To agree the Council’s response to proposed changes in the governance of West Midlands Rail Limited (WMRL) and make a decision as to whether to support those changes.

That the Cabinet member:

(a)   Supports the changes to the governance of WMRL set out in this report and:

(b)  Instructs the Council’s representative to vote in favour of the amendments to the company’s Articles of Association as set out in Appendix B at the Extraordinary Meeting of the company on 19 January 2021 (or such other alternative date fixed for that purpose)

1.            Six alternative options have been reviewed by the West Midlands Rail Executive (WMRE) to seek to address governance issues and political accountability. These are set out in Appendix A to this report and includes commentary of the benefits and dis-benefits of each option. The WMRE has confirmed a preferred option – the Mayor of the West Midlands Combined Authority chairs the West Midlands Rail Limited Board with no voting powers or directorial position.

2.            The cabinet member does not support the changes proposed to the WMRL governance. This is not recommended as the proposed changes would increase the likelihood that WMRL will not be able to successfully lobby DfT for greater powers and funding. In addition, the proposal includes proposals which will retain the balance of interests between rural partners (such as Herefordshire) and the metropolitan partners through the creation of two more powerful Vice Chair roles one of which will be allocated to a rural county.