Committee Report Checklist 

 

Please submit the completed checklists with your report. If final draft report does not include all the information/sign offs required, your item will be delayed until the next meeting cycle. 

 

Stage 1

Report checklist – responsibility of report owner 

ITEM 

Yes / No

Date

Councillor engagement / input from Chair prior to briefing

Y

04/08/2025

Commissioner engagement (if report focused on issues of concern to Commissioners such as Finance, Assets etc)

Y

Multiple

Relevant Group Head review  

Y

19/08/2025

MAT+ review (to have been circulated at least 5 working days before Stage 2)

 

19/08/2025

This item is on the Forward Plan for the relevant committee

Y

11/09/2025

Reviewed by

 

Risk comments

L. O’Neill

Aug 2025

Legal comments 

L. Hiron

Aug 2025

HR comments (if applicable)

N/A

 

 

For reports with material financial or legal implications the author should engage with the respective teams at the outset and receive input to their reports prior to asking for MO or s151 comments.

 

Do not forward to stage 2 unless all the above have been completed

 

Stage 2

Report checklist – responsibility of report owner 

ITEM

Completed by

Date

Monitoring Officer commentary – at least 5 working days before MAT

L. Hiron

26/08/2025

S151 Officer commentary – at least 5 working days before MAT

T. Collier

15/8/2025

 

 

 

Confirm final report cleared by MAT 

 

 

 

 

 

 


Business, Infrastructure and Growth Committee   

11 September 2025

Title

Spelthorne Business Hub Closure

Purpose of the report

To make a decision

Report Author

Chris Norrington, Economic Development Manager

Ward(s) Affected

All Wards

Exempt

No    

Exemption Reason

N/A

Corporate Priority

Resilience

Recommendations

 

Committee is asked to:

1.  Agree to the closure of the Spelthorne Business Hub at the Summit Centre, Sunbury by 31 March 2026.

 

2.  Relocate the Business Hub to the Council Offices, Knowle Green, Staines-upon-Thames.

 

3.  Approve the continuation of the Council’s Business Support Service, delivered independently of the Hub premises.

 

 

Reason for Recommendation

·      Summit Centre is being sold by the Council.

·      There are limited, financially sustainable alternative sites for operating a business hub from

·      Relocation and operating costs in some sites are prohibitively high resulting in significant ongoing financial revenue deficits.

 

Council needs to focus on making savings consistent with the recommendations of the S151 Officer to ensure it has a sustainable medium term financial plan and cannot afford to be committing to a significant ongoing level of additional spend.

·      Spelthorne’s existing Business Support Service, distinct from the Hub, provides valuable support to a broader spread of around 100 Spelthorne businesses.

 

 


 

1.            Executive summary of the report

What is the situation

Why we want to do something

      The home of the Spelthorne Business Hub is being sold (Summit Centre, Sunbury).

      The Hub must either close or relocate by 31 March 2026.

      The Hub delivers business support services to the wider community, provides affordable accommodation and currently generates a modest annual surplus (£35,000 over the past 4 years).

      Alternative venues have been identified in Communications House in Staines-upon-Thames, Elmbrook House and the Council Offices in Knowle Green. These are the only suitable options available in the Council’s portfolio.

      The Council needs to decide whether it represents value for money to provide a physical Hub in either the Council Offices, Knowle Green, Elmbrook House, Sunbury-on-Thames or Communications House, Staines-upon-Thames for a limited number of businesses (13 in Knowle Green, 14 in Elmbrook House or 28 in Communications House).

      The Council needs to decide whether to continue to run the Business Support Service which can be delivered virtually and at a much lower cost to a wider business base than the Hub, albeit for a different purpose (£36,000 for 2025/26).

      The decision needs to demonstrate responsible financial management.

This is what we want to do about it

These are the next steps

      Close the Hub once Summit Centre is sold.

      Relocate the Hub to the Council Offices, Knowle Green.

