, and of course is only ne of many Hackney schools that have been on special measures.

 

By closing Laburnum School you also close a full-time nursery. We know that this means that the Council saves more money by closing Laburnum than other schools with no nursery or only a part-time nursery. We believe that this is part of a wider agenda to run down public nursery places in the Borough and replace them with private nurseries. If this is not the case, what proposals have you got to provide the same number of nursery hours in other local schools if Laburnum closes?

 

Property developers are already showing an interest in the Laburnum School site. (See the page 21 of Homehunter in this week’s Gazette). It is as obvious to them as it is to the local community and us what the real agenda is here. You have got a building that would convert so easily into yuppie flats as well as the playground which faces onto the canal, where more flats could be built. Taken alongside the private flats built on both sides of the school, Shoreditch New Deal plans for 30 private flats in Haggerston Pool and proposals to redevelop Haggerston West and Kingsland estates, the obvious intent is to transform the area. The Council is pursuing a policy of social cleansing – of driving out the working class majority and moving in a new middle class population who don’t use facilities, libraries, social services or welfare benefits, while paying a high level of Council Tax. They won’t use local schools as they will either send their kids out of the Borough or move before they are school age to be replaced by more rich young childless couples. We will fight not just the closure of Laburnum School, but any attempt to use the site for anything other than education.

 

Over the last few years Haggerston has lost so much. We have lost more than one library, youth clubs, nurseries and the swimming pool. Both the Apples and Pears Adventure Playground and the Haggerston One O’clock Club are under threat. Top Learning Trust Managers might not be interested in wider issues, but the Council is meant to be. Haggerston should not have to pay so heavy a price for the financial mismanagement of this Council.

 

Laburnum School – Messages of Support

22nd September 2002
The Save Laburnum School Campaign has launched a postcard campaign in August. Hundreds of local people have signed them, objecting to the Council’s plans to close the school. While many people have posted their own postcards direct to the Council, the Campaign has collected postcards at stalls held around the area and set up a postbox in Haggerston Community Centre. These postcards will be handed in to the Council at the end of the “consultation” period on 30th Deptember.

 

Below we print some of the messages written by people on the postcards, giving just their initials and postcode. (All these postcodes are within Hackney).

 

BC, E9 Stop closing schools and hospitals
GC, N1 I think this is out of order
TO, N1 My children go to Laburnum and are very happy in their school. Please don’t close it
GC, E9 Not good. Should not happen
WW, E9 Education leads to a better life
JC, E8 Prime development site by canal?
GG, N1 Some schools in Hackney are already over-crowded. This does not promote a good education
SK, E9 Too few schools in Hackney already!
AS, E9 Children need their school to learn, and also we need more teachers
ID, E5 Disgraceful
DK, E8 This school has children and teachers. What happens to them?
PJ, E8 Please don’t close my school, I love it
DM, E8 Laburnum School offers an after school project and a breakfast club
NM, E8 Laburnum is a very good school and still getting better
AM, E2 I think it is not fair for the children. We must save the school
KT, E5 How do you expect children to get a good start in life if you keep closing schools?
JT, E2 I can’t believe you are taking another school away from Hackney. How many more children have to suffer? Education is very important in a child’s life
MT, E2 Please don’t close the school because all the children get good education and they are happy at the school
CR, E2 It is a great shame. My niece and nephew went on to a good secondary school
DK, E8 My children have attended this school since moving to London. All 3 children love their school
DR, E2 I object to this much needed school closure. All because the Council got itself in a financial mess in the past
NS, E8 Why didn’t our councillors tell us before the election? Shame!
GB, N1 Enough enoughs
JW, E2 It is a shame to close this school. I myself went to this school when I lived opposite the school. My children and now my grandchildren go there. It’s a great school
KR, N1 Hackney should be working towards building futures for children instead of taking away what they have
II, N1 Don’t close it down. It is my old primary school
JH, N1 Why? It’s needed now more than ever
TK, E8 Shame on you Hackney bigwigs, and it is all wigs isn’t it?
SO, E8 What are the reasons for the closure? There is another solution if we really think about it
PD, E8 Haggerston needs Laburnum. It is an up and coming school
SS, E8 Please consider all the students how they will take the situation
IM, E8 My children and grandchildren went there. It is our local school and a good one and serves a much better purpose to our community that the provision of yuppie flats. I would wish for my great grandsons and daughters to have knowledge of this school
DK, E8 I love this school. It has a special needs programme and they also have a reading together group
DB, E2 Obviously you are determined to displace a whole school in pursuit of financial gain. You have not considered the long-term effects for the children and their families by your plan. Shame on you all
SA, E2 I think that it is irresponsible to sell out on any educational facility in Hackney. The facilities and standards here are already poor enough as they are
PP, E8 This is a great school. Please think again
AO, E8 Don’t sell the future of our children for a peanut today
SD, E2 Because Hackney Council is in debt, do not mean they have to sell everything in Hackney. Leave our schools alone
NS, E2 Leave the school alone because the children love the school. We love our school
UO, E8 If every school is a good school, then don’t close Laburnum. Make it better school for our community and our children
VJ, N1 Money should be invested in schools. The youth are our future!!
DC, N1 What about our children’s education? Please do not close the school
TS, E8 I believe the school should stay for the good it does our community – local schools for local people
AM, E2 I’m disgusted at the Council’s attitude. Do you want kids to grow up stupid?
TP, E8 Please see sense
SE, E2 Please do not close any more of our schools
RL, E8 Spend more on schools, less on war!
PW Do not use schools to bail you out of financial crisis!!
MH, E2 Keep communities like they want, not like the system wants
MG, E5 We have to do all we can to stop this closure
RS,N16 Keep the school open!!
Emmanuel Amevor, Centerprise Director. What next – destroying the next generation. Stop this nonsense and save Laburnum Primary School

