William Eichler 20 June 2019

‘Unlawful’ council-owned cafe racks up £234,000 of debt

Auditors have criticised Connah’s Quay Town Council for failures in decision making and internal control in relation to its opening of a local cafe.

The Welsh town council has incurred a cumulative deficit of over £234,000 in the operation of the Quay Café since 2011, according to a report issued yesterday by the Auditor General for Wales.

The report states that the council did not give due consideration as to what powers it had to open Quay Café. It said the decision was based on a poorly prepared business plan and was therefore ‘unlawful’.

‘Given the scale of the deficit incurred at Connah’s Quay Town Council, I believe it is important that the public has a full and proper awareness of the events concerning the Council,’ said the Auditor General for Wales, Adrian Crompton.

‘When it opened the café, the Council did not have the statutory authority to do so and its decision was not supported by a clear and coherent business plan. As a result the decision was, in my view, unlawful.’

Mr Crompton said there were lessons to be learnt from this case by all community and town councils in Wales.

‘Councils need to be innovative in dealing with community issues, but they must at all times display appropriate risk management and operate within their legal framework,’ he said.

Responding to the report, a spokesperson for the council said: 'The council note the content of the report issue by the Auditor General for Wales on 19th June in relation to its investigation into Quay Café.

'Until we have had sufficient time to fully consider the details of the report then we are unable to comment further. The report will be considered at a Special (Public) Meeting of the council which we are in the process of organising after which a full response will be issued.'

SIGN UP
For your free daily news bulletin
Highways jobs

Director of Social Work and Social Care

Trafford Council
£100,731 to £104,625
You will join a values-driven senior leadership team, providing visible and responsive leadership. Manchester
Recuriter: Trafford Council

Housing Ombudsman

Housing Ombudsman Service
£130,095 per annum, negotiable based on experience.
The Housing Ombudsman Service allows colleagues to choose if they wish to work in the London office, from home or a hybrid of the two London (Greater)
Recuriter: Housing Ombudsman Service

Vehicle Technician - Improver

Kirklees Metropolitan Council
£29,540 - £31,022
Transport Services operate from three vehicle repair facilities across Kirklees. Kirklees, West Yorkshire
Recuriter: Kirklees Metropolitan Council

Principal Lawyer - Contracts and Commercial

Kirklees Metropolitan Council
£51,356 - £56,494 + Market Rate Supplement of £3000
Do you want to make a difference to local people? Kirklees, West Yorkshire
Recuriter: Kirklees Metropolitan Council

Fleet Support Officer

Kirklees Metropolitan Council
£29,540 - £31,022
Our employees are at the very heart of the services we provide to the community Kirklees, West Yorkshire
Recuriter: Kirklees Metropolitan Council
Linkedin Banner