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NPS Property Consultants

Arms' Length NPS

Local authorities are demonstrating ever more clearly their inability to manage, control and operate via wholly owned subsidiaries, the various functions hitherto run completely in house. This is for a variety of reasons but one cause is their lack of awareness of the fundamental principle of "arms length" relationship in finance, trading and elsewhere. The rules are necessary  in order to be able to judge performance but also to let the local management get on with the job and the Authority must act only as shareholders and as such they can get involved only at important meetings like AGMs, EGMs.  The operation of this principle is now being examined closely in its nationwide application to multi-national concerns by KHMRC in order to ensure each unit is paying its fair share of tax. Google, for example, does all its billing from Ireland and Starbucks only pays a small fraction of what is expected in Britain - £10 million on sales of £3 billion.

While we must focus on the present triple dip recession, amateurs like Stockport Metropolitan Borough Council  should concentrate more on their own business or hire people who can and/or bring everything back indoors.

Click the links opposite to see apparent wrongdoing.

Norfolk Property Services has no cash at the bank and a book value of £21,782.

Norfolk County Council has serious concerns about NPS.

Devon County Council has had serious concerns regarding NPS, not least regarding the amount of profit it returns to the Council - of which it is an Arms Length Managment Organisation.

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