Monday, October 11, 2010

Leisure Centres still costing millions

In a report to the OSP - Economic Well-being One Leisure makes a presentation on its performance during 2009/10. Seeing that One Leisure is soaking up £2.8 million of the budget it doesn't seem to be the doing much to cut the its costs.

My first problem is with some of the numbers provided in this report. The first is in section 2.

So the "new" target for 2010/11 is £2,985,000. This supposedly saves £200,000 as the Forecast after 4 months is a total of £2,756,000.  But in the 2010/11 Medium Term Plan the budget is £2,887,000.
So the "saving" of actual budget against forecast is £98,000 not £200,000.

This report goes on to talk about the forecast net loss of £512,000. But the majority of costs have been stripped out to make this figure small. Of course this makes the actual cost seems small. But the MTP is where the true figures are.

The NNDR claim is very suspicious.
But this isn't even close with their own figures. 
In 2006/07 NNDR was £293,000. In 2010/11 it has increase by £52,000 to £345,000. This equates to a 18% rise NOT 80%!

My second problem with this report is it makes no sense. Lots of half figures are banded about and the future is very unsure. There is little on tackling the deficit the Council faces. As a major item where money doesn't have to be spent there is little, other than a few cuts, to make One Leisure anywhere near break even.

It I was a member of this Panel I would send this back to the officers and get properly written and a understandable. This is simply an awful report.

No comments: