Leaders refuse to delay £250m vision

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Thursday, May 28, 2009
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This is Staffordshire

COUNCIL leaders will not delay a £250 million scheme in order to investigate the impact on town centre businesses.

Stoke-on-Trent City Council wants to form a partnership with a private company to run some of its administrative services from next year.

The scheme involves transferring 793 council employees out of their current Stoke town centre base to the company, which will relocate to the proposed Central Business District, in Hanley, in 2012.

The jobs transfer was due to take place in two phases by 2011, but the council now wants to complete it by next summer.

The aim is to secure investment in the business district and boost employment by attracting a large corporation to the city.

Two firms, Balfour Beatty Workplace/BT Global Solutions and Serco, are bidding for the contract. A third short-listed contender, civil engineering consultancy Capita Symonds, recently dropped out of the bidding process for unknown reasons.

During a scrutiny committee debate last week, concerns were expressed about whether the relocation of hundreds of council staff from Stoke to Hanley would affect trade in Stoke town centre.

As a result, the scrutiny panel asked the decision-making executive and members' board (EMB) to postpone any decision on the contract until a proper economic impact assessment had been carried out.

Members also asked for a detailed report on the financial implications of the partnership.

But the EMB last night agreed not to commission an impact assessment, as the council plans to replace staff relocating to Hanley by moving other departments to Stoke from outlying offices.

Portfolio holder for resources, Councillor Kieran Clarke, left, said: "A total of 354 staff would move out of Stoke and 380 would move in, so it is actually a slight increase, but it won't have any serious impact at all."

Mr Clarke added that the detailed financial figures for the deal would be presented to the cabinet, which makes the final decision in November.

Deputy elected mayor, Councillor Mohammed Pervez, prompted angry comments from non-EMB councillors at the meeting by trying to move to a decision without further discussion.

Non-Aligned Group spokesman, Councillor Mick Salih, accused him of ignoring council members' concerns about the outsourcing proposals.

He said: "At least if we have asked the questions then we can be held accountable, but at the moment I feel I haven't had the answers to my questions."

Seven of the eight EMB members present voted to proceed without delay.

But Councillor Jean Bowers voted against the board, saying: "We haven't looked at the recommendations from overview and scrutiny and if there is no debate then I am not supporting this."

Related links:

4,000 jobs available as Business District revealed

Council concerned that office move might hit economy

Questions raised over jobs switch

Mike Wolfe: Short-term thinking shows there's no long-term vision

Business district bidders given council cash

Other pieces in the regeneration jigsaw

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  • Profile image for This is Staffordshire

    by Sue, Hanley

    Saturday, May 30 2009, 12:19AM

    “So Capita have dropped out and we are down to two bidders for the stategic partnership. Phase two of the outsourcing has been brought forward and consideration is being given to including Education in the contract. Surely these major changes affect the whole basis on which the contract was offered. Other companies may be out there who would have bid on this revised basis and the other companies who bid but have been dismissed have not been given the chance to revise their offer. No wonder the elected members board would not discuss the concerns of the scrutiny committee, they have too much to hide. The council's procurement system surely is compromised and the legality of continuing is in doubt.”

  • Profile image for This is Staffordshire

    by John, Newcastle

    Thursday, May 28 2009, 5:17PM

    “It is obvious how you can stop stupid decisions from being made in the future. At the next election change all the elected representatives. This will send a message to the council officials that there are more people in Stoke than themselves and the private contractors they deal with.”

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