Freedom of Information

Glasgow City Council has a new leadership - following the sudden and unexpected departure of former council leader - Councillor Stephen Purcell

One issue the new regime will want to get to grips with is highlighted today in a report by the Sunday Herald - here's summary of the article written by Tom Gordon.

"Quango spent £50,000 on taking bosses to football, dinners and pop concerts"

Tom Gordon, Scottish Political Editor

6 Jun 2010

"A controversial construction quango spent almost £50,000 on hospitality for senior managers, councillors and business contacts in two years, according to files obtained by the Sunday Herald.

City Building (Glasgow) LLP, a spin-off of Labour-run Glasgow City Council, lavished thousands on sporting dinners, football matches, charity events and pop concerts.

Senior managers attended gigs at Hampden Park by Bruce Springsteen, U2 and Take That on the questionable basis it would help them drum up new work for the organisation. Bosses also spent almost £8500 on black-tie evenings at boxing matches.

However, the Sunday Herald understands City Building’s entire business model is now under review after it failed to meet its key goal of attracting private sector contracts.

Created in 2006 out of Glasgow’s former building services department, City Building was supposed to secure extra work outside the city from local authorities and the private sector. But it has struggled to expand, and its 2200 staff remain reliant on a massive inherited contract with Glasgow Housing Association.

The £160 million quango’s future is now central to a review of all the arms length external organisations (Aleos) set up by Glasgow City Council to run services such as parking, property sales, markets, and sports centres.

The shake-up comes as the full extent of entertainment spending at City Building emerges under Freedom of Information laws.

In the two years to April, it spent £47,320 at 53 events, including awards ceremonies, charity dinners, burns suppers, football matches and concerts.

John Foley, City Building’s finance director, was at 36 events, managing director Willie Docherty at 28, director of corporate services Steve Kelly at 27, and director of operations Graeme Paterson at 20.

They were frequently accompanied by their wives, as well as junior staff.

In November 2008, City Building spent £2112 taking 24 people to the Scottish Football Association Hall of Fame dinner in Glasgow. Of these, 15 were Labour councillors and only four were from the private sector.

City Building executives were also regulars at the St Andrew’s Sporting Club, which organises boxing matches in Glasgow and has a black-tie dress code.

Last year, concerts at Hampden started to feature in the entertainment budget. In June, Foley took three people to Take That’s Circus tour at a cost of £376; the next month, Docherty treated three people to Bruce Springsteen for £252; and in August, Kelly took three contacts to see U2 for £360.

The quango initially refused to divulge the details and did so only after a challenge by the Sunday Herald. It is still refusing to name the business people who enjoyed its hospitality. As City Building failed to keep a hospitality register in 2006 and 2007, the true cost of its entertaining is likely to exceed £50,000."

Yet again Freedom of Information has unearthed details that people in powerful places would rather keep secret.

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