Flintshire councillors hit out at Aura over £174k shortfall

Councillors have criticised former leisure service operators Aura for ‘bloody mindedness’ that resulted in increased start-up costs and an income loss of £174,000 following the transfer of services last year.

But a new report has also revealed that Flintshire Libraries and Leisure Ltd – trading under the newly named Local Authority Trading Company (LATC)  Gwella – will save £102,000 per year compared to the arrangement with Aura and has reduced the management fees by 4.5%.

Presenting the financial impact report to Flintshire Cabinet on the transition from Aura Leisure and Libraries to Gwella, Cllr Mared Eastwood, Cabinet Member for Education, Welsh Language, Culture and Leisure revealed there was an initial loss of income in November during the transfer period.

“The majority of the income loss of £174,000 resulted from the non-engagement of Aura and their delay in providing the information needed for us to process the direct debits in November,” she said.

During an earlier scrutiny committee meeting Cllr Alasdair Ibbotson of Flintshire People’s Voice, challenged the report, claiming the initial cost of the transfer – which has not been made public – would take years to pay off.

“When we tally up the one-off costs included in this report, it will take more than three years for the council to gain back what it’s lost through the Aura debacle,” he said.

“Beyond that there are the unquantifiable costs. I know other members of this council have been contacted by their own residents during the period of uncertainty who cancelled their direct debit and who will not have re-started with Gwella and that loss is not quantified in this report.”

But Cllr Eastwood laid the blame for that uncertainty squarely at the doorstep of the opponents of the transfer.

“Any cancellations of memberships due to uncertainty about the future of our library and leisure services are, in my opinion, more likely to have been the result of campaigns run by opposition councillors than by the transfer itself,” she said.

“The question has been asked  – ‘do we think it was worth it?’

“When Aura declined to sign a new grant funding agreement it was necessary to move to an alternative provision to protect staff and services.

“Transferring services to Flintshire Libraries and Leisure Ltd has ensured ongoing provision of our valued services with an additional benefits of £102,000 recurring year-on-year savings.

“The new structure also gives Flintshire County Council an opportunity to have a positive influence in the direction Gwella takes on delivering services.

“So yes, I do think it was worth it.”

Reflecting on the undisclosed one-off costs, cabinet members were scathing of Aura’s role – with figures showing that more than £26,000 was spent on replacement uniforms after Aura refused to include branded clothing in the transfer.

“Aura made little attempt to assist in the process  of change to Gwella,” said Cllr Richard Jones, Deputy Leader of the Council and Cabinet Member for Transformation and Assets.

“Even to the point where branding and uniforms were not provided, which to me was a ridiculous thing to do. The only thing there was cost to Gwella which was unnecessary, there’s no value in that branding or uniform.”

Cllr Chris Bithell, Cabinet Member for Planning, Public Health and Public Protection added: “It was a rough time for everybody concerned. The uncertainty that has been referred to was no doubt as a result of the scaremongering and false prophecies at the time – save your leisure centre, save your library as if they were going to be closed the following week.

“Understandably people were scared. I think certain individuals and groups have a lot to answer for in this particular respect.

“In regard to Aura they were most uncooperative in terms of affecting the transfer and that was a shame really. The uniforms have cost us £26,000-plus  and the previous uniforms have been scrapped. What a waste that was.

“That was just bloody-mindedness on behalf of the previous operators. Shame on them.”

Cabinet member for Streetscene and Transportation Glyn Banks said after a difficult transition period, the service was now thriving.

“There was a lot of scaremongering at the start of this,” he said. “All that did was lead to worry and disharmony but the officers and staff overcame that.

“Over the branding I think they’ve done us a favour, now we have a beautiful new name – Gwella – and we’ve risen and everyone involved in this is to be applauded.”

By Alec Doyle – Local Democracy Reporter