Councillor questions £770,000 cost of Market Place events
THE total cost of a series of events in the Market Place, including the creation of the Derby Loves You Venue, is expected to cost just short of £770,000, with an expected income of £49,000.
Cllr Baggy Shanker, opposition Labour group leader on Derby City Council has challenged council deputy leader Cllr Mick Barker on whether it was “value for money” and whether the correct constitutional procedure had been followed in giving it the go-ahead.
Mr Shanker posed a written question during the recent full council meeting, which said: “When the cabinet were privately briefed on the “we love you tent” proposals and costs, did it not occur to anyone of you that the total costs, constitutionally, needed a formal cabinet decision so proper scrutiny could have happened?
Mr Barker responded: “The Derby Loves You Venue is one element of the overall Market Place offer, which has developed and evolved since the early days of the pandemic as new elements of funding have become available to the council to support businesses in the city and the overall vibrancy of the city centre.
“New ideas were developed as funding became available and cabinet received briefings on each element of the offer. The estimated
costs associated with the Derby Loves You Venue were not of a magnitude to require cabinet approval.”
When questioned on value for money by Mr Shanker in the meeting, Mr Barker said: “No-one could envisage the unprecedented success. It has grown. People of Derby appreciate it and I think it is money well-spent. If you are asking about value for money, ask the people of Derby because they have been coming in here in droves.”
The Market Place initiative was first announced in July 2020, with the aim of re-igniting activity in the city centre. The initial format was aimed at the period to the end of September 2020 but was extended into Christmas 2020.
After Christmas, the Market Place was cleared for first quarter of 2021 and a proposal to relaunch the initiative was made in March 2021, installing huts and a marquee.
Funding for the project has come from the Government’s Welcome Back (£390,753) and Vibrancy (£158,000) funds and also Derby City Council funding of £220,000. This has paid for a number of items including staffing, chalets and benches, marquee hire and installation, shows, heating, toilet hire, marketing, security and website management.
The council maintains that as none of the individual elements cost more than £100,000 there was not a requirement for a cabinet member decision and all costs were approved through strategic director standing delegations for expenditure under £100,000.
But Mr Shanker, who says he asked questions about the process and funding for the Derby Loves You Venue back in September, is unhappy that no scrutiny of the costs has been carried out.
He said: “As we approach December, it’s disappointing to learn that over three quarters of a million pounds is being spent on this and there has been no scrutiny by the public or council. This is totally against the rules and constitution in my opinion and I am considering on whether I should refer this matter to the council’s external auditors. Many questions remain unanswered.
“Some of the details I have recently had just raise further concerns – how can the website be so expensive at £45,000? The marketing at £68,000? I think the vast majority of the public will agree with me and say this isn’t value for money and also a waste of money in certain areas. Yet Cllr Barker stated at council that he thinks it’s absolutely value for money.
“I am advised the Conservative cabinet has regularly been updated on this project and I am angry that not a single member of the cabinet has insisted on a formal cabinet report to have been prepared, to make the information public or to have challenged these spends. This money could have been used for much needed improvements across our city centre.
“The tent continues to disrupt activities in the Market Place, including the recent Remembrance service and because of the lack of transparency we do not even know how long it will remain there and what the total cost burden on the city will be.”
The partnership behind Derby Market Place recently scooped the Excellence in Collaboration award in the Derbyshire Business Awards, organised by East Midlands Chamber.