Issue - meetings

Freedom Leisure

Meeting: 05/10/2022 - Cabinet (Item 40)

40 Year One Summary of the Freedom Leisure Contract pdf icon PDF 363 KB

Minutes:

RESOLVED:

 

That the Cabinet note the transition year summary position and the financial implications of both the transition year and the Net Income Adjustment built into the service contract with Freedom Leisure (to take effect in the second year of the contract).

 

REASONS FOR DECISION:

 

As set out in the report.

 

KEY DECISION:

 

No.

 

PORTFOLIO:

 

Partnering and Wellbeing.

 

ALTERNATIVE OPTIONS CONSIDERED/REJECTED:

 

As set out in the report.

 

DECLARATIONS OF INTEREST(S):

 

None.

 

DISCUSSION:

 

The Portfolio Holder introduced the report and referred to the impact of rising utility costs on all leisure providers, which was creating a significant challenge for the sector.  Intervention from Government was welcome but the Council and partners, including Freedom Leisure, would continue to lobby for further support.  The Leader of the Council committed to writing to Government on this issue.


A number of mitigating actions had been taken by Freedom Leisure to address the challenges, particularly in achieving sustainability in the running of swimming pools.

 

The Leisure Contract Monitoring Officer highlighted the regular reports to the Community, Partnerships and Wellbeing Overview and Scrutiny Panel throughout the first year of the partnership, which would continue into the future.  Freedom Leisure had over 100 sites across the UK and were working collectively on mitigation actions, including with Community Leisure UK and UK Active.

 

The Portfolio Holder for Finance, Investment and Corporate Services referred to the financial implications in the report and noted the post-covid impact on numbers attending leisure centres.  He highlighted the significant financial burden that would have been solely with the Council, had it not entered into the partnership.  One Member highlighted the extensive financial scrutiny undertaken throughout the development of the contract and the ongoing role of Overview and Scrutiny in contract monitoring.

 

In response to concerns on feedback to recent changes to pool temperatures, it was noted that this remained a fine balance between customer experience, cost and climate and nature issues.  However, Freedom Leisure were committed to the national guidelines for pool temperatures.  Wider investment was currently taking place in the venues at the moment, with new much improved café, soft play, gym and front end facilities.