New Forest District Council’s £1.75m refurb of Appletree Court in Lyndhurst could be axed amid devolution and local government reorganisation

A £1.75 million refurbishment of New Forest District Council’s HQ could be axed amid the prospect of council mergers.

Last summer the authority approved a budget for the project at its Appletree Court home in Lyndhurst, writes Jason Lewis

The refurbishment would see the modernisation of the east wing and allow the south wing – around 10,000sqft of office space across three floors – to be rented out to third parties.

As reported in the A&T, the proposal came as a result of hybrid working introduced post-pandemic.

There had been “a shift in working behaviours and patterns” at Appletree Court since the 2019 Covid outbreak, a report explained, with many teams either working from home or an alternative NFDC location for up to half of their week.

Letting the offices was projected to deliver an income of £300,000 a year for the council, while improvements to the east wing would provide more than 180 desk spaces for council staff.

It was decided against moving the council’s base elsewhere, and instead modernising parts of Appletree Court, securing its future as NFDC’s HQ “for the medium to long term”.

However, councillors will now be asked to remove the previously approved refurbishment scheme from the capital programme.

The issue is set to be discussed at a resources and transformation overview and scrutiny panel meeting on Thursday before it is brought to subsequent cabinet and full council meetings for approval.

A report published ahead of the panel meeting said: “Further to the government’s devolution agenda and the likely local government reorganisation across Hampshire, concerns regarding the schemes ability to pay back the proposed investment in keeping with the original timeframe now exist.

“Therefore, it is recommended that council approve the removal of this previously approved scheme and adjust the council’s medium-term financial plan accordingly, particularly the removal of the previously anticipated income stream.”

The report includes a recommendation to put £200,000 back in the capital programme to fund a reduced programme of work at Appletree Court.

Details on what this investment might include have not been published.

Many of the district council’s core services are delivered from the “large and attractive premises” of Appletree Court, in the centre of the village. This includes the council chamber, where most planning and council meetings are held, and the information office, which is the busiest within the district for residents and customers.

A report at the time of the refurbishment proposal explained: “Post-pandemic, consideration was given to the future use of Appletree Court, and whether it still meets the needs of the business. There has been a search for alternative premises in the district over several years, but no suitable alternative property or location has been identified.

“A development appraisal received from leading property consultants in January 2023 showed the sale or redevelopment of Appletree Court for alternative use was unlikely to yield a capital sum sufficient to fund a relocation to alternative premises or the construction of new headquarters premises elsewhere in the district.”

The report added that if the council can offer “an attractive, modern, and vibrant workplace”, then staff retention and “wider organisational engagement” should increase.

The long-term future of New Forest District Council is uncertain following the government’s English Devolution White Paper, which details proposals for major local government reorganisation (LGR).

The current mix of two-tier systems and unitary authorities, including in Hampshire, will be replaced by larger unitary councils delivering all services.

The Ministry of Housing, Communities and Local Government expects councils to present initial proposals for LGR by March.

In most cases, unitary councils will cover areas with a population of 500,000 or more.