News

The legal challenge to the Haringey Development Vehicle (“HDV”) has comprehensively failed. At a rolled-up judicial review hearing Ouseley J refused permission on all grounds.

The purpose of the HDV was to create a partnership between the Council and a private sector body. Following an EU compliant procurement process this was Lendlease.  The objective was to bring private sector finance, experience and expertise to the task of developing the Council’s land for its better use, and so achieving the Council’s strategic aims in housing, affordable housing and employment.

The Claimant challenged a decision made by the Council through its Cabinet, on 20 July 2017, to confirm Lendlease as the successful bidder to become the Council’s partner in the HDV. Cabinet also approved the structure of the HDV.

The grounds of challenge were that the Council (1) could not use a Limited Liability Partnership for these purposes since the Council was acting for a commercial purpose under s1 Localism Act 2011, and so had to use a limited company; (2) had failed in its statutory duty of consultation under s3 Local Government Act 1999; (3) had failed in its public sector equality duty under s149 Equality Act 2010; and (4) could take this decision only in Full Council and not by Cabinet alone, by virtue of the Local Authorities (Functions and Responsibilities) (England) Regulations 2000.Read More