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Urban Governace of London Presented by Desi Kusumaningtyas, Jiyeon oh

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Urban Governace of London Presented by Desi Kusumaningtyas, Jiyeon oh

LondonCapital city of England and the United Kingdom

- governed by the Mayor of London and the London Assembly - the most populous city in UK with official population of 8,416,535 in 2013 accounting for 12.5% of the UK population - diverse range of people and cultures, more than 300 languages are spoken within Greater London - 4 World Heritage Sites: the Tower of London, Kew Garden, the site comprising the Palace of Westminster, Westminster Abbey, and St Margarets Church, the historic settlement of Greenwich

The administration of London takes place in 2 tiers

- Upper tier: Great London Authority as city-wide or strategic tier - Lower tier: the 32 London Boroughs and the City of London Corporation as a local tier

Metropolitan government

- larger government units are better able to deliver public goods and services efficiently, as they can make use of greater economies of scale - better promote redistribution between rich and poor areas, reduce social segregation and promote solidarity between all citizens - more closely conform to economic and social realties - in order to develop global competitiveness to attract investment, residents and events, metropolitan scale of government is needed

London Local Government

London GovernanceGLA and Central government

- most of money, typically 70~80%, spent in London comes in the form of central government grant - mayor has to negotiate annually with the Government over the size of the GLAs grant

GLA and Boroughs

- Boroughs retain many powers, particularly in relation to service delivery and local planning, and constitute the effective check and balance to the power and influence of the directly elected mayor - how the mayor can convince the boroughs to implement his strategies and policies is a key question to achieve policy goals

London GovernanceLondon Governance features - a complex and fragmented system, which requires working together between public and private bodies in order to function - central government retains a major interventionist and controlling role(relatively little freedom from upper-tier control) - the lower-tier authorities, particularly the London Boroughs, continue to exercise a key role(a powerful lower tier of government units) - the mayor is high profile and, by virtue of his direct powers and responsibilities, is able to exercise clear leadership and influence partners. On the other hand, the GLA has limited service responsibilities and in the rest of Greater London governance is fragmented between many elected bodies and other organizations. This means that the mayors influence is more limited and conditional on his ability to negotiate and broker agreements in order to achieve concerted action

History of London GovernmentMetropolitan Board of Works(1855~1889) - in 1855, Londons first city-wide administration, Metropolitan Board of Works, was created

London County Council(1889~1965) - in 1889, London County Council was created and in 1899, 27 boroughs were set up

Greater London Council(1965~1986) - in 1965, LCC was abolished and Greater London Council and 32 boroughs were established

Greater London Authority(2000~ present) - in 1986, GLC was abolished and in 1997, Labour government committed to create a mayor and assembly for London as a result in 2000 Greater London Authority was created

Greater London AuthorityThe Greater London Authority (GLA) was established by the GLA Act 1999. Its staff are appointed by the Head of Paid Service, the GLAs most senior official, and serve both the Mayor and the London Assembly

It consists of a directly elected executive Mayor of London, and an elected 25-member London Assembly with scrutiny powers and has the power, with a two-thirds majority, to amend the Mayor's annual budget and to reject the Mayor's draft statutory strategies

It shares local government powers with the councils of 32 London boroughs and the City of London Corporation

The Greater London Authority is mostly funded by direct government grant and it is also a precepting authority, with some money collected with local Council Tax.

GLA RolesSpending money wisely the GLAs budget and business planning documents clearly set out how Londoners money is being spent

Maintaining high standards the GLA upholds the highest standards of conduct and maintains registers of gifts and hospitality and of interests for its Members and senior staff

Governing the organization the GLA has developed a transparent and comprehensive approach to corporate governance which is overseen by its Corporate Management Team

Electing the Mayor and Assembly the GLAs Greater London Returning Officer (GLRO) oversees the administration of GLA elections which are held every four years

GLA RolesSpending money wisely

The Greater London Authority (GLA) is committed to transparency in all its financial and operational activities, specifically:

Budget, expenditure and charges the annual budget sets out spending plans for the year ahead; the GLA also publishes details of all payments of 250 or overAccounts and annual governance statement the accounts and annual governance statement look back to the past year, documenting how money was spent and the governance systems in place to support that expenditureSenior salaries and expenses the GLA publishes full details of Members and senior staff salaries and expensesBusiness planning the annual business plan sets out operational plans for the year ahead

Budget of GLAThe planned total revenue expenditure of the GLA is around 11,036 million for 2014-15 compared to 10,823 million for 2013-14

The Greater London Authority (GLA) sets an annual budget for itself and its four functional bodies: - Transport for London (61%) : responsible for the planning, delivery and day-to-day operation of the Capitals public transport system - Mayor's Office for Policing and Crime (30%): oversees the work of the Metropolitan Police Service (MPS) - London Fire and Emergency Planning Authority (4%): responsible for fire and rescue services in London and it supports the London boroughs in their emergency planning role - London Legacy Development Corporation (0.4%) : responsible for promoting and delivering physical, social, economic and environmental regeneration in the Queen Elizabeth Olympic Park and surrounding area

Budget of GLA The key objective of Mayors 2014-15 Budget :

- support up to 200,000 jobs - deliver the Mayors property pledge, including building 45,000 low cost homes - create 250,000 apprenticeships by 2016 - maintain a police officer establishment at around 32,000 - maintain the existing targets for how quickly fire engines attend incidents - reduce Tube delays by 30 per cent by 2015 compared to 2011 - reduce the number of people killed or seriously injured in London by 40 per cent by 2020 - introduce a new 24-hour Tube service at weekends from 2015 - continue to deliver Crossrail, which will transform rail capacity and journey times - deliver the Northern Line extension to Nine Elms and Battersea - deliver 600 New Bus for London vehicles by 2016 - promote and deliver the regeneration of the Queen Elizabeth Olympic Park and surrounding area.

GLA RolesMaintaining high standards

They set the highest standards of behavior for the Mayor, London Assembly Members and GLA staff. This includes procedures for the receipt of gifts and hospitality and the registration of interests.

Code of conduct - GLA MembersCode of ethics and standards for staffMember-Officer protocolCode of conduct on the receipt of gifts and hospitalityRegister of InterestsUse of resourcesGuidelines on representation: LobbyingWhistle blowingTackling fraud and corruptionPolitically restricted postsComplaints and comments

GLA RolesGoverning the organization

The GLAs Corporate Management Team oversees the work of the organization, maintaining high standards and ensuring that its structure is fit for purpose. Directors' decisions are recorded and open to scrutiny by the Assembly and the public

The GLAs approach to corporate governance is within the overall legislative framework provided by the GLA Act 1999, the GLA Act 2007, the Localism Act 2011 and related legislation

The GLA has a corporate governance framework agreement for the GLA group, published in May 2009. It covers the powers and duties of the GLA group, sets out respective roles and responsibilities and how they should relate to each other

The GLA promotes a culture and a set of behaviors that demonstrate and support the nine core principles, enhancing openness and transparency, strengthening co-ordination across the GLA group and ensuring effective and efficient service delivery to Londoners

Mayor of LondonThe Mayor of London - elected every four years - the current Mayor is Boris Johnson, first elected in 2008 and re-elected on 3rd May 2012

The Mayor's role - as the executive of London's strategic authority is to promote economic development and wealth creation, social development, improvement of the environment and various other duties in relation to culture and tourism - the statutory responsibilities for transport, economic development, police, fire and emergencies, strategic planning and environment

Mayor of LondonThe Mayors Vision 2020: The Greatest City on Earth

- making it easier for people to move in and around the city, improving Londons environment, helping the capitals businesses to thrive, providing Londoners with more affordable housing and giving young people in London more opportunities

- funding London needs for transport, housing and regeneration: generate 200,000 jobs now when Londoners need them

- improve the environment and the quality of life : a city that is clean and green and full of bikes is more likely to attract investment

Mayor of LondonMayor's Transport Strategy until 2031

- almost half of the budget of GLA is used for transportation policy

- a key part of a strategic policy framework to support and shape London's social and economic development

- In 2008 the Mayor published Way to Go investing billions to transform the Capital's transport network. Proposals include improving suburban railways and the cycling infrastructure and tackling vehicle emissions

London AssemblyA watchdog for London

25 Assembly Members hold the Mayor to account by examining his decisions and actions to ensure he delivers on his promises to Londoners.

