Cleaning Company back to Council!

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  • #171856

    DerekJackson
    Participant

    It is interesting that at a time of budget cuts the Council are to bring back in house their cleaning services – a company that had over £108k of debt at the end of March 2018 – the accounts up to March 2019 have not yet been filed- on the face of it this does not make commercial sense. They will also be bringing back onto the Council books a debt of over £500k owed to the Local Government Pension Scheme.

    The Directors of the Cleaning company are permitted to obtain a remuneration as set by them, the accounts don’t state if they have been paid. The Three Directors are Cllr Hugh Jones, Chief Planning Officer Lawrence Isted and Head of Legal Sioned Wynn Davies.

    As the most recent set of accounts have not been made publicly available the deficit ‘may’ have now gone down but crucially at a time of cuts may well have gone up.

    Where will the funding be found to cover the deficit, should any Council be allowed to take over (bring back in house) a los making trading company?

    Perhaps Wrexham.com can ask some questions at the next press briefing.

    #171872

    katy
    Blocked

    Slightly confusing statements coming from the council on this. Firstly they state:

    “All the company assets and liabilities will transfer to the Council. The dormant Company will be maintained simply as an option but there are no current plans for its immediate use.”

    But then say:

    “No significant implications for the Council. The Company was liable for Corporation Tax – the Council is not.”

    Either they are transferring over all of the liabilities or they are not, but they cant seem to make up their mind.

    Would be interesting to see how much Isted and co have been receiving as directors of this company.

    #171877

    wrexview
    Participant

    Did the Council ever form the Letting Agency they talked about? Wasn’t there a large sum of money set aside to start it off?

    #171942

    R T
    Keymaster

    I was sure it had been mentioned in a meeting previously, but I have checked and can confirm that the Directors received no remuneration for their roles.

    Other current financial information is however restricted.

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