Midland Fire Service set up private company to generate income

[nearlythere]

This from CLG guidance.

The Localism Act includes a ‘general power of competence’. It gives local authorities the legal capacity to do anything that an individual can do that is not specifically prohibited; they will not, for example, be able to impose new taxes, as an individual has no power to tax.

If I employed anyone in my private company would I be able to use taxpayers money to pay their wages?

[Tom W]

I think they are allowed to make money to recoup costs not to make a profit. Its about what figure you put on the reasonable amount of cost they are allowed to try and recoup.

[William 29]

It is my understanding that any profit made has to be reinvested in to "community projects".  So the arms length company is technically a non profit making company.  Hold that thought.........in Manchester fire officers are "alllowed" when ask to recommend suitable companies that will provide a suitable and sufficent fire risk assessment, however any company recommended must be non profit making?!

What a surprise there is only one such company in Manchester.........the arms length company set up by the local fire authority. 

[Clevelandfire 3]

This is bad news. Not even the americans commercialise their public services to this extent. Game keeper turns poacher springs to mind. Might as well revert back to fire certs and get the brigade to charge for every cert issued if this is the state of affairs cos it amounts to the same thing in my book.

[fitter]

Consider a fairly feasible situation. FRS recommend their 'arms length company' to carry out a RA in a building. Its done and a subsequent incident, presumably investigated by the fire safety section of the FRS that has the arms length company, shows that the RA was not suitable and sufficient.
What happens then?
Will it come to light?
Will it be properly investigated.
Will the RP be prosecuted?
What if the RP got a second opinion on the RA which highlighted shortcomings?
Will the arms length company have PI and who pays for it?

[Golden]

Consider a situation where a local authority train a number of their personnel (lets say 132) in carrying out fire risk assessments with the local fire brigade; the local authority then consider their personnel trained to carry out fire risk assessments and are given the job. A fire occurs in one of their properties and a number of people lose their lives - the fire brigade then inform the council that they were not trained to carry out those sort of fire risk assessments.

You never know it could happen.

[colin todd]

Golden, it could never happen in London, could it?