      Do not relocate to Elmbrook House due to one-off relocation costs (£105,000) and ongoing net revenue support estimated at a minimum of £69,500 per annum over the next five years (£347,625 over 5 years).

      Do not relocate to Communications House due to one-off relocation costs (£188,000) and ongoing net revenue support estimated at a minimum of £177,280 per annum for the next five years (£1,074,000 over five years including the one-off costs).

      Close the Hub at the Summit Centre as a physical venue by 31 March 2026.

      Offer desk space in the Council Offices, Knowle Green at a minimal cost.

      Do not relocate the Hub to Communications House or Elmbrook House.

      Support existing tenants to find alternative accommodation.

      Continue to deliver the Business Support Service virtually or via alternative venues.

1.1            The Council has reached agreement in principle to sell 33 Hanworth Road, which includes the Spelthorne Business Hub (the Hub), managed on behalf of the Council by CoTribe Incubator Community Interest Company (CIC) located at Summit House, 33 Hanworth Road, Sunbury-on-Thames.

1.2            The sale is anticipated to complete during October 2025, with a planning application following shortly after for wholescale redevelopment. The purchaser has agreed a deadline of 31 March 2026 for the premises to be vacated, so the Hub will need to close or move to a new location by that date.

1.3            The sale of the Summit Centre makes financial sense, enabling the Council to pay down debt and make ongoing annual budget savings, and this Committee discussed expressing the desire to move the Hub to an alternative location, although this was not a condition of sale in the decision to sell Summit Centre. Officers were asked to investigate alternative locations and report back to the Committee.

1.4            The Council has a long-standing commitment to deliver valuable support to the local business community.

1.5            The Hub is a discretionary service which the vast majority of Surrey district and borough councils do not provide. The majority of Surrey district and borough councils do provide a similar business support service.

1.6            The Hub offers subsidised office and hot desk space to facilitate the growth of start-up and small businesses until they secure suitable sustainable commercial accommodation.

1.7            Proportionately the Hub is supporting only a tiny percentage (1.84%) of our 7,500 businesses across the Borough. 

1.8            Whilst successful in supporting these businesses, the level of onward movement from fledgling businesses has been much lower than expected, a business would normally need support for around two years before moving out to commercial premises. 

1.9            Since it opened in 2021, 47 businesses have occupied the office space, and 91 businesses have taken up the hot desking space.  As stated above, this represents just 1.84% of the business base in Spelthorne and as a result generated a modest annual surplus (c£35k over that 4-year period). The Hub is run by Co-Tribe Community Interest Company on behalf of the Council.

1.10         Appendix A provides an overview of the Hub (benefits, financials – income and expenditure, occupancy levels and performance).

1.11         The Business Support Service is based in the Hub. It offers tailored advice, workshops, and events to local start-ups and Small/Medium Sized Enterprises (SMEs) and is highly regarded by businesses.

1.12         It provides excellent value for money by supporting over 100 Spelthorne businesses. It can function independently, utilising other venues throughout the Borough or operating virtually. Its continuation, which represents better value for money, is already accounted for in the budget for 2025/26 at a cost of £36,000 (and would need a budget of £37,800 in 2026-27).

1.13         Appendix B provides a summary of the Business Support Service.

 

2.               Key issues

2.1            The Committee needs to decide whether it represents value for money to relocate the Hub from the Summit Centre to the Council Offices, Knowle Green, Communications House in Staines-upon-Thames, or Elmbrook House, Sunbury-on-Thames, or not.

2.2            The Committee also needs to decide whether it wants to confirm the continuation of the Business Support Service (for which there is a budget in place for 2025/26) and indicate early support for a budget of £37,800 for 2026/27 which can then be put forward for consideration as part of the Annual Budget at Council in February 2026 as an alternative.

2.3            Relocation

2.3.1     Relocating to the Council Offices, Knowle Green

Space has been identified in the Council Offices which will allow up to 14 businesses to be supported at the Council Offices. This space is smaller than the hub in Sunbury.

