Shrewsbury Town Council criticised over 'serious failings' in recreational land sale

The authority has been criticised by its external auditor PKF Littlejohn Ltd in a public interest report over its sale of part of the Greenfields Recreation Ground to CSE Developments in 2017.

The report – only the fourth of its kind to be issued to a UK council since 2015 – gives the council one month to convene a public meeting to discuss its findings, though this will have to be delayed or held remotely due to the coronavirus pandemic.

It comes after a judicial review concluded in December that Shropshire Council failed to investigate whether the site that was sold off formed part of the recreation ground when it granted planning permission for 15 homes to be built on it in August 2018.

The report says: “Whilst Shrewsbury Town Council (STC) was not the defendant in this ruling, serious governance failings within STC have been identified as a result of it as the council failed to establish the legal status of the land prior to selling it and, in our view, it is a matter that should be drawn to the attention of the public.

“It is our view that STC must put robust procedures in place to ensure that an oversight such as this is not permitted to recur.

“Where there should be any future sale of land STC must be able to demonstrate that is has taken sufficient steps to establish the legal status of that land and act in accordance with all relevant legislation prior to sale STC should consider whether it has the legal power to proceed with any future disposals and, for the sake of good governance, should formally document the powers on which it has relied when making any such decisions.”

The recreation ground was purchased in two parts by the Council of the Borough of Shrewsbury for £1,000 in 1926 and held in trust for community use. It was transferred to the town council as part of a local government reorganisation in 2010.

Part of the ground was turned into allotments during the Second World War, and the site later became a tree nursery.

Campaign group

The sale of the site and subsequent planning approval sparked outcry among Greenfields residents, 300 of whom rallied to form a campaign group to fight off the scheme.

Greenfields Community Group member Dr Peter Day brought a judicial review into Shropshire Council’s approval of of the planning application, which found planning officers “failed to take reasonable steps” to establish whether the site was part of the recreation ground – which it “very likely” was.

But Mrs Justice Lang, ruling on the case, concluded public rights over the site could not be enforced on the developer, and that it was too late to lodge a judicial review over the sale.

Dr Day brought the matter to the attention of the auditor in a bid to have sale accurately reported in the council’s accounts.

He said: “The Greenfields Community Group, which has undertaken a judicial review and has funded this judicial review via numerous fundraising efforts, was forced into this position as the town council refused to engage with this community.

“We made numerous request to Shrewsbury Town Council in an attempt to resolve this matter. We have been ignored."

A copy of the public interest report will be sent to the secretary of state for local government.

Town council clerk Helen Ball said: “The council has acknowledged receipt of the report and is in discussions with the external auditor on how it can meet the statutory requirements of the report in times when the logistics of virtual town council meetings are being explored.”