Management buyout for county's leisure services company

 

Denbighshire councillors have approved a management buyout for Denbighshire Leisure Ltd (DLL).

The move will see DLL - which runs leisure centres across the county including Llangollen but from April 1 no longer Llangollen Pavilion - being funded to the tune of £1.5m by a private investor to purchase the company.

DLL says the aim is to grow and sustain and protect leisure services in the county over the next 10 years.

 

Meanwhile, it will lead to savings for the council with an initial payment for the company and an on-going annual saving in the cost of the service provided. 

This decision is dependent upon the council being satisfied as to a number of practical and regulatory matters to be determined over the next few months.

 

Jamie Groves, Managing Director of DLL, said: "There comes a point where we need to change the structure of the company. The council considered a proposal whereby we could bring some investment into the company. It's unique, the first of its kind, and an option I'm sure many councils won't have.

 

"This is about protecting our services for our residents, protecting jobs for our staff, protecting all the things we've become happy with as residents and visitors, and giving the company the best possible chance to grow into the future. We are essentially investing and growing instead of cutting and shutting. The council has taken the bold step in supporting us. It's transformational."

 

Councillor Rhys Thomas, Lead Member for Housing and Communities for Denbighshire and a Chair of DLL’s Board of Directors,  said: “There was a full and open debate in the council chamber on Wednesday where all members were given an opportunity to air their views.  

"Some members had legitimate concerns about the changes which were being discussed but by the end of the meeting most members agreed that the way forward was to approve the proposal. It was explained that not accepting the proposed changes could put at risk the excellent service delivered by DLL for the people of Denbighshire.

 

“As members, we needed to be sure that the proposal offered the best solution for Denbighshire residents and we’d like to reassure residents that the arrangements are being made to secure the future of leisure services over the next ten years in the county. We’d also like to reassure other parties, such as schools who share facilities with DLL, that we will ensure there are robust arrangements in place to safeguard these arrangements.”

 

The council says it will now work with DLL over the coming months to move the project forward.

* It was announced last month that Llangollen Eisteddfod will take over the day to day running of the Pavilion from DLL all year round, rather than just having access for a one-month period during the summer.