LDA review on track to restore public confidence

8.00.00pm BST (GMT +0100) Tue 24th Jun 2008

The London Development Agency (LDA) is moving rapidly to restore public confidence but admitted it is a 'stressed' organisation needing to bring clarity to its remit, the London Assembly heard today.

In a meeting of the Assembly's Economic Development, Culture, Sport and Tourism Committee Harvey McGrath, Interim Chair of the LDA and Peter Rogers, Interim Chief Executive of the LDA, said the LDA was not a sinking ship but nor was it a speed boat. They stressed it was an 'important agency for London' that is working to hone its delivery of skills, jobs and economic growth in the capital.

The Committee were told that a review of the LDA is now being conducted, in consultation with London stakeholders, which is expected to conclude later this year or early 2009. The review is expected to provide clarity of remit, and changes to the way LDA operates with a focus on value for money and improved performance. Committee Members heard that the LDA should no longer be considered a 'giver of grants' but instead an 'investor in success'.

When questioned by Committee Members about the LDA's work around the 2012 Games, they described it as 'a risky business' as this work could distract the LDA from its other core functions. One way of addressing this could be separating out the Olympics function, possibly by setting up a new public-private Olympic legacy regeneration vehicle. A proposal along these lines will be submitted to the LDA board in September.

Dee Doocey AM, Chair of the Economic Development, Culture, Sport and Tourism Committee said:

"I welcome hearing from Harvey and Peter about their plans for the LDA and am pleased to hear they will involve the Assembly in their review.

"The Committee has previously raised concerns2 about the LDA's project monitoring and management processes, and we look forward to these being addressed."

Notes for editors:

1. The Committee's report is available at: http://www.london.gov.uk/assembly/reports/econsd.jsp