Why Do Councils Go Bust?

[bluebell]

Yes it does affect farming, but why? my local council seems to be "awash" with money, from the many thousands of private houses paying council tax, plus all the indusrial estates with small and extra large industrial/commercial businesses are occupiyed, never seen it so busy, and nots even counting the many more houses been built ans large commercial built, or to be built? So if the councils income and by that spending it "wisely" with prudence, why do they either need to borrow money thus have debt and debt interest payments or go bust? Shouldnt they the people in charge of spending these huge/massive budgets be held accountable? Answers please?

 

[Hilly]

Incompetent. Yes they very much should be accountable fir their incompetences .

 

[Phil P]

Don’t underestimate the cost of social care! It costs a fortune to have carers going into someone’s home or keep someone in a care home and the numbers are ever increasing with an aging population.

But yes councils do waste a lot of money on crap.

 

[Hilly]

They moan about socail care , its u sustainable …. Long term

 

[spin cycle]

some of them made bad investment speculations

tells you all you need to know about competence IMO

 

[tullah]

They carpet their luxury offices.

 

[Bald Rick]

Social care. Everyone needs some sort of "disability" these days ... and rushes to their council to pick up the reins. And I include relatively wealthy people in that.

Look at the recent survey that said 18-24 year old were the biggest group off work with mental health issues.

 

[ajd132]

I don’t think it’s just incompetence when over half think they could go bust. If it was 20% then maybe yes.
There is undoubtedly a lot of incompetence but I think social care can vary hugely. I heard on LBC yesterday one council have a single person they spend over a million on with very special care needs which the neighbouring council didn’t have.

 

[Gong Farmer]

So much is out-sourced these days, stuff the 'council workers' used to do, is now a cash cow for independent contractors.

Also, we need that pic of several workmen round a hole, with only one of them digging. Sums it all up for me.

 

[Swarfmonkey]

Sheer incompetence, pish poor investments, vanity projects, social care costs, and the can that's been kicked down the road for 40 years - namely their truly massive pension liabilities. All play their part.

 

[Devil's advocate]

So much is out-sourced these days, stuff the 'council workers' used to do, is now a cash cow for independent contractors.

Also, we need that pic of several workmen round a hole, with only one of them digging. Sums it all up for me.

I would have thought the contractors worked cheaper than the council men. For the productivity maybe not by the hour.

 

[Canada Farmer]

Yes it does affect farming, but why? my local council seems to be "awash" with money, from the many thousands of private houses paying council tax, plus all the indusrial estates with small and extra large industrial/commercial businesses are occupiyed, never seen it so busy, and nots even counting the many more houses been built ans large commercial built, or to be built? So if the councils income and by that spending it "wisely" with prudence, why do they either need to borrow money thus have debt and debt interest payments or go bust? Shouldnt they the people in charge of spending these huge/massive budgets be held accountable? Answers please?

Central or local government held accountable???
More chances of being gassed by unicorn farts or overpowered by rocking horse shít!!!

 

[ladycrofter]

First prize must go to Highland Council who paid £880,000 last year to people who are no longer on their payroll. Incompetence doesn't even begin to touch it.

 

[Bongodog]

The single biggest drain on council finances is reckless speculation into the commercial property market. A few years ago councils could obtain loans at 1% interest, They convinced themselves it was a great idea to borrow the money and invest in shops and office buildings with an annual return of 3 or 4 %. They didn't factor in the possibility if interest rate rises nor that people might not want to rent their properties. Some councils purchased shopping centres that have lost 90% of their value. My local council spent £6m on an office building that no one wanted to rent !!

 

[Hilly]

The single biggest drain on council finances is reckless speculation into the commercial property market. A few years ago councils could obtain loans at 1% interest, They convinced themselves it was a great idea to borrow the money and invest in shops and office buildings with an annual return of 3 or 4 %. They didn't factor in the possibility if interest rate rises nor that people might not want to rent their properties. Some councils purchased shopping centres that have lost 90% of their value. My local council spent £6m on an office building that no one wanted to rent !!

Incompetent .

 

[som farmer]

they don't half do some idiotic things, but social care is massive. And several care homes locally, have closed, because they don't meet the ever increasing standards, one local, doors were to narrow by 1inch l lovely place as well.

the more that close, the greater the competition, so they can jack up prices.

NHS, Social care, pensions, all need a massive re-organisation, which is politically impossible, they are becoming an over onerous burden, on society.

and councils love to develop beautiful projects, way over the top, and often fail to meet expectations. Nice to see, but functional is much cheaper.

 

[farmerm]

Half the country believing they are entitled to be housed by the council doesn’t help

 

[topground]

Elected councillors signing off budgets when they have no idea what they are paying for.
Compulsory competitive tendering focussed the minds of the brighter councillors on how to make in house bids successful. On a £1 million contract with a 5% profit won in house meant £50K to spend again.
It also meant that council chief officers had to work out what each member of staff was producing. What a particular task cost and how many of those tasks had to be carried out over the year. This applied to all council functions.
That gave councillors the ability to look at year on year efficiency improvements.
It does not appear that any of that happens any more. Councillors are not bright enough to see how they are having their egos massaged and then hoodwinked by chief officers who ultimately control the council.
Outsourcing is only efficient if those outsourcing know what each task costs when done efficiently.
The three employees standing around looking down a hole will be private contractors these days.

 

[ford 7810]

Well they drive around in new Land Rover freelander lookalikes, which ever model they are up here and I’m sure they’re a lot more expensive than an Escort van. and then the old buggers top brass sitting in offices shuffling paper to make their wages up. and no money, left or willing to use a shovel. somebody drives around in the Land Rover thing and paint squares on the road for repairs and then the paint wears off long before the tarmac gang arrive i’m sure they needs to be a sacking day. I think we need a doctor Beeching in all these big outfits in this country.

 

[Hilly]

Half the country believing they are entitled to be housed by the council doesn’t help

Free/cheap breeds entitlement, its like a disease.