Issue - meetings

The Executive Director of Resources presented a report detailing the financial implications of the position of Rubicon Leisure Limited for the Council.  The report had been drafted following the Executive Committee’s identification of Rubicon Leisure Limited as a potential financial risk for the Council.

The Committee was informed that it was a difficult time for the hospitality industry.  Rubicon Leisure Limited had been impacted by the pandemic like other leisure companies.  Significant progress had been made by the company in terms of identifying action that could be taken to improve the financial position of Rubicon Leisure Limited moving forward.  However, further action would be needed and the Managing Director was working hard to address this.

Members discussed the report and noted that reference was made to the business plan 2021/22 for Rubicon Leisure Limited.  Questions were raised about how this business plan would be approved and Officers clarified that this role had been delegated to the Shareholders Committee.

During consideration of this item, Councillor David Thain, as Chair of the Shareholders Committee, explained that at a recent meeting of the Committee Members had approved the business plan 2021/22 for Rubicon Leisure Limited.  Whilst progress had been made he commented that further action was required and the Committee had clarified that there a business plan covering a three-year period would need to be developed.

RESOLVED that

1)        the financial context and risks set out in section 3 are noted;

2)        the decision taken by members of the Shareholders Committee (in line with the Council’s Constitution) to approve a revised one-year Rubicon Business Plan is noted; and

3)        the requirement to support the mitigating actions as set out in Section 7 is noted as is the work undertaken by officers to determine a longer term business plan focusing on financial sustainability and relevant and appropriate service delivery.