Recent press articles have raised further concerns over the fiscal prudence of the Labour-led Middlewich Town Council. Most recently, the 2022 Folk and Boat Festival (RAB) has registered a £84,000 loss (following financial losses in both 2018 and 2019).
An Independent Report stated that the council-run music festival had “no proper governance”. The Middlewich Folk and Boat (FAB) Festival, which was organised and funded by the town's council, took place in June. A report into the festival found there had been "inadequate" ticket recording amid claims of excessive free ticket distribution. The report said the 2022 event had "ambitious aims" with artist spending and ticket income "significantly more" than previous festival budgets. But it said the losses were incurred by "ill-advised operational decisions".
It noted that "extravagant" ticket sales were forecast for 2022 but were based on no formal or "credible" market research. The projected figures show ticket sales of £136,960 but sales "fell significantly short" of the forecast bringing in £62,066.97. Meanwhile, the artist cost was £85,740 compared with costs of £20,790 in 2019.
Overall, the festival made a loss of £84,319 with "no element" of the festival profitable, the report said. It also noted there were concerns about the allocation of complimentary tickets. However, without a register of who received complimentary tickets, it was "not possible" to make a formal response to those concerns.
The report found that ticket recording, control and disciplines were "inadequate". It added it had not been possible to see full sales and attendance records easily.
"This contributed to claims of excessive 'free' ticket distribution, which whilst not provable are certainly consistent with the controls in place and general observation," The report also said the council was ill equipped to deal with entrepreneurial undertakings and should refrain from these activities. It recommended changes to the council's reporting and budgeting and noted the authority had agreed not to organise or financially underwrite future FAB events.
Ref: https://www.northwichguardian.co.uk/news/23169841.loss-making-middlewic…
However it is important to note that the Folk and Boat Festival is not the only element of Middlewich Town Council’s activities that are being scrutinised in terms of fiscal prudence.
In September 2022, Council representatives identified that
“We’re now forecasting a £100,000 deficit within this year,” This deficit was based on the “FAB” losses but also “an £80,000 pension liability that dates back to 2007; a £50,000 council tax debt for alms houses stretching back to 2017; £8,000 worth of electrical work; £8,000 worth of repairs to the emergency lighting system and £5,500 for roof repairs.”
In addition, it was identified that there is “an uncapped amount of money for legal fees to settle the cemetery dispute. £15,000 has been spent so far, that could rise.”
It is acknowledged that the genesis of these latter issues pre-date the election of recent Independent Councillors on Middlewich Town Council but Labour must acknowledge their role in failing to raise these issues both pre-2019 when in a minority on MTC and afterwards, since when they have been in control of the Town Council and have failed to address these assaults on the Public purse provided by Middlewich residents.
https://www.northwichguardian.co.uk/news/21252553.middlewich-town-counc…
So what does this mean for Middlewich residents? It should be remembered that three Labour Town Councillors are also the three Middlewich representatives on Cheshire East Council. Their record on the Town Council has not engendered confidence in terms of their representation of Middlewich residents on the CE Borough footprint.
So too, after nearly four years of Cheshire East Labour-Independent control, they can no longer ‘blame the tories’ for their failures. From the independent evidence that has come to light above, it is evident that prior to 2019, “Middlewich First” did not serve their residents well and Labour failed to hold them to account. Since 2019, So too, Labour control in Middlewich has spectacularly failed.
Labour’s failures in fiscal prudence are worryingly summarised by one Labour spokesperson who stated;
“…an inquiry was necessary because it was public money but councillors should not have been involved, it should have been left to the auditors.”
This deliberately ignores the fact that Middlewich Councillors are the decision-makers - and the responsibility lies wholly with them - as clearly identified by the Independent Report; “losses were incurred by "ill-advised operational decisions".