Tower Hamlets Council's Cabinet has approved the renewal of a 15-year lease for The Highway Clubs charity, which operates the Broad Street Amateur Boxing Club, at 2 Lowood Street. The decision, made at a Cabinet meeting on Tuesday, 24 March 2026, aims to secure the long-term future of the charity, which has served the community for over 130 years.

Aerial view of a modern urban development with high-rise buildings and a railway line.
Aerial view of a modern urban development with high-rise buildings and a railway line.Source: Cabinet papers, 24 March 2026

The lease will be protected under the Landlord and Tenant Act 1954. The initial rent has been set at £78,000 per annum, with the potential for an 80% Community Benefit Rent Reduction (CBRR) grant, resulting in a net annual rent of £15,600. This represents a significant increase in the gross rent compared to the charity's previous legacy rent of £110 per annum from a 60-year lease that expired in 2017. However, after the substantial CBRR grant, the net rent is considerably lower.

This renewal follows several years of negotiations and aims to resolve an ongoing legal process, avoid further costs for both the council and the charity, and support the organisation's mission. The club provides vital sporting and social opportunities for young people, contributing to community cohesion and diverting them from anti-social behaviour.

A vibrant mural depicting diverse individuals engaged in various activities, symbolizing community and progress.
A vibrant mural depicting diverse individuals engaged in various activities, symbolizing community and progress.Source: Cabinet papers, 24 March 2026

The decision aligns with the Council's Voluntary and Community Sector Strategy, which aims to support the independence and long-term sustainability of such organisations.

The Community Benefit Rent Reduction (CBRR) grant is managed via an application process and is treated as a non-cash grant, with the reduced rental income considered income foregone. The CBRR Panel, chaired by the Head of Revenues and Benefits, oversees this process. Organisations are required to provide evidence of their proposed Social, Economic and Environmental benefits (SEEV) as part of the usual CBRR application. For The Highway Clubs charity, an 80% CBRR grant is proposed for 15 years, subject to application and annual monitoring. This deviates from the usual policy of a 5-year lease and a maximum 80% CBRR.

Grant officers will review the charity's adherence to its mission and community benefit commitments annually to ensure obligations are met. While support will be offered if obligations are not met, the grant can be revoked in rare cases. Specific clauses addressing broader financial management or operational transparency beyond the CBRR are not detailed in the provided information.

Read the full Cabinet report here.