Winter 2002 Newsletter

 

How many councillors does it take to change a lightbulb?

The IWCA survey in Haggerston last year proved what everybody knows: that crime and anti-social behaviour is the biggest single issue in the ward. If you have not been directly affected by crime then it has probably affected one of your friends or family. This isn¹t whipping up the fear of crime ­ this is how we are living.

Tony Blair famously said that a New Labour government would be “tough on crime and tough on the causes of crime.” Recently a series of measures to punish the perpetrators of anti-social behaviour was unveiled. But much of this is like closing the stable door after the horse has bolted.

How can Labour seriously claim to be tough on the causes of crime in inner-city areas like Hackney when its local councils are cutting the resources that we depend on to ensure that young people don¹t get involved in crime in the first place?

This is not to excuse anti-social behaviour. Muggings, assaults and lesser offences make our lives a misery and should not be tolerated. But any serious solution must recognise that without access to real opportunities some young people will start to offend.

In the current issue of Hackney Today our New Labour mayor tells us that the solution to tackling crime is “by fixing or upgrading street lights and putting in CCTV in high crime areas”. This really is an insult to our intelligence. It is not just that CCTV does hardly anything to reduce crime (as government reports acknowledge). It is that New Labour also presides over the slashing of resources that would go some way to preventing young people involving themselves in crime. You just have to turn the page to see how this is happening in Haggerston.

Hackney Council cuts are causing crime.

Improved street and estate lighting would not solve all our problems but we do know that muggers prefer to operate in the dark and reports show that lighting can be an effective way of reducing criminal activity. The mayor says he wants to improve street lighting. However we don¹t believe that Labour will prioritise working class areas.

That¹s why the IWCA is launching a campaign to improve the lighting in this area. It will be the main subject at the ward meeting in December. (see box below). Come along and support the campaign. We will be contacting every tenant and community group, as well as the schools, asking for their support.

And we need to hear from you. We want you to call and tell us the blocks where the lights haven¹t been working, where the darkest spots are, and if you want to help with the campaign. You can leave a message on 7684 1743.

Together we can force this council to fulfil its responsibilities ­ by lighting up Shoreditch.

Haggerston News Updates

ONE O’CLOCK CLUBS

We reported in the last issue of this newsletter, that the Haggerston One O¹Clock Club, which is based in Haggerston Park, was due to close next year ­ due to having it¹s funding withdrawn.

