Three leisure centres to close

9:07am Friday 24th November 2006

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Leisure centres in Calne, Wootton Bassett and Cricklade are to close following a meeting of the executive of North Wiltshire District Council last night.

The executive also agreed that North Wiltshire Leisure Limited should submit a proposed recovery and business plan for 07/08 by the end of December 2006 and that no further funding be approved over and above that already agreed for 2006/07.

The executive also approved an advance payment from the 2007/08 management fee budget to enable NWLL to continue to trade.

The financial position of North Wiltshire Leisure Limited and future leisure provision was considered at a special meeting of North Wiltshire District Council's Executive, on Thursday 23rd November.

The meeting took place following concerns regarding the financial and operational management of the six leisure centres, which are owned by the council. The leisure centres are managed by North Wiltshire Leisure Limited (NWLL).

In March this year, NWLL's interim management team - Wycombe Leisure Ltd, (appointed following the suspension of NWLL's senior management team in October 05) recommended a recovery plan for the organisation to NWLL's Board members.

The recommendations, which were endorsed by NWLL, were presented to the council's Leisure Provision Working Group as proposals for future service provision.

The council's Leisure Provision Working Group, chaired by Cllr Dianne Moore, the Lead Member for Healthy Lifestyles considered the recommendations and advised the Executive that consultants be appointed to undertake work to validate NWLL's recommendations.

The appointed consultants (Strategic Leisure Ltd) were appointed to assess the condition of the six leisure centre buildings; the strategic need for leisure facilities across North Wiltshire and the financial viability of all six centres.

This work was completed in October but was subject to detailed assessments on legal, financial and other issues, which had to be investigated prior to any recommendations, being made to the Council's Executive.

At the Executive meeting, Members considered the recommendations of the Leisure Provision Working Group and agreed to the following;

1. That in response to a request from North Wiltshire Leisure Ltd (NWLL) and having taken financial, legal and leisure consultants advice, the Council agrees to vary the Services which NWLL provide under the contract relating to the management and operation of six leisure centres within the district. That by agreeing to vary the contract that any requirement to provide services at Cricklade Leisure Centre, Lime Kiln Leisure Centre, Wootton Bassett and the White Horse Leisure Centre, Calne is removed and that these centres be mothballed in a condition satisfactory to the Council.

That North Wiltshire Leisure Limited be advised to submit a recovery and business plan for 07/08 by the end of December 2006, as per the terms set out in the contract.

3 That in light of the current financial that no further funding be approved to NWLL over and above that already agreed for 2006/07.

That the Executive considers approving advance payments from the 2007/08 management fee budget, subject to a Business Plan from North Wiltshire Leisure Limited for the remainder of the 2006/07 budget year, to enable them to continue to trade until end March 2007. That the agreed annual management fee for later years does not exceed the approved base budget provision. The Executive agrees to underwrite the cost of auditors carrying out a full financial audit of NWLL's accounts. That the Leisure Working Group continues its work and submits further reports by the end of March 07 to the Executive to cover the following:- Recovery Plan & Enhancement Plan for centres to remain open Disposal Plan and options for centres proposed for closure, including costs of closures Proposals for testing the market and procurement of future service provider.

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Leisure centre history

North Wiltshire District Council (NWDC) used to run all six leisure centres.

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In 2000 it created an independent trust, called North Wiltshire Leisure Ltd (NWLL) to run the centres.

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This trust is responsible for the day-to-day running but NWDC owns the buildings.

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The council pays NWLL a yearly management fee, expected to be more than £1million when it is renewed in January, 2006.

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NWLL appointed a new chairman, Mike Buckley, in 2003.

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Two years later the management team employed by NWLL to run the centres was disbanded.

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It had accrued debts of £500,000 in two years and was being criticised for poor management.

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Leisure centre staff turnover was high, morale was low and basic service standards, including cleanliness, were not being met.

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NWDC was forced to bail it out and paid off the debt to stop the leisure centres falling into the hands of the administrators.

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Since NWLL was gripped by a confidence crisis, the council appointed a new management team on its behalf.

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Wycombe Leisure has been running the centres, under NWDC, ever since.

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Wycombe Leisure carried out a review and told the council what was wrong with the six centres.

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NWDC decided it had to validate the findings and appointed its own auditors, Strategic Leisure, in 2006. The fee remains a secret.

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Strategic Leisure is conducting an extensive review, and is expected to present its findings next summer.

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The council set up a multi-political-party council committee to monitor the review, called the Leisure Provision Working Group.

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The six centres will stay open in the short term, thanks to the moral duty felt by NWDC, but the long-term future of leisure in North Wiltshire is very much in doubt.

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