Assembly Members also champion Londoners concerns by investigating important issues and pressing for changes to national, mayoral or local policy. Assembly Members are elected at the same time as the Mayor. Eleven represent the whole capital and 14 are elected by constituencies.

London Assembly RolesHolding the Mayor to account

The Mayor is the most powerful directly-elected politician in the UK, so the Assembly has a key role in holding him to account on behalf of Londoners. It does this by directly questioning the Mayor and his advisors on his activities, strategies and decisions across all areas of policy including policing and crime, transport, the environment, housing and regeneration.

The Assembly also examines the Mayor's spending and can amend his total budget if two-thirds of the Members agree to do so. The Mayor is required to consult the Assembly on his statutory strategies and respond to comments submitted to him. The Assembly may reject the Mayor's statutory strategies if two-thirds of the Members agree to do so.

All Assembly meetings are public so Londoners can stay informed about the Mayors activities, and the Assembly can publically review his performance.

London Assembly RolesInvestigating issues and influencing policy development

As well as examining the Mayors actions and decisions, Assembly Members act as champions for Londoners by investigating issues that are important to the capital.

Assembly investigations are carried out by cross-party committees often looking at long-term issues facing London, from improving the economy to how to tackle alcohol misuse by young Londoners.

Local AuthoritiesThey are responsible for local services not overseen by the GLA, such as local planning, schools, social services, local roads and refuse collection. Certain functions, such as waste management, are provided through joint arrangements

City of LondonCity of WestminsterKensington and ChelseaHammersmith and FulhamWandsworthLambethSouthwarkTower HamletsHackneyIslingtonCamdenBrentEalingHounslowRichmondKingstonMertonSuttonCroydonBromleyLewishamGreenwichBexleyHaveringBarking and DagenhamRedbridgeNewhamWaltham ForestHaringeyEnfieldBarnetHarrowHillingdon

The city of Londonadministered by the City of London Corporationit is 1.12sqmi (2.90km2) a resident population is about 7,000, but over 300,000 people commute to and work there

The City of London

Government of The City of LondonA uniquely diverse organisationThe City Corporation has a special role and wide remit that goes beyond that of an ordinary local authority. it looks after the City of London on behalf of all who live, work and visit here and have three primary functions:Support and promote the City as the world leader in international finance and business services.Provide modern, efficient and high quality local services and policing within the Square Mile for residents, workers and visitors.Provide valued services to London and the nation as a whole, including our role as one of the most significant arts sponsors in the UK and our support for economic regeneration in the surrounding boroughs. http://www.youtube.com/watch?v=z1ROpIKZe-c

The City of London -local and policing services

look after more than 2,700 properties. They own and manage 11 housing estates, two within the Square Mile, and the other nine across other London boroughs.provide household and commercial waste services to the Square Mile. This includes processing approximately 5,000 tonnes of residential and street cleansing waste per annum.responsible for cleansing 88.8 km of streets and walkways in the Square Mile, including 7km of Transport for London roads.As the planning authority for the Square Mile they consider more than 1,000 planning applications a year.

The City of London Unique ServicesThe London Metropolitan Archives is the largest local authority record office in the UK and looks after 105 km of books, maps, films and photographs.It is the port health authority for the River Thames covering patrolling 94 miles of the tidal Thames from Teddington Lock to the Thames Estuary.In 2012, Heathrow Animal Reception Centre dealt with over 63m individual animals including 200,000 reptiles and 25m fish.Billingsate Market is the UKs largest inland fish market and offers the largest selection of fish and fish products in the UK with an average of 25,000 tonnes of fish and fish products are sold through its merchants each year.More than 100,000 tonnes of meat and allied products pass through Smithfield Market each year.The City Bridge Trust in 2011/2012 awarded 18.9m in 230 separate grants making this period the second most successful year, only surpassed in 2004/2005 when grants reached just over 19 million.

