Labour Group Statement on Mouchel Contract

On Tuesday 18 October Milton Keynes Council’s Cabinet received a statement on the financial position facing Mouchel, a major provider of Council services, from the Council’s Finance Director.


Following the statement Labour Leader Cllr Norman Miles asked the Council Leader for a commitment to ensure that Council services and finances were protected from any problems that Mouchel might face.


In 2010 the Council’s Audit Committee chaired by Labour received an audit of the Mouchel contract. The audit described the situation as the “worst auditors had seen” and raised serious concerns about the contract that led to the establishment of the Working Better Together Review’. This review was set the task of reducing the cost of the contract and improving how it worked. It is clear that the current contract has not delivered all the efficiencies and savings that are possible.


Although Mouchel have received substantial income from the Council over a long period, but it is not clear if this was Value for Money.


Labour Leader Norman Miles has pushed the Tory administration to be clear about the need to protect the Council and the taxpayer. He welcomed the statement that the Council’s Financial Director made. However there is a need to ensure that Business Continuity plans put together by Mouchel for the Council are robust.


Cllr Norman Miles, remains concerned that the financial position of Mouchel might have implications for services and the financial position of the Council. He has therefore written to the Chief Executive of the Council asking for a meeting with him and the Council Leader to ensure that the taxpayer is protected. 


He said “My number one priority is to ensure a range of council services and the Council’s finances are protected. That is why I welcomed the statement from the Finance Director and why I am offering to work with the Chief Executive and the Council Leader to ensure the council is safe from any risks associated with the Mouchel contract.”