The good news ­ Hackney Council has given it another year¹s funding. The bad news ­ What will happen to this valuable local service, if it can¹t get funding after that ?

We have consistently stated that Hackney Council should fulfil its obligations and fund groups like this, for the long term. Otherwise how can they plan for the future, and look to expand on and improve the services they currently offer ­ if they are continually victim to this short-term funding mentality ?

Ok, they may be able to get money from the central government Sure Start initiative (which is aimed at families with children 0-4 years of age), but this will not run for ever, and again it lets the council off the hook.

These alternative funding regimes are all well and good, but more often than not they are used to fill gaps in the existing services, rather than improve and provide new ones, which is what they are supposedly intended for ­ where¹s the logic in that ?

APPLES & PEARS

Mixed news from the Apples and Pears adventure playground. Earlier this year the IWCA backed the parents¹ campaign to stop the Council selling off their site for a housing development. The Council dropped these plans, but then has tried a new way of forcing Apples and Pears off the site ­ by bringing in a high rent and cutting their grant.

The Council tried to get a £1000 a year rent, with a review after two years. Bear in mid that until now there was no rent to pay ­ and why should there?

The Apples and Pears went to court and got a new seven year lease with no rent review. Bu they still need to raise the £1000 rent each year.

The Council was trying to get the Apples and Pears to run on a grant of £10,000 for 6 months. Through campaigning the parents got this increased to £20,000. This might seem like a victory ­ but again bear in mind that they used to get £40,000 for 6 months ­ so it is actually a cut of 50% – and the council want them to keep opening for the same hours for this money.

The IWCA supports the parents and believes the Council should bring back the full £80,000 a year grant, stop charging them rent and look to give further one-off grants to improve the facilities.

HAGGERSTON POOL

During the Mayoral elections the Haggerston Pool Campaign called a meeting for all Mayor candidates to ask their views. Only one candidate did not promise to re-open the Pool.

You¹ve guessed it ­ Labour¹s Jules Pipe. He then got elected as Mayor ­ with 10% of the vote.

The New Deal (or “Shoreditch Our Way”) continue to push the proposal to put private flats into Haggerston Pool. This issue was discussed at the New Deal¹s Area 4 Forum ­ covering all the estates around the Pool like St Mary¹s, Kingsland and Fellows Court. The Forum voted against the plan for private flats. What was the response of £65,000 a year New Deal Director Michael Pyner? “I¹m ruling nothing out.”

And they keep telling us that the New Deal is community-led. Community mis-led more like. The IWCA will continue to fight along with the wider community to re-open Haggerston Pool with no private flats on the site.

WHAT A LOAD OF RUBBISH!


IWCA members toured every estate in Haggerston one week after the bin strike and found that many were still suffering the effects. Yet our inspection of surrounding street properties found no major problems. Lets be clear – we have no problem with Bin workers striking for more pay. The issue here is that yet again the council has put the maintenance of estates second.

“It was no surprise to us that the Council had left the estates till last as usual, while putting the needs of those in big houses around London Fields first. After all that¹s where the Labour vote is these days” stated the IWCA¹s Carl Taylor in the Hackney Gazette (November 21st).

“IWCA policy is that the estates should be cleared first. This is not just because we always put the needs of the working class first. It also makes sense to us that if 40 flats share one communal bin area you clear that before someone who has their own front and back garden and has a chance of managing their own rubbish.”

Kingsland Estate Tenant & Resident Association Chair Anna Maria Mari echoed the IWCA position. Standing with IWCA members and Kingsland Estate residents by a pile of rubbish that had piled up over the previous two weeks, she stated “We¹ve had enough. We¹re fed up with being at the end of the line. The Council isn¹t managing our estate properly. We¹re considering managing it ourselves.”

Margaret McTernan, pictured with her children Shannon and Sean McCarton said she thought that it was “disgusting” that the rubbish had been left for so long.

The IWCA¹s Peter Sutton said it was ” a disgrace and a health risk” that the Council had left the huge pile of rubbish at Hebden Court, Kingsland Estate. While this was the worst case, estates across the Ward were left with piles of rubbish. Peter criticised the local Labour councillors, “The IWCA may have narrowly lost the election in Haggerston to Labour, but where are our Labour councillors now? We¹re the ones going around the Ward, taking up local issues and campaigning alongside the community. What did Haggerston¹s Labour councillors do about the Council¹s failure to clear the rubbish from our estates?”