This Hub will allow the Council to continue to offer start-up and small businesses discounted office space until the business is able to move to standard commercial premises and it also offers the opportunity to link the Business Support Service to businesses that need desk space and wrap-around business support which we can re-establish at Knowle Green.

The Council already pays business rates and maintains the building so there would not be an increase in operating current costs, but a modest income can be achieved to offset some of these ongoing revenue costs.

There are minimal relocation (£5,000) but there will be some internal works to accommodate the business tenants. These are estimated at around £20,000).

2.3.2      Relocating to Communications House, Staines-upon-Thames.

This new Hub in Staines would have rentable space for 18 offices, one meeting room plus co-working space for up to 10 users.  To help the Committee decide on this key question, a detailed piece of work has been undertaken to understand all the relocation and running costs so that a fully informed decision can be made. Appendix C sets out the estimated 5-year forecast for the Hub in a financial table. Appendix D provides more of a narrative around those costs (what they are, why they apply and what is a new cost). 

Whilst the current Hub has achieved a modest annual surplus (Appendix A), this would not happen if it relocated to Communications House.

Analysis indicates that relocating to Communications House in Staines would result in a cumulative net deficit of approximately £886,400 over five years, which excludes one-off relocation expenses of £188,000 (set out in Appendices C and D). This deficit is solely due to the inclusion of business rates and a service charge:

(a)   increased liabilities for business rates. (A new business rates relief policy adopted by CPR Committee on 24 March 2025 means a Community Interest Company (CIC) running the Hub will no longer receive rate relief due to the rateable value of the office space at Communications House as discretion would not be applied)

(b)    service charges, which are currently exempt at Summit House, will have to be paid from the Hub budget at Communications House. The Council has a contract with Cushman and Wakefield to manage some of its buildings. A tenant would normally pay the service charge, but when void, the liability falls on the Council.

2.3.4      If would not be viable to pass these costs onto tenants, as the estimated liability would add approximately £7k pa to the rent for each business. Current rents average at £9,000 (Appendix D – 3.8) so would equate to nearly a 78% increase in cost to tenants.

Appendix C1 sets out a realistic picture assuming 80% occupancy (to account for churn), 5% cost increase year on year plus 10% increase in revenue year on year.  When determining the potential income stream, the team looked at the current rents in the Hub, and comparative rents in Staines to ensure the relocated Hub would be competitive.

2.3.6      A competitor review has compared the Hub’s offer versus local alternatives. The Hub currently offers very competitive rates, and these rates will be similar in the new space if relocated. It is intended to perform a rate review to increase rents, if the relocation is approved. The optimal configuration of the new space is unknown until plans are drawn up (part of the relocation costs).

2.3.7      It is clear from the financial figures that if a decision had to be made on these alone, then it would be straightforward based on the ongoing deficit. However, consideration needs to be given to the ‘value’ that can be attributed to the business community of the Hub. This is more difficult to quantify as the 20 businesses to currently rent space have, and are benefitting, as well as those who have used the mobile workspaces, and those who have moved on. Some of these businesses have used it as an opportunity to grow by providing advice to others in the Hub.

2.3.8      The deficit of operating a Hub at Communications House means we would effectively be subsidising 28 (18x office and 10 hot desks per month) businesses to the amount of £31,654, over the 5 year period, for each business.  Subsidy control implications may arise and will need to be carefully considered to ensure compliance.

2.4            Relocating to Elmbrook House, Sunbury-on-Thames

2.4.1      There is 50% unoccupied ground floor space at Elmbrook House, and it has not been easy to let the space.  

2.4.2      The space is approximately 2,500ft2 and can be divided into 4 small offices and a communal area. Hot-desking can be provided at the expense of losing a dedicated office.

2.4.3      Similar business rate liabilities and service charge constraints exist. Business rate liability is estimated to be £35,000 and an annual service charge liability of £35,000. This represents half of the liability of Communications House, but Elmbrook House offers less space.

