Dear Member
Welcome to the first newsletter of 2024 – a year in which we hope for real progress with your continued support.
New Land Sale issue – In December 2023 BHIC Ltd, the Statutory Harbour Authority (SHA) disposed of a piece of land previously covered by water in the harbour by creating a long lease at a peppercorn ground rent and a premium of £1.
The local Harbour Act requires all land transactions to represent “equality of exchange”. In other words true value should be reflected. This provision protects the Harbour’s interests, income and profits which could otherwise be artificially reduced.
Additionally, Company Law requires the directors to promote the best interests of the company.
Against this background, and in line with the stakeholder engagement set out in Government Guidance* we sought clarification from Mr and Mrs Thorpe as directors.
We have asked what other benefit BHIC (the SHA) received so as to represent “equality of exchange”. £1 did not seem enough!
Mr Thorpe appeared to agree by advising that BHIC will additionally “directly” benefit from this transaction. So far, despite having asked for clarification, we are yet to learn what this benefit is. There is no record of additional benefit in the documentation received from Land Registry.
We will keep you advised.
Land at the Duver development site – As set out by Land Registry, the SHA owns land at the Duver development site – land wrongly claimed by the Thorpe’s property company, BIL. BIL’s claim, if uncorrected, would leave the SHA out of pocket by a very substantial amount.
We are liaising with the Isle Wight Council to get a fair deal for the SHA through the s106 planning agreement.
Planning conditions and environmental issues – There is worrying correspondence on the file which shows that the applicant is seeking to avoid its
environmental commitments in the application. BHT is pressing the Local Authority to ensure that the commitments in the planning permission are delivered. Avoiding these would adversely affect the Harbour and its surroundings.
We are pressing the Planning Authority to ensure environmental mitigation works are carried out responsibly.
Department for Transport – The MfT are yet to confirm acceptance of the High Court ruling that the Minister has the powers to intervene on the issues we raise. The MfT had previously suggested they had no such powers. For clarity these issues were not the subject of the last Judicial Review, and indeed could not have addressed in that Judicial Review. They involve the use of £1.75m of SHA incomes and asset values in ways which we are advised are inconsistent with the relevant legislation.
We are pressing the MfT to exercise their overall responsibility to ports, to see Bembridge Harbour’s Statutory Harbour Authority run for its own good in line with the local Harbour Act. Funds would then be available for maintenance and improvement.
Sale of the Harbour – With no information and no news we are left to assume that the Harbour is yet to be meaningfully offered in the market. Recent sales of both BIL land (adjacent to the long-stay marina) and the sale of the ‘new issue’ BHIC land mentioned above, might indicate cashing in on easily saleable assets before the ‘Harbour sale’ process will progress.
Donations – It falls on us alone to fight for SHA incomes to be properly applied so that both its business and environment can thrive into the future. Our continued efforts are needed while the directors of the SHA apparently continue to prioritise the interests of other companies they own. Please help our continuing fight for a sustainable harbour, including;
- Pursuing investigation of the legitimacy of recent sale of land by the SHA for £1.
- Pressing the Department of Transport to investigate the use of £1.75m.
- Pressing the Council to vary the s106 so that the value of the SHA’s land is recognised in the planning benefits the SHA receives.
- Pressing the Council to ensure that the important mitigation for environmental harm is delivered.
The Trustees
Chris Attrill, Jonathan Bacon, William Bland , Jeremy Gully (chair), Phil Jordan, Norman Marshall, Sara Smith, as Trustees
For and on behalf of
Bembridge Harbour Trust
www.bembridgeharbourtrust.org
*Ports Good Governance guidance 2018
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