After pressure from residents, the tenant association, the IWCA and an article in the Gazette, the Council finally cleared the rubbish 13 days after the strike ended.

Hawksley 2 Orange 0

The ever-vigilant residents of Hawksley Court Estate, in Albion Road, Stoke Newington, have been out on the streets again.

This time, they have managed to prevent contractors on 2 occasions from gaining access to the estate to erect a mobile telephone mast for Orange. On the last successful blockade a few weeks ago, residents waved placards with the clear message “Hawksley 2 ­ Orange 0”.

Unfortunately, the new Mayor of Hackney, Jules Pipe, has decided to get in on the act, and showed his face on one of the blockades. Full of bluff and bluster, he issued a statement saying, “Once again I call on Orange to take the moral course of action and not enforce this contract. Otherwise I will be joining local residents in physically seeking to prevent them from getting onto the estate”.

He also goes on to add that the council “MISTAKENLY” signed the contract, which allowed companies like Orange and BT to install these masts on a number of housing estates across the borough. We would argue that Hackney Council “DELIBERATELY” signed these contracts, because it was desperate to get it¹s hands on the few thousands of pounds being offered by these companies, to install these masts on council property. Also, if it means a few working-class people getting ill due to the radiation that comes from them ­ who cares ­ certainly not the likes of Jules Pipe.

Finally, if Orange and the other mobile phone companies are to be permanently prevented from carrying out these installations, it will be down to the hard work and organisation of residents on this and other Hackney estates ­ not a few fine words from the new Mayor of Hackney.

PRICED OUT OF COMMUNITY HALLS

No sooner was New Labour leader Jules Pipe elected as Hackney¹s Mayor than we hear of plans to start charging “market rents” for using the borough’s community halls. The impact this will have on groups who use the borough’s rooms and halls ­ whether for keep fit for pensioners or martial arts for youngsters, prayer meetings or line-dancing ­ is predictable. A lot of very ordinary but worthwhile activities will stop altogether if participants cannot afford to shell out.

A special case has been made for political or lobbying groups; they will not be able to use the halls AT ALL whether they can afford to or not. The IWCA uses halls and rooms in Haggerston and Hoxton to run benefit and housing surgeries for tenants and residents and local residents have made use of community halls to organise campaigns protesting against the council¹s inaction over abandoned cars or the closure of Laburnum school.

If Labour’s proposals go through they will have put another significant barrier in the way of people who want to organise to resist cuts and campaign for improved local services.

If you use a community hall for any activity and want to know how this will affect you then contact the council and ask them. Let us know what response you got by leaving a message on 020 7684 1743 letting us know what group you are from and which hall/room you use.

We almost forgot to tell you…


Stuart Craft became the IWCA’s first councillor, when he was elected to represent the Blackbird Leys Estate, on the outskirts of Oxford.

There were also very good results for our other candidates who stood in Islington and Havering. On average we gained over 25% of the vote in every area the IWCA stood.

Hackney IWCA election candidate, Peter Sutton, said, “This was a great result in Oxford, and the IWCA in Hackney and the other areas will be looking to build on this success in the 2006 elections”.

He went on to add, “We are now concentrating our efforts on getting more local residents involved in the organisation, because the bigger we are, the more effective we can and need to be, in this area. So, if you like what you read in this newsletter, and you think things need to change for working-class people in Haggerston, please get in touch with us.”

NEW LABOUR: SAME OLD STORY

The victory of the Labour candidate, Jules Pipe, in Hackney’s mayoral election now gives them a 33 seat council majority, two MPs and a national Government. Hackney ­ or what is left after large parts of it have been handed over to a series of unelected bodies – is now completely under Labour control. Years of incompetence and corruption have led to the borough being massively in debt. One of the solutions to this problem has been to brutally cut and privatise services. Almost no area has been left untouched, apart of course from the salaries of senior council staff such as Chief Executive Max Caller and his councillor chums. (The latest kick in the teeth is the revelation that councillor salaries are set to soar.)

