Seems to Leader of the Council Russ Bowden and the majority Labour council that £1.6 billion is not enough of a debt for us in Warrington, and they have now loaned £201 million to a man who has a personal wealth of £1.9 billion pounds. They have loaned the man who owns the Hut Group £201 million…but the details of the agreement are not available for viewing for the likes of me WHO ACTUALLY PAY THE LOCAL RATES….
The decision was taken in a private meeting and is TEN TIMES THE AMOUNT normally loaned by councils, and this is whilst Warrington Borough Council have had to put up the rates by 4.9% because of money issues, and cut services across the town and were found severely lacking when areas of Warrington were flooded. Not even sandbags were issued….. Guess there are money issues when it comes to actually helping those who pay, and no issues when the Billionaire Owner of the Hut Group comes knocking.
Still no sign of the Council Accounts being published…its only been 4 years now and the debt is growing and growing. When is the Government going to call in their own auditors to hold this council to account and see what they are doing with our money?
Together Energy is a disaster and we are in debt for £4 million for that, and no return and definitely no more jobs being created. The aim of the investment was to create jobs….and they are but not in Warrington but in Scotland and the feedback from customers is painful to read….1 Star rating…..
It gets even worse…….
Warrington Borough Council and its councillors decided to invest in a start up Bank called Redwood. This bank was the brainchild of businessmen who held mainly offshore accounts, and who managed to persuade Warrington Borough Council to invest £30 million of local taxpayers money, and this equated to 87.4% of the start up fee. The remaining 12.6% was paid for by private individuals investing into the bank.
The bank came into being and from the 87.4% investment, the Warrington Tax Payers ended up with 34% of the bank shares, whilst the private individuals who had paid the remainder ended up with 66% of the bank. What it means is that those who invested 1/7th of the original start up costs now own 2/3rds of the bank back. A whopping £22 million pound increase overnight.. . Should the bank fail then the taxpayers of Warrington will end up with £8 million of the original investment costs, and the private investors will end up with some £30 million of their investment. Those private investors will see their £8 million rise by some 375% with a failed adventure, and the taxpayers of Warrington will have lost 3/4quarters of their investment.
When are these councillors going to stop spending our money on their failures? Start investing in much needed homes, much needed nursery places, much needed care homes for the elderly and much needed training course for the unemployed. Rather than loaning to the rich who are already ridiculously rich.
Warrington is on course to actually be in debt to the tune of £2.3 billion before the next elections are due, and that will finally break the camels back and Warrington will become bankrupt and have to shut down services, and then what? Will we finally get to see how badly they have managed our finances!! When it is too late.