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Business Argus
By Jo Barnes
they do it and will it be a seamless transition without causing major headaches for businesses waiting for decisions from them who knows?!
THE reorganisation will hopefully lead to less bureaucracy and more collaboration between authorities. This should mean the provision of public services in Gwent can be improved. Businesses are major users of public services and improving access to services means Wales becomes a more attractive place to do business and an increase in confidence increases both investment and innovation. More businesses willing to invest in Gwent ultimately benefits everyone, as employment rises and the local economy increases. Nick Park, director, Green & Co Accountants, Cwmbran I UNDERSTAND that the re-organisation is necessary because the councils are too small to be efficient or have sufficient resources. However, Birmingham City Council (one of the largest in the UK) is currently having to raise 1bn to pay legal claims over equal pay disputes. This does make you wonder whether the problem relates to size or to the way that councils are run? I do not believe that restructuring Welsh councils will be of benefit to local businesses. It may in fact waste resources in the restructuring process that could have been used to support local businesses. Jamie Davies, managing director, Crystal Group, Newport THIS can only be considered as a sensible way forward to save costs, yet how this will benefit businesses remains to be seen. Although there is potential for collaborative working within the new framework, I just hope it doesnt bring about a tendering nightmare, one which could push out SMEs as the reorganised councils inevitably rationalise their supplier base. If local authorities continue to work with Welsh Government with the support of its mentoring programmes, the current tending processes should become easier to understand and respond to, which by default will allow local SMEs to win local work.
have now. Business benefits from well-run council authorities which minimise charges and maximise service levels. Joe Walker, managing director, Newportbased Premier Forest Products IN THE private sector, business mergers are a way of cutting costs and combining strengths, so removal of duplication and streamlining the management of local government seems to be a nobrainer. If the commissions estimated reorganisation cost of 100m proves accurate and the forecast savings are delivered, then we would hope that would lead to greater (and more efficient) investment in areas such as transport and amenities infrastructure, education, and new social housing projects all critical to long-term economic success in the region. However, if opposing estimates of 200m reorganisation costs prove founded and come with substantial job losses as well then the effect could well go the other way . In the private sector, mergers generally combine one strong and one weaker business, with the stronger one steering the other to new levels of performance. Combining weak organisations with poor management is a risk. To some extent the jurys out on this one. The devil will be in the detail and the delivery!
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Editorial Jo Barnes Special features editor Tel: 01633 777240 email: jo.barnes@ gwent-wales.co.uk Advertising Graham Harris Senior Field Sales Executive Tel: 01633 777135 email: graham.harris@ gwent-wales.co.uk Samantha Taylor Media Consultant Tel: 01633 777147 Email: Samantha.taylor@gwent-wales.co.uk southwalesargus.co.uk/ business
Zep Bellavia, managing partner, Harding Evans Solicitors, Newport APART from the benefits to those which will employ some of the 15,000 council workers estimated to lose their jobs and to businesses to which some council functions could be moved, the benefits are likely to be in the medium to long term, once the projected annual costs savings have made up for the upfront costs of 100m plus. If the proposed reorganisation is more than just moving furniture around, the larger, merged units could develop strong brands to benefit businesses eg in food, tourism and hospitality . Peter Lewis, managing director IAC Ltd, Newport ANY change can be regarded as a positive, but as we will end up with the same people under a new roof, I dont really see the point. Any reorganisation will result in another new building, vast expense and more initial confusion. It would be nice if government actually gave local government time to plan longer term. At the moment, we just get a five-year plan based on how best they can stay in office. No thought seems to be given to 20 years time. As for business, we just want to be left alone to get on with it.
Business rates are still a burden on our company and further expenditure can only force these further up. On Queensway Meadows, we have one bus a year, no highspeed broadband access, and no refuse collection. What exactly are we paying for? If a new system addressed the real issues of business, then it would be good, but we all know it will only be the same thing in a new location. John Newell, director, Kingston Newell Estate Agents, Newport WE MARKET properties for clients in both Newport and Monmouthshire and have had dealings with the planning and highways departments in both councils. Being able to have one point of contact would enable us to develop our relationships with the key personnel and in theory, their policies would be the same for the combined area, which would make life easier for both our staff and our clients. It will be interesting to see how budgets are allocated and how the financing of ongoing schemes such as the redevelopment of Newport city centre are dealt with. Newports council appears to have focused on providing business support for service, retail and engineering companies, while Monmouthshire focuses on agriculture: will this continue? I think it will benefit businesses, because of the increased buying powers the councils will have. But how