2.4.4      Analysis indicates that relocating to Elmbrook House in Sunbury would result in a cumulative net deficit of approximately £347,642 over five years, which excludes one-off relocation expenses of £114,500 (Appendices C2 and D-4). This deficit is solely due to the inclusion of business rates and a service charge which do not currently apply at the Summit Centre.

 

2.5         The continuation of the Business Support Service

2.5.1       Appendix B provides detail of the service.

2.5.2      The Business Support Service was introduced in September 2023 to  support start-up, and small businesses grow and thrive post – COVID-19. It is considered a valuable service by Spelthorne’s start-up and fledgling businesses as the level of support we offer in Spelthorne is far greater than the offer available in Surrey.

2.5.3      This service was funded by the UK Shared Prosperity Fund which ended on 31 March 2025, and a tender process for a new business support service programme commenced. It was subsequently put on hold while an application for £20,000 of town-centre centric business support funding was submitted to Surrey County Council’s Growth Fund which if successful will offset some of the service cost.

2.5.4      The Business Support Service was based in the Hub, so tenants had access to the support. Support is also offered to businesses not based in the Hub and the support is offered at the Hub, virtually, via Teams, or at another suitable location. The service is not dependent on being located in any one place.

2.5.5      The Business Support Service is highly valued by start-up and small businesses to provide them with the opportunity to start and grow their business. The service is delivered by a contracted consultant organisation to deliver the following:  

·      Facilitate and support the growth and sustainability of businesses within Spelthorne.

·      Enhance the competitiveness and resilience of local businesses.

·      Foster innovation, entrepreneurship, and job creation.

·      Provide accessible and tailored support to businesses of all sizes and sectors. 

·      Strengthen the local business ecosystem and contribute to economic development.

2.5.6      The service will achieve this through:

·      One to one business growth sessions for ambitious growth businesses

·      Training, workshops and events

·      Start-up club

·      Mentoring and a peer-to-peer network

 

3.            Options appraisal and proposal

3.1            Option 1:   
Close the Hub at Summit House by 31 March 2026 and relocate to the Council Offices, Knowle Green, Staines-upon-Thames (Appendix D) and still operate the Business Support Service. (Appendix B).

This is recommended because:

a)  It allows the Council to continue to support start-up and small businesses with affordable serviced office space.

b)  There are minimal relocation costs, estimated at around £25,000.

c)  There is a less of an ongoing financial burden to the Council as there would be minimal operational costs as services are already accounted for in the budget and would need to be paid regardless (heating, Wi-Fi, car parking etc.).

d)  The Council will receive a modest annual income from renting the space.

e)  The s106 contribution made by Shepperton Studios can be used to offset costs as the Business Support Service will still incubate start-ups in this space. There are two years of funding remaining - £20k for 2025-26 and £20k for 2026-27.

f)   The Business Support Service can focus on businesses which need wrap-around support and not offer space to businesses seeking cheap office space, reverting to the original objectives of the hub.

g)  The Economic Development Team will be located close by (room 110) to also offer help and advice.

h)  There is no requirement to have a concession contract in place.

3.2            Option 2:   
Close the hub at Summit House and relocate to Communications House, Staines by 31 March 2026. (Appendix D) but continue the Business Support Service(Appendix B).

              This is not recommended because:

a)  Significant financial deficit of approx. £886,400 operational costs over five years plus one-off relocation costs of £188,000. (Appendix C) provides a financial operational forecast.

b)  The hub benefits a small fraction of businesses in Spelthorne relative to Spelthorne’s total business count (1.84%).

c)  There is currently no identified budget for relocating the Hub, but capital receipts could be used from the sale of the Summit Centre.

d)  Assets will relet the space in Communications House and provide an income stream and current void costs of £168,000 pa would cease.

e)  The Business Support Service can continue virtually or in another location. It will focus on businesses which need wrap-around support.

3.3            Option 3:   
Close the Hub at Summit House and relocate to Elmbrook House, Sunbury by 31 March 2026. (Appendix D) but still operate the Business Support Service(Appendix B).