London BoroughThe London boroughs were all created at the same time as Greater London on 1 April 1965 by the London Government Act 1963 and are a type of local government district. Thirty-two principal subdivisions of the administrative area of Greater London are each governed by a London borough council. London borough councils (LBCs) provide the majority of local government services. They are the principal local authorities in London and are responsible for running most local services, such as schools, social services, waste collection and roads. Some London-wide services are run by the Greater London Authority, and some services and lobbying of government are pooled within London Councils.

London BoroughServiceGLALBCsEducationHousingPlanning ApplicationsStrategic PlanningTransport PlanningPassenger TransportHighwaysFireSocial ServicesLibrariesLeisure and RecreationWaste CollectionWaste DisposalEnvironmental HealthRevenue Collection

London Borough

Shared services are borough council services shared between two or more boroughs. As the need for budget cuts in the late 2000s became apparent some councils have sought service mergers. For examples: Westminster and Hammersmith & Fulham will merge their education services, including school admissions and transport by 2011. In October 2010, Hammersmith & Fulham, Kensington & Chelsea and Westminster announced plans to merge all their services to create a "super-council". Each would retain its own political identity, leadership and councillors but staff and budgets would be combined for cost savings. Lambeth and Southwark likewise expressed an interest in sharing services.

Major Trends in UK Local Governance Over the past 50 yearsCentral control & devolutionGreater centralisation than in most other developed countriesHigh frequency of local governance reforms / reversals Direct delivery of many local functions shifted from local authorities to special purpose bodies Modest recent steps towards decentralisation / devolution Continually low levels of local fiscal autonomyAsymmetry in local governance modelsTradition of asymmetrical treatment of UK local governmentUnique two-tier arrangements for London (i.e. GLC & GLA)One-tier fragmented model in Englands six other metro regionsTwo-tier and unitary models in smaller English communitiesUnitary authorities in Scotland and Wales, under devolutionCentral delivery role in Northern Ireland (i.e. NI Executive)Parish / town councils for localised functions in parts of Britain

Major Trends in UK Local Governance Over the past 50 yearsGradual (and halting) shift to metropolitan coordinationGrowing recognition in the UK that governance must align with functional economic area and service needs in metro regions Creation of the GLA in 2000 returned the capital region to a two-tier structure of regional government Voluntary coordination models in other city-regions to coordinate regional planning, services and, more recently, economic development (e.g. City Deals & LEPs)Local democracy & representationDiscourse about improving local democracy, but trends in local governance have likely reduced access and responsivenessLocal authority consolidations in smaller communities creating bigger, more distant unitary authoritiesAt the city-region level, proliferation of quangos and special purpose bodies diminishing democratic accountabilityBut elected mayor reforms to increase profile and accountability of local leadership largely rejected through referendums

The trends and challenges that will influence governance in the futureUrbanisation and demographic shiftsSignificant population growth in some UK regions (e.g. Greater London), slow growth in others (e.g. North East & Scotland) Increasing cultural diversity in cities, with resulting pressures on social cohesion and for economic integration of migrants Population aging, with labour market impacts partly mitigated by policy reforms (i.e. increasing pensionable age) Likelihood of intergeneration tension resulting from values shifts, threats to economic opportunity (e.g. NEETs), and inequity in public spendingEconomic change & social exclusionLong-term economic and workforce dislocation, as shift towards knowledge economy places a premium on education, skills, and productivity, and heightens wage inequitiesEconomic change and fiscal crisis perpetuating trends in poverty, inequality, and social exclusionGrowing concentrations of affluence and social deprivation across the country but also within large city-regions

The trends and challenges that will influence governance in the futureInfrastructure, urban form & environmental demandsLand use planning and environmental sustainability challenges of managing future growth and economic development Uneven spatial development across the UK (i.e. growth in the South East; stagnation & revitalisation in the North East) Massive public infrastructure investment needs (i.e. transport, energy and water networks, social infrastructure, housing) Need to adapt urban infrastructure for 21st century pressures (e.g. population growth and aging, climate change and extreme weather, food security, the integration of new technologies)

