AFC Telford United statement in full
The Council has long been a supporter of the football club, support that has been consistent, whether it has been a Labour or a Conservative controlled administration.
AFC Telford Utd has consistently supported the policies of the Council and continues to deliver some key initiatives very well including programmes supporting mens’ health and youth engagement and learning as well as football outreach.
To clarify, because of the business rate relief awarded in accordance with council policy, there was no debt to collect and there were no monies were written off.
In March 2015, the Cabinet considered a report to consider future opportunities to develop this successful partnership. As a result of this Cabinet resolved to work with the football club to seek what opportunities for further joint initiatives there were and capital funding of £279,000 was committed (from the sale proceeds of the Bucks Head pub on the football club site) to support projects subject to the development and agreement of an acceptable business plan.
Since this decision the club and the Council have been working together to develop this business plan. A priority for the business plan was the procurement of a new stadium fire alarm and public address system because there was a risk that without this investment, in the short term, the club might not be able to maintain the necessary standards to enable them to play football at the stadium.
This jeopardised the future viability of the club and also the future opportunities for enhancing community and club sport, leisure and learning facilities. The Club’s original request included the need for this, while this was also in a public meeting of the Council’s licensing commitee.
In this context the decision was made to release some of the allocated capital funding to enable the purchase of the fire alarm and public address system. This decision was made by the Assistant Director: Development, Business & Employment using her delegation from Cabinet given on 19th March 2015.
Having taken appropriate legal and financial advice and, after consulting the appropriate cabinet members in this case the Leader and cabinet member for Leisure and officers, she decided that, in the circumstances, the urgency of the requirement meant that the draw down of the funding was necessary. However to protect public funds the agreement with the football club takes the form of a loan.
This loan will be cost neutral to the Council as the cost of the borrowing is met through repayment provisions.
In respect of business rates the Council has awarded 100% discretionary business rate relief to AFC Learning Centre and the Bucks Head Stadium. The Club is run by a Supporters Trust which is a not for profit organisation. The award of such relief is made under the Council’s existing criteria which was approved by councillors in March 2014, and is consistent with similar awards made to sporting organisations within the borough. This decision to grant discretionary rate relief was also approved by the Council leader. As with all such grants, it will be reviewed again in March 2018- the earliest this could be legally reviewed would be March 2017.
In accordance with agreed governance arrangements and protocols, which include councillors of all parties who trade or have a relationship with council. Cllr Lee Carter, cabinet member for Finance and Service Delivery, has played no part whatsoever in any decision-making processes for these two issues.