This is not recommended because:

a)  Significant financial deficit of approx. £347,642 operational costs over five years plus one-off relocation costs of £115,500. Appendix C provides a financial operational forecast.

b)  Relocating to Elmbrook House would only support around 14 businesses (0.18% of the business community) realising an estimated annual deficit of £70,000 (£5,000 per business per annum).

c)  There is currently no identified budget for relocating the Hub.

d)  Assets will relet the space in Elmbrook House and provide an income stream although this has proved difficult.

e)  The Business Support Service can continue virtually or in another location. It will focus on businesses which need wrap-around support.

3.4            Option 4:   
Close the Hub at Summit House and do not re-locate to the Council Offices, Communications House or Elmbrook House by 31 March 2026. (Appendix D)but still operate the Business Support Service (Appendix B).

This is not recommended because:

a)  Analysis suggests there are minimal costs to relocate to Knowle Green.

b)  Continuing the Business Support Service ensure the Council will maintain valued support to the business community.

c)  Not relocating provides overall best value for money as there are minimal closing and ongoing costs and still supports inclusive economic growth by continuing the Business Support Service.

d)  Although there will be anticipated costs to closing the Hub in Sunbury, these will be limited to clearing the site once vacant, and potentially some loss of income if tenants move before the closing date.

e)  Current tenants will need to secure alternative accommodation in or outside of Spelthorne.

f)   Extra costs will be avoided as all supplier contracts will be terminated by contractual notice.

3.5            Option 5:
Close the Hub by 31 March 2026 and discontinue the business support service.

This is not recommended because:      

a)  Although by closing the Hub, the Council alleviates some of its financial pressures and avoids additional costs, this results in the cessation of all tailored business support for SMEs.

b)  This will result in the Council not facilitating and supporting the growth and sustainability of businesses within Spelthorne. It will not foster innovation, creativity, entrepreneurship, or job creation. The Council will not support the enhancement of local businesses competitiveness and resilience.

c)  The following services would be discontinued.

·         Start-up support

·         Provide accessible and tailored support to businesses of all sizes and sectors through one-to-one advice sessions and engagement

·         Digital skills programmes

·         Business sustainability support

·         Training, workshops and events

4                Risk implications

4.1            Financial risks - Pressures on Council budgets.

Relocating to Communications House or Elmbrook House.
Over a 5-year period the Council will be investing a total of £1,074,400 (£188,000 one off capital relocation costs and an on-going revenue deficit of £886,400) to assist a maximum of 18 businesses and around 10 co-working businesses per month in Communications House. Although a lesser figure is likely at Elmbrook House, there is less space therefore fewer businesses will be supported as per Option 2.

If the decision is to not relocate, there is a risk that businesses may leave the current Hub in Sunbury before 31 March 2026 which will reduce income for the Hub for 2025-26.

If the Committee decide to relocate the Hub, there is a risk of loss of immediate income as not all tenants will want to move from Summit House, Sunbury to The Council Offices, Communications House or Elmbrook House. Some of this can be mitigated by engaging with the tenants early, obtaining their feedback and potentially offering incentives to move.

Section 106 considerations
Shepperton Studios S106 contribution of £20,000 pa (for 3 more years) is for Incubator support. There is a risk the contribution could be challenged if the Hub were closed, unless we agree with Shepperton Studios to use the s106 monies for a different, but related, purpose, e.g. to fund the Business Support Service.

4.2            Risks to businesses

There are further risks to businesses which can be partially mitigated by continuing the Business Support Service.

There is a risk that businesses may fail to find affordable alternative office   space or receive free business support in the Borough and may relocate out of borough.

Small and start-up businesses are traditionally financially strained so closing the Hub could force those 20 businesses renting there to cease trading.

Starting up a business in Spelthorne may be hindered by the lack of assistance given by the Business Surrey service (delivered by Surrey County Council) which is currently under-resourced.

Passing on the additional business rates and service charges incurred by the Council by relocating the Hub to Communications House to tenants will make rents unaffordable and uncompetitive.

