Waltham Forest's joint venture with Norse Group, Evolve Norse, is forecasting a net operating profit of £86,000 for the 2025/26 financial year, with a strong focus on school maintenance and capital works programmes. The Norse Group will absorb any losses made by the company, meaning that the council would have no financial exposure if the company did not make an operating profit.

The Evolve Norse business plan was discussed at the Shareholder Committee meeting on Tuesday, 15 July 2025. The committee was asked to endorse the plan, which outlines three core objectives for the joint venture (JV) between Waltham Forest Council and the Norse Group.

Evolve Norse replaced NPS London Ltd (NPSL) in April 2022. The Public Reports Pack states that Evolve Norse is the property services and built environment joint venture (JV) between the council and the Norse Group, established on a 5-year arrangement. The three core objectives of the business plan are:

  • Supporting the delivery of the council's Capital Investment Strategy, with a focus on school maintenance and capital works programmes, as well as strategic corporate assets and heritage estates.
  • Maintaining high-quality service delivery and strengthening project and contract governance.
  • Delivering a commercially viable JV while ensuring value-for-money services, including reducing reliance on external consultants and diversifying income streams.

The reports pack noted that in 2024/25, Evolve Norse delivered a gross operating profit of £129,000, lower than the business plan target. The council is forecast to receive a volume discount (share) of gross operating profit estimated at £66,000 for the year. The actual gross operating profit for 2024/25 was £129,000, which was 67% lower than the business plan target. The report states the main factors affecting the financial performance of 24/25 has been the reduction and/or slippage in LBWF capital programme, particularly in relation to mainstream and SEND provisions at Schools.

Achievements in 2024 included:

  • Leading the rollout of the £1.9 million schools' capital repairs programme.
  • Leading construction works on a new teaching block at Willowfield School, increasing capacity at the school from 6 to 7 forms of entry.
  • Completing construction and fit-out of a new High Education Needs and Family Resilience centre in Leyton.
  • Delivering a rolling programme of asbestos, water and fire risk assessments across all maintained schools.

Evolve Norse is also providing professional advice and technical skills supporting delivery of government-funded projects in Walthamstow, Chingford and Leyton, pre-construction work to progress the redevelopment of Low Hall Depot, and technical support for the Crematorium in Chingford.

To diversify income and reduce reliance on external consultants, Evolve Norse plans to upskill internal resources and increase in-house delivery capability, targeting a 50% reduction in consultant spend. The JV will actively diversify income through the council and appropriate third-party fee income opportunities (within Teckal exemption), to offset reductions in council capital pipeline and diversify income streams and strengthen long-term commercial sustainability.

An Equalities Screener determined that the business plan would have no negative impact on the council's equality duty.

The Shareholder Committee agenda also included the approval of the minutes from the previous meeting held on 6 May 2025.