PRESS STATEMENT – OUR WEST LANCASHIRE
Mr Kitts certainly joins TVDL at pivotal stage in its start up. Having lost over £440k in its first year of operation and heading for greater losses in the second, the company faces significant challenges in the next five years if it is to make the promised returns to West Lancashire Borough Council to support future investment in services and facilities.
The latest published accounts for the business do not provide good reading and TVDL is only deemed viable as a going concern due to the financial backing of its parent company, backing that was surely lacking in last night’s meeting of the Council were a motion to wind up the companies operation was narrowly defeated by the ruling Labour party’s slim majority.
Approved by the same slim majority, the company’s business plan for the next five years relies heavily upon building homes for Council housing, which whilst much needed in the Borough, only realises an operational profit thanks to the generosity of the Council’s own Housing Revenue Account.
Readers should note a planning development application by Tawd Valley Developments in Ashurst Ward. 2021/0142/FUL. “Erection of residential 50 dwellings with associated parking and new access road onto site” for decision by the Planning Committee.
In its recent press release WLBC states “Tawd Valley Developments is a company formed by West Lancashire Borough Council to build houses to be retained as Council owned homes and for market sale.
“The Council is the only shareholder and any financial surplus made by Tawd Valley Developments will be returned to the authority to be reinvested in the local community”.
By the same token we reiterate what is stated above, that losses are large and rising. They are funded by local communities.