Bitter row as Labour fails to stop Citybus sale plan
AN ATTEMPT to stop Plymouth Citybus being put up for sale has been thrown out after a council meeting degenerated into a bitter shouting match.
The city council has invited bids from potential buyers for some or all of its shares in the bus company.
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Cllr Tudor-Evans
The decision, made by the Cabinet on June 2, has sparked a fierce row in the city and was formally challenged by Labour leader Tudor Evans at a heated special Scrutiny Commission meeting.
During the four-hour meeting the Commission’s chairman struggled to keep order as councillors began shouting to make themselves heard. At one point Cllr Evans banged his fist on a table.
But his bid to stall the proposed Citybus sale by getting the decision sent back to Cabinet for a rethink failed when his challenge was flatly rejected by the Tory-dominated commission.
After the meeting he told The Herald it was a “devastating blow”, adding: “I will not lie down, I will not surrender. It’s a disgrace.”
At the meeting, held at Council House yesterday, Cabinet member Peter Brookshaw revealed that the council has already had four expressions of interest in buying Citybus, an independently run company which is wholly owned by the council. He did not name the bidders.
An angry Cllr Evans demanded that council leader Vivien Pengelly should come to the meeting to answer questions, instead of her Cabinet colleague, Cllr Brookshaw.
He accused Conservative Cabinet member Ian Bowyer of “giving the appearance of impropriety” because as a shareholder in a potential rival he took part in early discussions about the council’s project to “test the market” to find out what Citybus is worth.
Cllr Bowyer, the Cabinet member for finance, has shares in Taxibank, one of a consortium that has expressed an interest in buying Citybus. Cllr Bowyer did not declare an interest on June 2, the day the Cabinet agreed to seek bids.
When the consortium led by Taxifast boss John Preece said it was interested in buying the company, Cllr Bowyer declared an interest and withdrew from any debates on Citybus.
“It may be right, but it doesn’t look right,” Cllr Evans said.
Cllr Brookshaw said that Mr Bowyer’s holding was worth about £200, and that until the Preece interest was raised there had been no conflict of interest because Taxibank is a call centre and not a taxi company.
Cllr Evans said the council had “failed to consult anyone who isn’t in the charmed circle of Conservative councillors”.
“We haven’t consulted anyone because we haven’t taken a decision yet,” Cllr Brookshaw said. “If and when we decide to sell Citybus we’ll consult the public.
“We’re here today to discuss Citybus shares. Everything else is irrelevant.”
Scrutiny Commission chairman David James, the Conservative councillor for Plympton St Mary, struggled to control the meeting, with several councillors shouting to be heard at times.
Labour councillor Chris Pattison, a member of the Commission, accused Cllr James of “trying to move to a vote all afternoon so you can support your Cabinet colleagues”.
Cllr James said: “I find that quite insulting.”
Cllr Evans claimed that the council could spark “Bus Wars” by inviting bids and making it clear that a decision on whether to sell would be made in November.
“You send out a signal that by November the council may be selling off Citybus. What would a rival say? They could say, ‘We’ll run competitive services and reduce the value of Citybus’,” he said.
That would trigger a fares war to drive down the value of the company – and the rival could then snap it up at a knockdown price, Cllr Evans said.
Cllr Brookshaw told councillors: “This is a fact-finding exercise. Any decision about the future of Citybus will be taken by the full council in November.
“There are only 13 council-owned bus companies in the country now, and those that have been sold off are providing a good service.”
Cllr Pattison said: “Nothing in the report talks about people, customers and services. It talks about Citybus in cold, hard, commercial terms.”
The council has said it is considering selling off Citybus because it is “not a core business”.
Cllr Evans, banging the table, said: “The Life Centre isn’t core business. Why aren’t we selling that?”
Cllr Pattison added: “Or the Theatre Royal?”
After the meeting, Cllr Evans said he was not surprised at the outcome and felt a decision had been made before he had a chance to speak.
He said: “I thought I owed it to the people of Plymouth. If this gets through uncriticised, it will be a very bad day for Plymouth City Council.”