One other solution, part of the council’s long term plan for the borough, is to replace the working class majority with a higher earning and higher spending middle class. Fewer undesirable working class people means the council has to provide less of the services these undesirables use: nurseries, health care, school places, council housing. This social cleansing of Hackney’s most deprived areas is the reality behind all the talk about regeneration and New Deals.

Every public service in Hackney ­ like many at a national level ­ has been looked at closely with an eye to privatisation, excepting those that have already been closed down or those that cannot yet be legally farmed out to the private sector. For example, in a Council press release entitled “Exciting Improvements to Hackney Leisure Centres”, Labour outline the handing over of parts of Kings Hall and Britannia leisure centres to company Leisure Connection to turn them into private fitness clubs. We are assured that this will provide an “affordable fitness solution”. But as the IWCA asked in a recent letter to the Hackney Gazette: “Are prices going to be affordable to all sections of our community”?

In Shoreditch we have seen Haggerston Pool close with no commitment from Labour to reopen it. Local facilities are constantly under threat of grant cuts or closure. The extension of the privatisation of housing management and the stock transfer of whole estates hangs over the area. Public land is being auctioned off ­ sometimes at give-away prices ­ for developers to build yuppie flats.

Prior to the elections in May, Labour had very little to say about their plans for cuts and sell-offs.

Perhaps if they had been honest about what the council was going to do with Apples & Pears and Laburnum School our three Labour councillors would not have been elected. But of course, the Lib-Dems and the Tories are no better. The Tories¹ national record and the Lib-Dems¹ privatisation of neighbouring Islington¹s council services provides more than enough evidence of what their agenda¹s really are.

The IWCA is the real opposition to Labour in Haggerston. We came close to taking at least one of their seats in the May elections having said very clearly that we supported the campaign to reopen Haggerston Pool and opposed cuts in local services.

The IWCA’s priorities for Shoreditch could not be more different to New Labour’s. Our concern is for the ordinary people of this area ­ where we live and how we are living ­ not to try to solve our problems by either pretending they don’t exist or farming off much-needed facilities to the private sector.


Hackney Council Leaves Estate to Rot

Hackney Council leaves estates to rot! One week after the bin strike and Haggerston estates are left full of rubbish

Hackney Independent members toured every estate in Haggerston this weekend and found that many were still suffering the effects of the bin strike that finished over a week earlier. An inspection of surrounding street properties found no major problems.

“It was no surprise to us that the Council had left the estates till last as usual, while putting the needs of those in big houses around London Fields first. After all that’s where the Labour vote is these days” commented Hackney IWCA’s (Hackney Independent as of summer 2004) spokesman Carl Taylor.

 

“Our policy is that the estates should be cleared first. This is not just because we always put the needs of the working class first. It also makes sense to us that if 40 flats share one communal bin area you clear that before someone who has their own front and back garden and has a chance of managing their own rubbish.”

 

Kingsland Estate Tenant & Resident Association Chair Anna Maria Mari echoed the Hackney IWCA position. Standing with Hackney Independent members and Kingsland Estate residents by a pile of rubbish that had piled up over the previous two weeks, she stated “We’ve had enough. We’re fed up with being at the end of the line. The Council isn’t managing our estate properly. We’re considering managing it ourselves.”

 

Margaret McTernan, pictured with her children Shannon and Sean McCarton said she thought that it was “disgusting” that the rubbish had been left for so long.

 

Hackney IWCA’s Peter Sutton said it was “ a disgrace and a health risk” that the Council had left the huge pile of rubbish at Hebden Court, Kingsland Estate. He criticised the local Labour councillors, “We may have narrowly lost the election in Haggerston to Labour, but where are our Labour councillors now? We’re the ones going around the Ward, taking up local issues and campaigning alongside the community. What are Haggerston’s Labour councillors doing about the Council’s failure to clear the rubbish from our estates?”

"Exciting improvements to Hackney Leisure Centres"

Hackney IWCA response to Council press release “Exciting improvements to Hackney Leisure Centres”

 

Hackney IWCA (Hackney Independent as of summer 2004) has a track record of campaigning for improved community facilities in the South of the Borough. We are currently involved in campaigns to save Laburnum School and to re-open Haggerston Pool and are actively supporting campaigns to save the Haggerston 1 O’clock Club, the Shoreditch Centre and the Apples and Pears Adventure Playground.