The trends and challenges that will influence governance in the future

Stresses on local democracy & citizen engagementLongstanding concerns about local democracy (e.g. demographically unrepresentative elected officials, comparatively low ratio of councillors to population, poor voter turnout and little political trust, declining party membership)Risk of widening generational divide in democratic participation (i.e. disengaging youth, a burgeoning seniors voting coalition)Explosion of unelected players in local governance diminishing democratic accountability (e.g. quangos, outsourced delivery)Shifting expectations among tech-enabled and educated citizenry (e.g. decline of deference, demand for participation)Growing inequity in democratic rights as economic migrants contribute to diversity of British society

Criteria of governance structureEconomic Efficiency - decentralisation theorem the efficient provision of services requires decision-making to be carried out by the level of government closest to the individual citizen, so that resources will be allocated with the greatest efficiency (Oates 1972)Economies of Scale - the per-unit cost of producing a particular service falls as the quantity of the service provided increasesExternalities - the externalities and ensuring that those who benefit from the service also pay for itRegional Coordination - services extend across the region and need to be coordinated on a regional basisEquity - the ability to share costs and benefits of services across the regionAccess and Accountability - citizens ability to engage wi th local government, participate in local decisions, and hold decision-makers to account for the decisions they make

Evaluation of different governance structuresGovernance structureCriteria satisfiedOne tier fragmenteda metropolitan area has a large number of autonomous local government units or special purpose bodies each delivering services within its own boundariesAccess and accountability, economic efficiency (local responsiveness)

One-tier consolidateda single local government that is responsible for providing the full range of local services, with a geographic boundary that covers the entire metropolitan areaExternalities, economies of scale, regional coordination, equityTwo-tierthere is an upper-tier governing body (usually a region, district, or metropolitan government) that encompasses a fairly large geographic area, and lower-tier or area municipalities (such as cities, towns, villages, and townships)Upper tier: Externalities, economies of scale, regional coordination, equityLower tier: access and accountability, economic efficiency (local responsiveness)Voluntary cooperation/special districtsvoluntary cooperation essentially replaces the ideal of metropolitan government with a process of metropolitan governanceEconomies of scale, externalitiesSenior government roleAs national governments increasingly recognise the importance of cities and metropolitan areas to the national economy, urban issues are becoming part of the nationalEconomies of scale, externalities, regional coordination

Evaluation of different governance structuresGovernance structureCity One tier fragmenteda metropolitan area has a large number of autonomous local government units or special purpose bodies each delivering services within its own boundariesLos Angeles, a metropolis with almost 13 million people, which is divided into more than 200 cities and five county governments with no metropolitan governmentGeneva, with a population of about a half a million people, has as many as 74 municipalitiesOne-tier consolidateda single local government that is responsible for providing the full range of local services, with a geographic boundary that covers the entire metropolitan area, by amalgamation or by annexationToronto, the consolidation of the upper-tier government (Metro Toronto) and six lower-tier municipalities in 1998 was designed to save costs

Two-tierthere is an upper-tier governing body (usually a region, district, or metropolitan government) that encompasses a fairly large geographic area, and lower-tier or area municipalities (such as cities, towns, villages, and townships) Tokyo, A city of over 13 million people (or about 10 percent of Japans population ), Tokyo has a regional government that encompasses a number of lower tiers: 23 special wards, 26 cities, 5 towns, and 8 villagesSeoul, with a population of over 10 million, is a special city within South Korea, The Seoul Metropolitan Government, headed up by a directly elected mayor, plans and manages for the whole functional metropolitan area. The city is divided into administrative tiers that are further sub-divided into 25 gu units (districts) and, subsequently, into 522 dong (neighbourhoods ) . The mayors of the gu are also elected.

