Liberal Democrat Intervention Secures £2.5 Million Boost for York – After Potentially Unlawful Error on Bus Shelter Contract
Liberal Democrat Councillors in York have exposed a major procurement error by the Labour-run City of York Council. They intervened to ensure a full and lawful tendering process was undertaken for the city’s bus shelter advertising contract, securing up to £2.5 million in extra income to help fund services for local residents.
In April 2024, Labour councillors attempted to reaward the lucrative 15-year contract to JCDecaux without a formal competitive tender process. Liberal Democrat councillors immediately raised the alarm, ‘calling in’ the decision for formal scrutiny to enable transparency and adherence to contract law.
Ahead of the scrutiny meeting that took place on 7th May 2024, Liberal Democrat councillors submitted detailed questions about the legal basis for the decision and the value of the contract. At the 7th May meeting Labour Council bosses were forced to admit that the contract’s value exceeded the threshold that triggers a legal requirement for a full public tender. The council subsequently undertook a proper procurement process resulting in a new provider, Clear Channel UK, winning the contract.
Recent answers to questions raised by the Lib Dems have confirmed that the new contract arrangements will bring in up to £2.5 million more to the Council over the life of the contract.
Councillor Nigel Ayre, Liberal Democrat Group Leader said:
“In their rush to sign off a deal behind closed doors they made a potentially unlawful decision that would have denied residents better value for money. We stepped in to hold them to account and the result is a significantly better financial outcome for York.
“This isn’t just a technical victory, it’s £2.5 million that can now be spent on our roads, ease parking charges, or helping to blunt the impact of the Labour Government’s cut to the Winter Fuel Allowance.
“While Labour sleepwalked into a costly mistake, it was the Liberal Democrats who stepped in, asked the right questions, and delivered real value for local taxpayers.”
The Liberal Democrats have also raised concerns about the quality and safety of the bus shelters themselves with some glass shelters subject to being vandalised, creating hazards for pedestrians and bus users.
Councillor Stephen Fenton added:
“We need to think not just about advertising revenue but about the long-term safety and resilience of the infrastructure. Residents have repeatedly raised concerns with councillors about glass panels being regularly smashed leaving dangerous shards on pavements and at bus stops. This was a clear opportunity to push for stronger, safer materials and tackle a well-known problem, and I hope that the new contract will deliver real improvements.”