4.3        Marketing risk

If the Committee were to agree to relocate the Hub to Communications House, the proposed marketing campaign for the new space will take time to generate new Hub tenants. Occupancy figures and income may fall in the short-term.

This risk may be offset by increased marketing activity.

4.4            Asset management risks

The medium to long term future of Council Offices, Elmbrook House or Communications House is not clear. Any potential disposal means the Hub and its tenants would have to move on again

Note 1: If there is a lease in place, the new owners will not be able to terminate it.

4.5            Operational risks

If the Committee was to agree to relocate the Hub to either Communications House, Elmbrook House or Knowle Green it may not have capacity to move the equipment when required so a contractor will be required, adding extra costs.

4.6            Reputational risks

a)  Reputational risk from closure affecting existing users. This is mitigated by early engagement with tenants to find alternative arrangements.

b)  Negative perception of business support reduction by the Council.

There is also a reputational risk that the Council is seen as no longer supporting start-up or small businesses. This can be mitigated by engaging early with businesses that the Business Support Service will continue.

c)  Reputational risk of financial mismanagement if the Hub was continued. Closure mitigates ongoing deficit and demonstrates responsible financial management.

5                Financial implications

5.1            Financially there is little justification in relocating the Hub to Elmbrook House or Communications House. It would be financially sensible to move the hub to the Council Offices.

Communications House

Relocation Costs:                                      £188,000 (Capital - £161k, revenue £27k)
5-Year revenue forecast net deficit:       £886,400
Total cost:                                                   £1,074,400

The net revenue deficit for Spelthorne Borough Council for 2025 – 2027 is estimated at £236,900 plus relocation costs = £424,900. The future unitary Council will have estimated revenue costs of £461,500 (2027-2030).

Elmbrook House

Relocation Costs:                                      £115,500 (Capital - £105k, revenue £9.5k)
5-Year revenue forecast net deficit:       £347,645
Total cost:                                                   £463,125

The net revenue deficit for Spelthorne Borough Council for 2025 – 2027 is estimated at £107,425 plus relocation costs = £224k. The future unitary Council will have estimated revenue costs of £240,200 (2027-2030).

5.2            Current performance of the Hub: 20 office-based tenants and 100 hot desk bookings per annum. The Hub generates modest revenue but cannot offset premises costs.

5.3            Conversely the Business Support Service is better value for money as:

     The cost of delivery funded within the existing 2025/26 budget - £36,000

     It has supported over 100 businesses annually (with scope to increase) through tailored 1-to-1 advice, workshops, and events.

6                Legal comments

6.1            All contracts that may be required for this project must comply with the Procurement Act 2023 and the Council’s Contract Standing Order Procedural Rules.  The Council has a duty to deliver best value under the Local Government Act 1999.

6.2            Legal support will be required for the termination and / or putting in place property occupation arrangements.  

6.3         Legal Services (g.legal@spelthorne.gov.uk) will provide advice and assistance on the preparation of the required documentation as necessary.

Corporate implications

7                S151 Officer comments

7.1         In the context of Local Government Funding Reform, Business Rates reset, the Council is facing a challenging budget position as was highlighted in the Budget report which went to Council in February 2025. As part of the Improvement and Recovery Plan process, officers are currently firming up the size of the future ongoing Revenue budget gap, but it is clear there is a significant gap to close. This means the Council will need to be focused on making savings, the scale of which will be confirmed once the medium-term budget gaps have been refreshed, consistent with recommendations made by the Section 151 Officer aligned to the Improvement and Recovery Plan.

7.2         Whilst any potential one-off capital costs could be funded by top slicing the capital receipt generated on sale of Summit Centre, the on-going revenue deficit costs arising from relocating to either Elmbrook House or Communications House cannot.

7.3         In contrast around 14 businesses could be accommodated in Knowle Green Offices. The Council is already covering the associated accommodation costs such as business rates in its budget, the rental/ service charge will be considerably lower.

