Asset Transfers: What Local Government Reorganisation Means for Town & Parish Council Resources

As we navigate the coming changes to local government through devolution and reorganisation, one concern stands out among town and parish councils: what happens to our community assets? 

My Perspective on Asset Transfers

In my role as portfolio holder for Finance, Estates, and Property Services at North Norfolk District Council, I'm deeply involved in discussions about which assets might be transferred to town and parish councils as part of reorganisation. I'm also a county councillor, former town and parish councillor, and someone who works closely with clerks and staff to strengthen their skillsets, giving me a unique perspective on both sides of these transfers.

The asset question isn't simply about who owns what, it's about maintaining vital community services, managing financial responsibilities, and ensuring local voices continue to determine how these resources serve residents.

What Assets Might Be Coming Your Way?

District and county councils across England hold various assets that might be transferred to town and parish councils during reorganisation. These typically include:

Essential Community Spaces

• Public toilets (often costly to maintain but essential for visitors and vulnerable residents)
• Parks, playgrounds, and open spaces
• Community halls and buildings
• Libraries and heritage sites
• Car parks (potentially income-generating)

Infrastructure Elements

• Street furniture (benches, bins, signage)
• Unadopted roads from housing developments
• Street lighting
• Ponds
• Grass verges and planted areas

In North Norfolk, we're having extensive conversations about preserving assets where taxpayer money has been invested. Our beautiful pier in Cromer, Grade II listed and expensive to maintain, is just one example of the type of asset that requires careful consideration about its future management.

Balancing Acts: The Income-Expense Equation

One of the most critical aspects of asset transfers is understanding the financial implications. As I mentioned during the webinar:

"Car parks are an income generator. So, if you're able to take a car park with a public toilet or with a play area, for example, the balance between having an asset and having something that's going to cost you can be offset."

This balance is crucial. While districts and counties might be eager to offload costly maintenance responsibilities, town and parish councils need to negotiate packages that include both income-generating and service-providing assets.

The question becomes: how can your Council create similar balanced approaches to asset management? If you're taking on maintenance responsibilities, what potential income streams might offset these costs?

The Information Gap

Alarmingly, many town and parish councils report being completely in the dark about potential asset transfers. As one Clerk notes:

"We've had zero engagement or involvement with anyone from either district or county councils about the unitary plans. To be blunt, we're totally in the dark."

This information void makes planning impossible. At minimum, councils should request:

• Lists of assets in your area that might be transferred
• Current maintenance costs for these assets
• Potential income figures where applicable
• Condition surveys and outstanding maintenance issues
• Long-term capital investment requirements

This information should be forthcoming, with the understanding than some aspects will be confidential or commercially sensitive.

If you're not receiving this information, actively pursue it through your district and county’s chief executive and council leader.

Building Capacity for Asset Management

Taking on significant assets requires expertise many town and parish councils currently lack. This leads to legitimate concerns about whether smaller councils have the capacity to manage complex assets effectively.

Several strategies are emerging.

1. Consider clustering with neighbouring parishes

As one clerk noted:

"We're just thinking about, maybe literally merging with some of our nearby parish councils just for strength. Really, at the moment, we're sort of a medium-sized fish in a medium pond. I'm quite worried that, you know, if we don't cluster with some other parish council, we're going to end up being a minnow in a giant ocean."

This approach allows councils to share the burden of asset management while potentially creating enough scale to hire dedicated maintenance staff.

2. Invest in professional support

Don't rule out employing additional staff for asset management. While this increases precept costs, it may be necessary to properly maintain valuable community assets. In North Walsham Town Council, there is a team of four maintaining assets, though the Town Council still require external specialists for certain maintenance.

3. Request transition support

Councils transferring assets should provide:

• Full documentation and maintenance histories
• Site meetings to fully understand the asset
• Transition funding to address immediate issues
• Technical support during the process of transfer

The White Paper Gap

Perhaps most concerning is the lack of guidance from the central government. The devolution white paper contains just one vague sentence about "strengthening expectations on engagement" with town and parish councils, nothing about asset transfers or support mechanisms.

As I noted in the webinar:

"There is no responsibility, guidance, or rule set yet about how [assets] will be distributed. We've asked central government what their advice is, what they would suggest to us. There's nothing, there's nothing coming forward."

This absence of central guidance means each area is handling transfers differently, creating a postcode lottery for town and parish councils.

Questions Your Council Should Be Asking Now

1. Do we know what assets might be transferred to us? If not, who should we be contacting to find out?
2. What is the current condition of these assets? Request condition surveys and maintenance histories.
3. What are the annual running costs and potential income streams? Demand detailed financial information.
4. Do we have the capacity to manage these assets? Consider staffing, expertise, and potential partnerships.
5. What support will be provided during transition? Ask for specific commitments on training and funding.
6. Could we partner with neighbouring parishes to create economies of scale in asset management?

A Call to Action

The asset transfer process doesn't have to be something that happens to your council, you can take an active role in shaping it. Start conversations now, both with higher-tier authorities and neighbouring parishes. Document your community's needs and the value these assets provide locally.

Most importantly, don't accept transfers without appropriate support and resources. Your Council's primary responsibility is to your local community, and taking on unsustainable financial burdens could compromise your ability to serve effectively.

By working together, sharing information, best practices, and potentially resources, town and parish councils can turn this challenge into an opportunity to secure vital community assets with sustainable management approaches.

Asset Transfer FAQ

Q: Are car parks likely to be transferred to parish councils?

A: While car parks are income-generating, some councils are reluctant to transfer them.  But it's worth including them in your negotiations, especially if you're being asked to take on cost-intensive assets like public toilets.

Q: How can we assess whether we have the capacity to manage transferred assets?

A: Consider your current staffing, expertise, and budget. For larger assets, you might need to hire specialists or form partnerships with neighbouring parishes. Don't underestimate the time commitment required for effective asset management.

Q: What happens if we refuse to take on certain assets?

A: This is a complex question. While you may have the right to refuse, consider the potential consequences for your community if essential services are lost. Use refusal as a last resort after attempting to negotiate appropriate support and resources.

Q: Will funding come with transferred assets?

A: This could vary significantly by area. Some districts may provide transition funding, while others may offer little support. You should actively negotiate for appropriate funding, especially for assets requiring immediate maintenance or improvements.

Q: How can we balance new asset responsibilities with our existing precept levels?

A: This is a legitimate concern. As one clerk noted during our discussion, "The concern is that a lot of things will be devolved to parish and town councils that they haven't got funds to deliver, and therefore the balance of the precepts will need to go up quite considerably." Consider phased transfers to manage the impact on precepts and look for income-generating opportunities to offset costs.