Evaluation of different governance structuresGovernance structureCity Two-tierthere is an upper-tier governing body (usually a region, district, or metropolitan government) that encompasses a fairly large geographic area, and lower-tier or area municipalities (such as cities, towns, villages, and townships) Vancouver, Vancouvers governance structure includes an upper -tier regional district responsible for delivering a limited range of services, as well as 22 municipalities and two unincorporated areas. Barcelona, Legislation passed by the regional Parliament in 2010 created an upper-tier metropolitan government with 36 lower-tier municipalities.London, GLA and 33 boroughVoluntary cooperation/special districtsvoluntary cooperation essentially replaces the ideal of metropolitan government with a process of metropolitan governanceFrance, Throughout France, metropolitan area governance is undertaken by the communaut urbaine , a body that is defined in national law and dedicated to inter-municipal cooperationParis, has not had a metropolitan governance structure. Paris mtropole is a voluntary association of local governments that serves as a policy exchange forum for the inner parts of the metropolitan area

Evaluation of different governance structuresGovernance structureCity Senior government roleAs national governments increasingly recognise the importance of cities and metropolitan areas to the national economy, urban issues are becoming part of the nationalSwitzerland, the federal government has moved over the past decade from disinterest to an unprecedented sensitivity to urban issues, providing funding for transportation infrastructure in metropolitan areas, support for activities that improve cooperation among municipalities, and equalisation grants Brazil, the federal government, with presidential backing, has taken a special interest in metropolitan areas and, in particular, in inter-municipal cooperation to improve the management and coordination of public policies in metropolitan regions, urban agglomerations, and micro- regions Australia, metropolitan areas tend to have many small local governments that perform only a few functions, with a dominant state government role in planning, major infrastructure, and service provision. Yet, it is the federal government that provides the largest source of external financial support for Australian local governments.

Local government decision-making and leadership modelsModelDescriptionExamples of countries where usedWeak Mayor/Strong CouncilCouncil performs all executive functions including administration and budgetingCanada, some Danish cities (e.g. Copenhagen), IndonesiaCouncil-City ManagerProfessional city manager exercises most executive powers; council provides guidance and supervisionSmall- and mid-size US cities, Australia, New Zealand, the NetherlandsLeader and Council CabinetMayor elected from council members; usually leader of the majority party. Mayor appoints cabinet; council has oversight functionUK, IndiaStrong MayorMayor is directly elected and has broad executive power appoints heads of departments, prepares council agenda and budget. Council plays oversight role.Larger US Cities (e.g. New York, Chicago)

Population growthSource: Based on data from United Nations Polulation Division Department of Economic and Social Affairs

Quality of LifeSeoulTokyoNew YorkLondonPurchasing Power Index86.8094.46100.0080.00Safety Index81.1278.5952.4852.09Health Care Index71.9485.0346.2573.92Consumer Price Index83.3288.85100.00106.20Property Price to Income Ratio14.058.468.7116.96Traffic Commute Time Index34.2044.1539.3845.67Pollution Index73.2136.3651.6053.24Quality of Life113.54167.79118.7789.79

Source: Based on data from Numbeo.com

Cost of LivingSource: Based on data from Numbeo.com

http://www.numbeo.com/cost-of-living/compare_cities.jsp?country1=South+Korea&country2=Japan&city1=Seoul&city2=Tokyo

Numbeo is the worlds largest database of user contributed data about cities and countries worldwide. Numbeo provides current and timely information on world living conditions including cost of living, housing indicators, health care, traffic, crime and pollution.1,478,153 prices in 4,768 cities entered by 176,308 users (information updated 2014-11-19)

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Reference List, 2002, (21 ) : London The Greater London Authority Consolidated Budget and Component Budgets for 2014-15, London Government, Retrieved 19 November 2014 Tony Travers, 2004,The Politics of London, Palgrave MacmillanGlobal Cities Present and Future GCI 2014, A.T. Kearney Global Cities Index and Emerging Cities OutlookGlobal Destination Cities Index Mastercard GDCI 2014 Dr. Yuwa Hendrick-Wong and Desmond ChoongUnited Nations Polulation Division Department of Economic and Social Affairs: Urban Agglomerationshttp://www.numbeo.com/cost-of-living and http://www.numbeo.com/quality-of-lifeSlack, Enid and Ct, Andr. Juli 2014. Comparative Urban Governance. Foresight, Government Office for Sciencehttp://en.wikipedia.org/wiki/London_boroughshttp://www.cityoflondon.gov.uk/Pages/default.aspx

Thank you for your attention