Latest news with #AlexCatt
BBC News
2 days ago
- Business
- BBC News
Millions lost by Norwich City Council housing firm 'shameful'
A council lost millions of pounds on a housing development company whose performance was "not regularly tracked", according to a leaked month Norwich City Council agreed to liquidate Lion Homes, which had been set up to generate revenue for the authority and build more affordable councillor Alex Catt said it was "shameful" that a review found the firm's shareholder panel - which included councillors and was supposed to meet four times a year - had not met since November Labour-run council – which had to write off a £6m loan to the firm – said it had struggled because of "spiralling borrowing costs and a hostile planning system". Carli Harper, cabinet member for finance and major projects, said there would be "a full scrutiny and audit review" of what happened with the as Norwich Regeneration Limited in 2015, the company was supposed to develop private housing projects to raise income for the council, while also providing some affordable some of its developments struggled and in 2020 it emerged £6m was lost when homes in Bowthorpe were sold for less than they cost to build. With the company close to collapse last year, consultants 31Ten were commissioned to review the financial risk posed to the BBC has seen the report from October 2024, which found that objectives for the firm "were not clear" or "clearly linked to key performance indicators nor regularly tracked".It said it was "critical" for the shareholder panel – set-up to oversee the business – to meet regularly, but it had not done so for consultants also found that the four Lion Homes employees also worked in the council's housing delivery team and warned that could "lead to a perception of conflict of interest".They also said the firm had built up loses of £5.72m over a number of years, while the council had invested £3.42m in it and provided a loan of £6.15m, which has since been written off. A separate report from accountants Grant Thornton said liquidating the company and its assets could recoup the council £ Catt, who leads the council's opposition Green group, said concerns raised by his party about how the firm was run "had been completely ignored"."It's frankly just a mess," he said."It's lacked basic governance, any accountability, any sort of purpose and was going forward on the basis of financial calculations that were completely wrong."Harper said selling Lion Homes' assets "will help us to significantly reduce any outstanding debt" and insisted the council was "always transparent about finances".She said other housing companies had faced the same problems of "spiralling borrowing costs and a hostile planning system" and that the council would develop housing projects itself, instead of using a private firm."Bringing Lion Homes in-house… ensures the council continues to deliver the housing Norwich needs in a more transparent, accountable way," she said. Follow Norfolk news on BBC Sounds, Facebook, Instagram and X.
BBC News
03-07-2025
- Business
- BBC News
Norwich City Council owned housing firm recorded losses of £5m
A council-owned housing developer which lost millions of pounds will be closed down and liquidated.A report to Norwich City Council's Labour cabinet blamed changes to the housing market and economy for making its social and affordable housing arm, Lion Homes, show the company made £5m in losses in five years, while homes in one development it built were sold for less than what they cost to councillor Alex Catt said the company had been a poorly-run "disaster" which had made "an enormous loss". The company, which is wholly owned by the council, was founded as Norwich Regeneration Limited in 2015 in the hope of delivering more affordable the venture has faced strong criticism, particularly after the Eastern Daily Press reported in 2020 that the company had lost £6m when homes in Bowthorpe were sold at a loss and the council was council also invested £3.5m in the company and loaned it a further £6.1m to keep it no accounts have been filed for Lion since 2023, Companies House records show it made losses of £5m in the previous five years. Catt, who leads the council's Green group, said "the lack of openness displayed by the Labour councillors who have overseen this disaster that has led to this enormous loss for the public has been striking"."There needs to be a full and public investigation into how this was allowed to happen, and a plan from the council for how it will deliver housing for Norwich at value for money after this failure," he said. 'No impact' Carli Harper, Labour's cabinet member for finance and major projects, told the Local Democracy Reporting Service that liquidating the company was "a strategic decision that makes sense for the long-term".Rather than using a private company to borrow money to fund developments, she argued the council could get better deals on loans from the government."It means we deliver more homes at better value for money for the taxpayer if we do it ourselves," she said the closure of the company would have "no impact" on a planned development of 200 houses at the former Mile Cross depot – while the council was "exploring options" for continuing another development in Bowthorpe, where a total of 1,000 homes are expected to be added the council hoped to get back some of the £6.1m loaned to Lion by recovering assets owned by the company including "a significant plot of land". The council's cabinet will be asked to consider voluntary liquidation of the company at a meeting next week in light of a recommendation received from its shareholder states the council will explore "alternative routes" to invest in housing development that are "less risky" and provide "better prospects". Follow Norfolk news on BBC Sounds, Facebook, Instagram and X.
Yahoo
14-05-2025
- Politics
- Yahoo
Council missing data on criminal record checks
A council does not know how many of its staff who require criminal record checks have had one completed, it has emerged. Norwich City Council has been told to urgently find out who has undergone the Disclosure and Barring Service (DBS) process and who needs one. There was missing data for 41 out of 54 members of staff whose job required an enhanced DBS check. The local authority said: "There are no examples of the council putting anyone at risk because of a lack of DBS checks when they have been needed." Council bosses faced pointed questions at a meeting of its audit committee on Tuesday night. A report presented to the committee said the council was "not able to identify whether all staff in posts requiring a DBS check have had one". It described a process in which the data was manually compiled on to a spreadsheet but was incomplete. A private company has been brought in to complete the process. The problem was identified in July 2023 following an audit into the council's safeguarding arrangement, councillors were told. But the audit report said since then, there had been no progress reports and the issues had not been escalated. Alex Catt, the Green group leader, described the situation as "shocking". "It has been known to the council for at least two years with seemingly nothing done about it," he told the BBC. "The council works with lots of vulnerable people and we need to know the background of the people working with them." When asked how long this situation had been going on for at the meeting, executive director of human resources Dawn Bradshaw replied: "I don't have the answer to that." Emily Yule, the council's executive director of resources, said: "This is the first DBS audit we've had in the 20 years I have been here." The checks are undertaken by the DBS agency, previously known as the Criminal Records Bureau. According to the Home Office, employers can request one in order "to make safer recruitment decisions" particularly when employing people working with children and vulnerable adults. Basic DBS checks reveal spent and unspent convictions, cautions and reprimands held on the Police National Computer. Enhanced checks include "additional information held by local police that is considered relevant to a specific role". A spokesperson for Norwich City Council said DBS checks were a "serious matter to get right" and claimed that "all of our people who needed a DBS check, have had one". "There are no examples of the council putting anyone at risk because of a lack of DBS checks when they have been needed," the statement continued. "We fully accept we were slow in providing information to audit colleagues about DBS checks and that our record keeping needed to be improved. "Both of these matters have been picked up and are successfully being addressed." Follow Norfolk news on BBC Sounds, Facebook, Instagram and X. Norwich City Council Disclosure and Barring service
BBC News
14-05-2025
- Politics
- BBC News
Norwich council missing data on criminal record checks
A council does not know how many of its staff who require criminal record checks have had one completed, it has City Council has been told to urgently find out who has undergone the Disclosure and Barring Service (DBS) process and who needs was missing data for 41 out of 54 members of staff whose job required an enhanced DBS local authority said: "There are no examples of the council putting anyone at risk because of a lack of DBS checks when they have been needed." Council bosses faced pointed questions at a meeting of its audit committee on Tuesday night.A report presented to the committee said the council was "not able to identify whether all staff in posts requiring a DBS check have had one".It described a process in which the data was manually compiled on to a spreadsheet but was incomplete.A private company has been brought in to complete the process. The problem was identified in July 2023 following an audit into the council's safeguarding arrangement, councillors were the audit report said since then, there had been no progress reports and the issues had not been Catt, the Green group leader, described the situation as "shocking"."It has been known to the council for at least two years with seemingly nothing done about it," he told the BBC."The council works with lots of vulnerable people and we need to know the background of the people working with them." When asked how long this situation had been going on for at the meeting, executive director of human resources Dawn Bradshaw replied: "I don't have the answer to that."Emily Yule, the council's executive director of resources, said: "This is the first DBS audit we've had in the 20 years I have been here." The checks are undertaken by the DBS agency, previously known as the Criminal Records to the Home Office, employers can request one in order "to make safer recruitment decisions" particularly when employing people working with children and vulnerable DBS checks reveal spent and unspent convictions, cautions and reprimands held on the Police National checks include "additional information held by local police that is considered relevant to a specific role". A spokesperson for Norwich City Council said DBS checks were a "serious matter to get right" and claimed that "all of our people who needed a DBS check, have had one"."There are no examples of the council putting anyone at risk because of a lack of DBS checks when they have been needed," the statement continued."We fully accept we were slow in providing information to audit colleagues about DBS checks and that our record keeping needed to be improved."Both of these matters have been picked up and are successfully being addressed." Follow Norfolk news on BBC Sounds, Facebook, Instagram and X.