7.4         Therefore, the S151 Officer is supportive of the proposed option of relocating the physical Business Hub to Knowle Green alongside the virtual Business Support Service continuing.

8                Monitoring Officer comments

The Monitoring Officer confirms that the relevant legal implications have been taken into account.

9                Procurement comments

9.1         Having consulted with the Procurement team there are no identified procurement implications in relation to closing the Hub. If the decision is to relocate, the relocation and fit out costs for moving to any new premises would need to be procured in accordance with the Council’s Contract Standing Orders and internal approval requirements.

 

10             Equality and Diversity

10.1       Closing and relocating the Hub does not disproportionately affect any particular protected characteristic groups. The retained business support service is accessible to all businesses across the Borough, and the Council will continue to work with diverse business communities to ensure equitable access to support.

 

11             Sustainability/Climate Change Implications

11.1         Communications House is currently part of the Council’s investment and regeneration assets portfolio. Under our carbon accounting approach, we use a financial control framework to determine which emissions are included in our operational carbon footprint. This means that where the Council has financial and operational responsibility for a building or activity, such as paying the energy bills, the associated emissions are counted under Scope 1 or Scope 2.

11.2         Scope 1 includes direct emissions from sources the Council owns or controls, such as gas boilers or Council-run vehicles. Scope 2 includes indirect emissions from the energy we purchase and use, like electricity. Scope 3 covers all other indirect emissions that are linked to Council activities but come from assets or services that we do not directly operate or manage, such as investment properties or third-party suppliers.

11.3         As Communications House and Elmbrook House are currently held as investment assets and are not used for day-to-day Council operations, the emissions from these buildings are classed as Scope 3 and are not included in our operational carbon footprint. If the Business Hub or other Council services were to move into either of these buildings, the Council would take on responsibility for occupying and operating them. As a result, the emissions from energy use in these buildings would fall under Scope 1 and Scope 2. These would then be included in the Council’s operational carbon footprint, resulting in an increase in our reported emissions.

11.4         The Knowle Green Council Offices are already occupied and operated by the Council, with their emissions included in Scope 1 and Scope 2. Moving services into Knowle Green from another building already included in Scope 1 and Scope 2 would not change the overall reported emissions. However, moving services from a Scope 3 building such as Communications House or Elmbrook House into Knowle Green would lead to an increase in Scope 1 and Scope 2 emissions, balanced by a corresponding reduction in Scope 3 emissions.

12             Other considerations

12.1         To further support the recommendation. As set out in Appendix A The objective of the Hub was initially to incubate start-ups until they could move on to standard commercial premises. This is normally over a 12–24-month period.

12.2         The concession contract has not delivered this service. As the agreement is revenue sharing, the priority for the management company is revenue and not the turnover of customers (churn). Some tenants have been in the Hub since it opened in 2021 and have not moved on, they are taking advantage of the low rent offered.

13             Timetable for implementation

13.1         If the decision is to close the Hub and not to relocate, the schedule will likely be as follows:

11 September         Decision sought from the BIG Committee

October 2025         Closing plan commences

Oct – Dec 2025      3 month notice period advised to remaining tenants.

Notice period of 1 month served management company.

Notice given to all utility contracts

31 March 2026       Empty building handed over to the new owners.

The Business support service will continue to operate until the renewal or end of contract.

13.1         If the decision is to relocate to either Council Offices, Communications House, or Elmbrook House the schedule will be as follows:

11 September         Decision sought from BIG Committee     

13 October             Funding recommendation sought from CPRC.

23 October              Funding approval sought from Full Council.

November               Relocation plan initiated

April 1st                    Space available for new tenants

14             Contact

Chris Norrington, Economic Development Manager

c.norrington@spelthorne.gov.uk

 

Background papers:  There are none.

 

Appendices:

Appendix A – Spelthorne Business Hub Overview

Appendix B – Business Support Service overview

Appendix C – Spelthorne Business Hub 5-year revenue forecast.

Appendix D – Relocation of the Spelthorne Business Hub.