 

“We welcome the long overdue improvements now to be made to the swimming facilities at Britannia and Kings Hall. However we are concerned about how they are going to be paid for,” said Hackney Independent spokesman Peter Sutton. “Labour has only got one solution to any problem – privatise it. They are a one-trick pony.”

 

”Large parts of Britannia and Kings Hall are going to be turned into private gyms. Are these always going to be affordable to all sections of our community? In particular if young people are priced out of these facilities are they not more likely to get drawn into crime and anti-social behaviour?”

 

Hackney IWCA’s (Hackney Independent as of summer 2004) Carl Taylor, who came just 90 votes short of winning a council seat in Haggerston in the May elections slammed the Council statement for not mentioning the continued closure of Haggerston Pool. “It is a scandal that this community facility is lying empty while our Labour Council does nothing about it.”

 

“Councillor Nicholson claims that there has been ‘extensive consultation with residents’, but who asked you about bringing in private gyms and who asked you about keeping Haggerston Pool closed?”

Red Pepper on Hackney's Financial Turmoil

Here we reprint an article from Red Pepper, the left wing monthly magazine, on the background to the recent round of sell-offs.

 

Flogging Hackney
by Andy Robertson – from this month’s Red Pepper magazine

 

Trouble and strife have never been far from Hackney Council. But now massive debt is pushing the borough into private hands. Andy Robertson investigates how strategies imposed by central government are leading to community asset stripping on a massive scale.

 

When Hackney Council announced they were in financial meltdown three years ago, residents raised weary eyes to the heavens. Another year, another crisis.

 

England’s fourth poorest borough has a past littered with accounts of fraud, corruption and mal-administration. However, despite the welfare needs of its residents, the council’s crippling debt is now being used as an excuse to strip the borough of voluntary sector premises and prepare public services for the private sector. The result is a cascade of property disposals leading to the closure of scores of community resources from nurseries to ethnic community centres, legal advice centres to libraries.

 

Despite several requests, Hackney Council wouldn’t provide Red Pepper with the exact amount of its debt.

 

During the late 1960s and early 1970s, local authorities borrowed money from central government to finance housing projects. Around thirty such blocks were built in Hackney but investment in their upkeep was not maintained. Many subsequently became uninhabitable, and have been knocked down or are in line for demolition. This left Hackney in debt, with fewer rent streams to service the debt. In a scenario familiar to third world governments, the interest on the debt grew larger than the money available for repayment.

 

A December 2000 policy and finance committee report, says: “In total, the council pays around £68 million in interest on capital debt. The majority of this interest is related to housing debt.”

 

Based on this figure and multiplied by the average interest rate in 2001/02 of 8.6 per cent, the amount owed by the Council weighs in at a hefty £584.8 million.

 

This has led groups within the borough such as UNITE and HackneyNot4Sale to campaign for the government to “Dump the Debt”; a localised equivalent to the global “Drop the Debt” lobby. However, like the World Bank and IMF, the government has no intention of dropping the debt, preferring instead to provide assistance only if the recipient follows a strict privatisation agenda.

 

As one community activist put it: “Hackney can’t turn down money from government and this puts control back at the centre. The council succumbs to whatever government policy is.”

 

When Tony Elliston became chief executive of Hackney Council in 1995 the Labour group had divided into two camps and the following elections delivered a hung council. Elliston presided over £30 million worth of cuts in public services, which saw the closure of the school bus service, several nurseries and half the borough’s fourteen libraries.

 

He then resigned his position in 1999 just prior to a damning OFSTED report and claims that central government were politically interfering with council affairs.

 

“They had a number of education authorities they could have gone for, all equally bad,” Elliston told Red Pepper. “They could have done Islington or Tower Hamlets. That’s not to say Hackney’s education system was not bad. But it was not worse than the others. It was singled out because of political reasons. The official Labour group had been ousted and a breakaway group had taken over. Political knee-capping, that’s what it was.”

