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Councils and money in the bank


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My understanding was it was run by a private business, but it was a council property. Housing association properties are not council owned.

 

Not a private bussines. The Kensington and Chelsea Tenant Management Organisation.

 

The TMO was set up on 1 April 1996, under the UK Government's 'Right to Manage' regulations. The TMO has a board comprising eight residents, four council-appointed members and three independent members.

 

Did they have the skills needed to run such a large organisation?

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The Government have a deficit, and debt, perhaps a council 'surplus' is not real money.

 

No, the Council surplus is real and forms part of the official audited accounts, its in the bank and spendable. According to some its held back for emergencies. The government also do the same and have several billions in funds held back for emergencies so it doe not interfere with the budget that is given.

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Not a private bussines. The Kensington and Chelsea Tenant Management Organisation.

 

The TMO was set up on 1 April 1996, under the UK Government's 'Right to Manage' regulations. The TMO has a board comprising eight residents, four council-appointed members and three independent members.

 

Did they have the skills needed to run such a large organisation?

 

Yes a private business.

 

THE ROYAL BOROUGH OF KENSINGTON AND CHELSEA TENANT MANAGEMENT ORGANISATION LIMITED

 

Company type

Private company limited by guarantee without share capital

 

https://beta.companieshouse.gov.uk/company/03048135

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after reading about the Grenfell tower disaster and the local council has all this money in the banks is this money taken in consideration when cutting council services.? what is this money stored in the banks for? is their a list of all councils stating how much money each has in the banks ? a little confused :D

 

To cover unexpected major problems, for example Im not sure if councils generally insure buildings, the one I worked for didn't, so imagine how much money it would cost if a large school burned down and you needed to provide an alternative pretty much immediately.

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As long as the money is in British banks, then what is the issue? Big organisations such as councils need an healthy surplus in order not to have cash flow problems. Would local people be happy if their council had zero amount of cash in the bank?

didn't Sheffield council lose money when they had it in Iceland banks?

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Yes a private business.

 

THE ROYAL BOROUGH OF KENSINGTON AND CHELSEA TENANT MANAGEMENT ORGANISATION LIMITED

 

Company type

Private company limited by guarantee without share capital

 

https://beta.companieshouse.gov.uk/company/03048135

 

It's basically an Arms Length Management Organisation. A private company set up, funded by and owned by the Council to manage the council housing stock. Same as the set up in Doncaster- St Leger Homes Ltd (owned by DMBC) manage all Doncaster Council houses. Not sure what the benefits of this arrangement are but there must be some.

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It's basically an Arms Length Management Organisation. A private company set up, funded by and owned by the Council to manage the council housing stock. Same as the set up in Doncaster- St Leger Homes Ltd (owned by DMBC) manage all Doncaster Council houses. Not sure what the benefits of this arrangement are but there must be some.

 

True but still a private business, which is what I said:

 

My understanding was it was run by a private business, but it was a council property. Housing association properties are not council owned.

 

.. just without share capital and therefore no dividend.

 

I understand why some think it was run by a housing association, such as tzijlstra as this private business has all the same hallmarks with only one difference, who owns the building. HA's were set up by predominantly Labour councils to put their social housing stock out of reach of Thatcher's right to buy scheme.

Edited by Berberis
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True but still a private business, which is what I said:

 

 

 

.. just without share capital and therefore no dividend.

 

I understand why some think it was run by a housing association, such as tzijlstra as this private business has all the same hallmarks with only one difference, who owns the building. HA's were set up by predominantly Labour councils to put their social housing stock out of reach of Thatcher's right to buy scheme.

 

A private business by name but not by nature. They are shackled by the politics of the council they are tied to, they can't control what rents they charge and they don't need to make any profit- most of their funding comes from the council. I don't know many private businesses that are given a stash of money to spend each year and are wholly answerable to the local council. Anyway, it matters not.

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didn't Sheffield council lose money when they had it in Iceland banks?

 

Doncaster and Rotherham lost money but I think Sheffield did not https://www.theguardian.com/politics/2008/oct/10/localgovernment-iceland

 

---------- Post added 25-06-2017 at 20:19 ----------

 

didn't Sheffield council lose money when they had it in Iceland banks?

 

Doncaster and Rotherham lost money but I think Sheffield did not https://www.theguardian.com/politics/2008/oct/10/localgovernment-iceland

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