Agenda item

To consider a report of the Head of Scrutiny and Member Development on the first session of the Board’s Inquiry to Consider the Future of Kirkgate Market.

 

Referring to Minute 66 of the meeting held on 2^nd November 2010, the Head of Scrutiny and Member Development submitted a report on the first session of the Board’s Inquiry to Consider the Future of Kirkgate Market.

 

Appended to the report were copies of the following documents for the information/comment of the meeting:-

 

• Scrutiny Board (City Development) – Inquiry to Consider the Future of Kirkgate Market – Terms of Reference
• Leeds Markets Marketing and Promotion – Inquiry into Leeds Markets

(Appendix 1 refers)

 

In addition to the above documents, a copy of a letter from Ms M E Rushton, Leeds Kirkgate Market was circulated to assist the Board with their deliberations.

 

The following witnesses/representatives were in attendance and gave evidence to the Board and responded to Board Members’ queries and comments:-

 

John Perriton, Field Support Manager, National Market Traders' Federation (NMTF)

Ms Liz Laughton, National Market Traders' Federation (NMTF) (Kirkgate Branch)

Ms Sara Gonzalez, Friends of Kirkgate Market

Ms Megan Waugh, Friends of Kirkgate Market

Mr Chris Leonard, Friends of Kirkgate Market  

Ms M E Ruston, Market Trader

Mrs Michele Hocken, Market Trader

Mr Lacky Singh, Market Trader

Paul Stephens, Chief Economic Development Officer, City Development

CathFollin, Head of City Centre and Markets, City Development

 

The Chair informed the meeting that the Board took this Inquiry very seriously and as a result the Executive Member, Development and Regeneration was present in the room to witness the debate in the hope that a positive way forward would be achieved for the benefit of all concerned.

 

The Chair invited the Chief Economic Development Officer and the Head of City Centre and Markets to give a brief introduction, and together they outlined the key points in relation to the future direction of Kirkgate Market.

 

Following this, the Chair then allowed a witness from the following organisations to give a brief overview of the key issues affecting Kirkgate Market, including reference to the national picture regarding markets.

 

National Market Traders Federation (NMTF)

 

John Perriton in his presentation briefly made reference to the following key issues:-

 

• the national picture regarding markets
• the membership/history behind the National Market Traders Federation (NMTF)
• Planning Policy Statement 4 and 5 with reference to the important role of markets in today’s society. He referred to the fact that markets  remain an important source for fresh produce; that there was a general reduction in footfall in markets and that there was a serious need to attract new traders/buyers
• the Eastgate Development; parking provision and the need to target people who do not shop in markets

 

National Market Traders’ Federation (Kirkgate Branch)

 

Liz Laughton in her presentation briefly made reference to the following key issues:-

 

• the branch welcomed the appointment of a new Markets Manager but stated it was a new face but the same regime
• concern regarding the lack of progress with the 2009 rent review
• that some traders were being given rent discounts but others who had operated in the market for years received no help at all 
• concern that takings in the market were down
• the view that present high rents in the market were not sustainable. She referred to rent levels in Nottingham being £55 per square foot whilst in Leeds it was £85 per square foot
• the view that a dedicated Market department needs to be established
• concern over the impact on the market by the Eastgate Development
• the view that the Council needs to develop in partnership with the traders a short, medium and long term strategy for the market in order to move forward and turn the situation around

 

Megan Waugh also referred to the suspicion that the Council raised more in service charges than it actual costs the Council and this should be reviewed as a matter of urgency.

 

Michelle Hocken in her presentation briefly made reference to International markets such as Barcelona’s La Boqueria market which was an example of a highly successful retail market and gave details of their rota system and low rent policy. Reference was also made by other witnesses to other successful  markets in New York, Belfast and Birmingham.

 

Friends of Kirkgate Market

 

Sara Gonzalez, Megan Waugh and Chris Leonard in their presentation briefly made reference to the following key issues:-

 

• that the Friends of Kirkgate Market welcomed a Scrutiny Inquiry into this issue
• that Leeds Kirkgate Market was rooted within the local economy and was seen as an important social benefit for all concerned, especially for ethnic groups
• concern that there was no mechanism for traders to be involved in key decisions affecting the future development of the market
• the work of NABMA (National Association of British Market Authorities) who hold regular meetings and provide useful data and information on markets

(The Head of City Centre and Markets responded and confirmed that Leeds City Council was a member of this organisation, attended conferences and regularly met with NABMA officials)

• the need for the Council to visit Belfast market to witness another successful market in operation

 

Kirkgate Market Trader

 

Ms M E Rushton in her presentation briefly made reference to the following key issues outlined in her letter previously circulated to the Board:-

 

• concern over the lack of experienced management
• concern over the loss of revenue to the council due to empty units i.e. units not trading and used for storage must be in the region of £625,000 per annum
• took 17 years to get the roof of the market cleaned
• that the market was not just a place to shop but to socialise  and pass the time of day
• that the market makes a profit for the Council and yet very little is spent in the Market. She referred to the fact that the Grand Theatre and many other organisations in Leeds receive grants and were subsidised by the Council

 

The Chair then allowed the Chief Economic Development Officer and the Head of City Centre and Markets to respond to the individual comments made.

 

Board Members then questioned witnesses and officers on the main points.

 

In summary, specific reference was made to the following issues:-

 

• a suggestion as to the establishment of a Market Committee/Board of Trustees for the market
• clarification regarding the outcome of the rent review and the current anomalies that exist for new traders and existing traders
• the need to address how to get new customers into the market and for the Council to re-invest in the market’s future
• the view that the market was too large and that there was a need to make the market more compact by removing vacant stalls
• the need for traders to accommodate shoppers needs such as the ability to pay by debit/credit cards in the market
• an acknowledgement that there were fundamental differences between markets in New York, Barcelona, Birmingham and Belfast markets and Kirkgate Market
• clarification of parking issues and provision in the Eastgate  Development and availability of Section 106 monies
• the concern that the market was not the cheapest place to buy goods
• the need for the Board to be furnished with a Business and Market model that existed in other parts of the country to assist them with this Inquiry
• the need for the Head of City Centre and Markets to ensure search engine optimisation for the official market site
• the need for the Board to be supplied with the details of the condition survey and service charges
• the need to consider the Council’s stall allocation policy
• the need for the Board to receive details of NABMA’s role and availability of minutes and papers of this body

 

Michelle Hocken invited Board Members to visit the Market and to be a trader for a ‘day’ to witness the problems that existed at first hand.

 

The Chair responded on behalf of the Board and thanked Mrs Hocken for her kind offer. He requested interested Members to contact the Board’s Principal Scrutiny Adviser to enable appropriate arrangements to be made.

 

In concluding, the Chair, on behalf of the Board, thanked witnesses and officers for their attendance and contribution to the Inquiry.

 

RESOLVED-

a)  That the contents of the report and appendices be noted.

b)  That the Acting Director of City Development be requested to prepare a further report to the Board meeting on 11^th January 2011 to include:-

·  the outcome of the rent review

·  the results of the condition survey

·  service charge details  

·  the Council’s stall policy

·  the alternative ownership and management models that were available to include examples from other markets

·  details of NABMA’s role and availability of minutes and papers of this body

  c)  That parking issues and provision in the Eastgate Development and

  availability of Section 106 monies be the subject of a report to the 

  Board on 8^th February 2010.

 

(Councillor R Pryke left the meeting at 12.25pm at the conclusion of the above item)