 

One departmental head after another followed Elliston. “Every single one had left within a year,” he recalls. “The [government] inspectors started coming in, it was like a kind of dying animal and everyone was keen to get in and sink their teeth into it.”

 

Various inspections took place, initially by a government body called the Improvement and Development Agency, which reported a “most grave and serious situation”. This led the central government to impose section 114 of the Local Government Finance Act 1988, which prevents “any potentially unlawful expenditure … likely to exceed resources available.” This draconian measure again left the council in paralysis. Dustcarts sat idle in the depot awaiting repair, maintenance on people’s homes were put on hold and all staff on temporary contracts were laid off.

 

Next came the Audit Commission, who conducted three inspections within nine months, concluding the council would need “significant support”, and recommending that government should intervene. “We have decided that it is now appropriate that the secretary of state consider exercising his function under Section 15 of the Local Government Act 1999 to give a direction to the Council”. It was the first time Section 15 had been invoked.

 

Under government directions the local authority began recruiting senior staff, starting with Max Caller as managing director in June 2000. Despite gross financial problems at the council, Caller’s starting salary was £150,000.

 

Furthermore central government paid over £3.5 million in consultancy fees associated with Hackney’s restructuring. A sizeable portion of this sum went to consultants Deloitte & Touche, who recruited seven temporary financial managers into each directorate. According to invoices obtained by Red Pepper Investigations, some of these consultants were taking home at least £2,420 a week. Their job, according to a government press release, was to “provide solid financial expertise and help tackle the borough’s financial crisis.”

 

The financial controllers took up their positions just prior to demands from government for the council to produce a three-year budget strategy. In its first year alone projected savings of £13 million have meant another round of cuts and closures of vital services. As Red Pepper goes to press more nurseries are closing, the surviving libraries are again under threat, Home Help support has been reduced to visits of half an hour, grant money cut by 38 per cent, clothing awards for children reduced, play group funding slashed and the criteria for cheap bus passes tightened.

 

Workers who maintain services have also been targeted. In October 2001, the council imposed a 90-day rule on all sections of the workforce except those in education. This gave workers 90 days to sign a new contract stipulating poorer pay and conditions, or face dismissal.

 

Members of Unison initially refused to sign and some were sacked before being offered their same jobs back with reduced workplace conditions. At this point most signed up to the new regime but sent in letters along with their contracts stating they were signing under duress. Three hundred and fifty employment tribunals for unfair dismissal are due to be heard in February.

 

Residents and workers alike were hoping for support from central government to prevent a continuing decimation of services. When local government minister, Nick Raynsford, announced a £25 million support package in January, it seemed the government had answered their prayers. A spokesperson for the former Department of Transport, Local Government and the Regions, which has now been broken up, said the money was to “protect local government services for the people of Hackney”. However this financing came attached with nine conditions, one of which stated that it could not be used to “offset failure to achieve savings”. Crucially this stipulation meant the money could not be used to prevent cuts in services.

 

A further condition attached to the financial carrot required the council to “establish the new body for education services in the borough”. Subsequent to OFSTED’s condemnatory report on Hackney’s education service, central government ordered the council to privatise two key areas of the service. Schools minister, Estelle Morris, announced the decision: “The secretary of state will now direct Hackney to sign a contract. This is the first time we have been able to take decisive action, thanks to the new powers we took in the School Standards and Framework Act 1998.”

 

Nord Anglia Education plc were awarded contracts to run the School Improvement and Ethnic Minority Achievement services. However, in a further OFSTED report written over one year after Nord Anglia took over, it listed school improvement as “functions, which are still unsatisfactory”. Furthermore Labour councillor, Ian Peacock, told a Select Committee on Employment and Education, that Nord Anglia “has not made any difference in terms of day to day accountability.”

 

As privatisation was unable to bring the desired results, the OFSTED report recommended “radical change”. A joint team put together by the department of education and skills decided that a non-profit organisation should run education services in the borough, so the Hackney Education Trust was formed in August this year.