54 Comments
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by anon, Plymouth
Sunday, June 28 2009, 9:04AM
“Actually look at Tudor Evans and Dean Pope dont they look similar.”
by Martin, Devonport
Sunday, June 28 2009, 8:58AM
“I might print this picture off of Tudor and stick it above my fire place to keep the kids away from the fire”
by Johnj, Milehouse
Saturday, June 27 2009, 9:39PM
“I am a socialist, and as you would expect, I do not support the sale of the bus company. I also do not support the use one million pounds to enquire into the value of Citybus. I think that keeping the faith with regard to whether Citybus will be sold, is just living in hope. For what other purpose would the city council wish to spend such a vast amount of money to find out the value of Citybus? I can see how the sale would generate immediate cash and could be used for local services. My personal opinion is that it would be used to finance a Major Project (Life Centre is a possibility). This would be a short term gain against a long term loss, as the dividend generated by Citybus and paid to the council at the moment, would be lost forever. From the sale of Citybus, to a private company, it is not a large step, to see how in the future, we would have to subsidise unprofitable routes. Which can only be provided for, by a cut in services or an increase in the rates. When looking at the sale from a Conservative point of view it makes no sense to me, as privatisation is supposed make the company more efficient. I have yet to be convinced on how this will provide a more efficient service to the rate payers of Plymouth. When I think of the needs of the ederly, disabled and the many people who for no fault of their own are not able to use private transport, at what cost will we sell Citybus”
by Paul, Hartley
Saturday, June 27 2009, 7:05PM
“I'm a Conservative and I don't support either the sale of Citybus or the investigation into whether a sale should take place.
This, about the looney left or the anti-conservatives using this situation as a good excuse to mount criticism of the City Couincil is rubbish.”
by Ernie, Plymstock
Saturday, June 27 2009, 12:42PM
“Mark from Exeter, though I still disagree with you lets put one thing into perspective, at this moment Citybus is not being sold. I believe that all PCC has stated that it is looking at what value (if any) Citybus is worth.
I'm sure I have seen a quote from the leader on the herald website that she she will listen to the people of Plymouth, but obviously if she doesn't, then she will have to deal with the consequences.
Two things to me, one is that there is NOT mass widespread support unless you are the loony left, have members of family working for Citybus or you are solely reliant on the bus services and feel that there wil be no further bus services if the sale goes ahead.
The other point apart from the question of value to establish how much Citybus is worth, the council have in fact never stated
it will be sold regardless.
This brings me to what I've been saying all a long is that the vitriol is from labour supporters, councillors and people who for their own reasons do not support a conservitive council and using this very small angle to attack the conservitives.
I have no doubt that if the sale does not go ahead all you will hear from Tudor is that it is as a result of all the work he has done not the fact the the council have looked at the possibility and decided not to go ahead.
Personally i do not use a bus, and if the sale could raise millions to put back into local services that for me can only be a good thing, but if not sold will probably make no difference to me anyway.
I think the council is trying to do the right thing and at the very least trying to be dynamic in an attempt to address any potential financial shortfall, but before everyone gets orf on their high horse let's wait for the decision.
Keep the faith”
by Richard the Third, London
Friday, June 26 2009, 6:40PM
“Tudor - looking at that picture you look like your in some pain, try Ex-Lax”
by Paul, Hartley
Friday, June 26 2009, 3:56PM
“There exist publicly held companies throughout the world who are run as successful companies. Take EDF which recently bought British Energy. They are 75% owned by the French Government. In the USA the heart of the Capitalist world, alot of the their public transport is held in public hands under the guise of Transit Authorities. No one in these countries would consider putting these assets up for sale. Why o why then is it that here in Plymouth you can not have a successful commercial company which is majority owned by a public party. The council must be run by a set of ninies. Where does it say that a valued resource such as Plymouth Citybus must be in Private Hands.
Why don't you just float it on the stock exchange and make even more money out of it that way.
Times change, so must attitudes. Maybe the time has come to say maybe some things are better left as they are.
"If it ain't broke don't fix it."”
by Jon, Plymouth
Friday, June 26 2009, 3:19PM
“I have written to Conservative local councillors and most, not all are determined to sell Citybus as it fits into their philosopy that businesses should be in private hands. I have lodged by disagreement with this interpretation as they seem oblivious to what people want and only what the cold hard money figures tell them. For now the best place for Plymouth Citybus is in Council hands. But the the Conservative party Cabinet members seem to have already made up their minds regardless of what we their electorate have to say about it.”
by Peter, Plympton
Friday, June 26 2009, 9:01AM
“When Mr Brookshaw are you going to declare your interest in this matter, shame on you, you know what I am talking about, as does the Council Leader, which is why she does not attend the meetings.”
by John, Milehouse
Friday, June 26 2009, 5:51AM
“Quote,"that until the Preece interest was raised there had been no conflict of interest because Taxibank is a call centre and not a taxi company". Seems a bit of a joke to me when the company is called 'Taxifast'. This may be legal, but I also suspect the 'Duck House' and the 'Moat', were legal. Were we not trying to clean up politics. Has anyone thought of informing David Cameron of what is happening in Plymouth in his party's name. Something, to me, seems very wrong here, and is there a case, for the Local Government Ombudsman to get involved.”