 

Parallel to this period of decision-making was an appraisal of how the financial services in the new trust should be run. For this analysis, the government selected PricewaterhouseCoopers (PwC) who concluded that long-term financial ownership, along with pensions, insurance and treasury management, should be carried out by Public Private Partnership (PPP). A spokesperson for the Office of the Deputy Prime Minister denied that by hiring PwC, government were forcing privatisation on the council: “Decisions on outsourcing are rightly the responsibility of local authorities.”

 

However, backdoor expansion of private involvement in the new education trust could prove risky, as was noted by the joint team in their report:” The Audit Commission has signalled weaknesses in the capacity of the council to manage adequately contracts for outsourced services.”

 

Certainly, the failure of past privatisation has left its mark. Much of the present crisis could have been avoided had the outsourcing of social security benefits to a company called ITNET been managed properly or not taken place at all. The contract began in 1997 and by the time it was brought back in house four years later, it had cost the people of Hackney £36 million. Elderly people were left paying their rent out of their winter fuel money in fear of eviction, as benefit claims remained unprocessed. The Benefit Fraud Inspectorate stated in a report on ITNET that an estimated 64,112 outstanding items relating to 33,347 claims were left undone.

 

Distraught residents desperately turned to the Hackney Law Centre and Citizens Advice Bureau (CAB) for help. According to the director of Hackney CAB, Sola Ayobade, both organisations felt the impact of ITNET’s failure: “You can’t even think about how it was. It was the evictions. Then the landlords would come in and say look we’re about to lose our properties because we can’t get our rent on the tenants we’ve got in. So we had all parties coming in, it was quite horrendous.” In the cruellest irony, funding for both Hackney Law Centre and the CAB has been cut because of the debt created by ITNET’s failure.

 

The CAB, who have already had to close one of its two Bureaus in the borough to new clients, now face further financial pressure after being threatened with a further 30 per cent cut in its grant. Meanwhile ITNET survived the ordeal, recently announcing pre-tax profits of £12.6 million for the last financial year. Further unfortunate irony came after the collapse of Railtrack. Hackney Council had invested part of its pension fund in 60,000 Railtrack shares and lost £100,000 when the rail company collapsed.

 

Hackney Council’s “Property Disposal Programme” was set a target of £70 million for the last financial year but only managed £50 million. Once again central government stepped in to provide an “Unsupported Credit Approval” loan to bridge the gap of £20 million. This effectively put the council into yet more debt.

 

When selling assets local councils are supposed to achieve “Best Value” on all properties sold. However, minutes of meetings not in the public domain but seen by Red Pepper Investigations, show that Hackney Council sold a package of nine buildings in Broadway Market, south Hackney, to a property development company called Stirling & Investments Ltd for a total of just £250,000.

 

At the time of purchase, the main shareholder in this newly formed company was Donald Beskine, an accountant working for the British government on a scheme to marketise eastern Europe. He was also principal advisor to the Bulgarian Economic Development Ministry and the Russian Federal Commission on the Securities Market. As managing director of the International Centre for Accounting Practices Beskine was employed by the European Union, USAID, World Bank and OECD to attract foreign investment into Russian enterprises. Sterling’s bid was preferred over that of the Notting Hill Housing Trust, a London based housing association.

 

Despite a necessity for affordable social housing in the area, these one bedroom studios are currently being sold at £150,000 each. Stirling & Investments Ltd. also received regeneration money to renovate the buildings although Hackney Council claim to have no records of exactly how much.

 

Residents and social groups across the borough have argued vehemently that the Council is targeting asset sales on properties which are vital community resources. Atherden Nursery in Clapton was one such property. Whilst up for sale, the premises were squatted by parents of children attending the nursery in an effort to prevent closure. When the rest of the local community proved overtly supportive of the squatters stance, the council backed down and promised to reopen the nursery once vacant possession was secured. The parents moved out only for the council to renege on its promise and close it. Later in the year the property was sold for £420,000.

 

And there are plenty more closures to come. The three year budget strategy agreed with central government involves £13 million of cuts this year, £18.2 million in 2003 and £22 million in 2004. As the Council desperately attempts to address its internal problems within the strict parameters set by central government, the future of public services and voluntary sector community projects in Hackney looks increasingly bleak. Certainly, promises that public services will improve look much like Atherden Nursery does today. Empty.