Figures reveal exactly how much money council has received from Harrogate Spring Water

Harrogate Borough Council has received almost £500,000 from Harrogate Spring Water since 2017 as a share of the company’s annual turnover, new figures reveal.

The council owns the land where the company is based on Harlow Moor Road and receives £13,000 a year in ground rent.

Harrogate Spring Water also has to pay a percentage of annual turnover to the council. This is known as turnover rent.

The turnover rent agreement was drawn up in the early 2000s when the council granted planning permission to build a bottling plant on land leased to the company.

However, the figure has never been made public.

Two-year battle

For almost two years, the Stray Ferret has tried to find out exactly how much the council benefits from the success of the Danone-owned company.

We first asked the question to HBC in a freedom of information request in January 2021, almost two years ago.

But the council refused to tell us. It said:

“This information is deemed to be of commercial value and, if disclosed, may impact on the council’s ability to negotiate and harm its legitimate interests, putting it in a commercially disadvantageous situation.”

We then requested that HBC undertake an internal review of this decision.

However, Joanne Barclay, acting chief solicitor at HBC, came to the same conclusion, adding “confidence may be eroded if commercial rents were to be disclosed”.

In summer 2021, we submitted a complaint about the council’s decision not to disclose the sum to the Information Commissioner’s Office (ICO).

ICO is an independent government body that promotes openness within public bodies.

After a long delay due to a backlog, it investigated HBC’s refusal and asked the council to look again at the Stray Ferret’s question. It has now decided to publish the figures for the last five years.

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Finally publishing the figures

Earlier this year, the BBC’s Local Democracy Service revealed that HBC receives 0.5% of the company’s annual turnover.

It estimated the council received £853,033 over an 18-year period, however, new information suggests that is likely to be a higher figure.

Since 2017, HBC has received £495,000.

Company accounts published on Friday revealed turnover has returned to pre-covid levels after dipping significantly due to the pandemic.

Each year, the council has received the following sum from Harrogate Spring Water in turnover rent:

2017  – £92,811.87

2018  – £138,026.18

2019  – £91,153.15

2020  – £152,332.02

2021  – £21,995.79

Global brand

Harrogate Borough Council and Harrogate Spring Water’s histories are intertwined.

Water has been bottled in Harrogate for centuries but in the early 1990s Harrogate Spa Water, as the company was previously known, was selling just 1,000 bottles of water a year.

The company’s fortunes changed in the late 1990s when HBC, run then by the Liberal Democrats, identified an opportunity to explore water resources at the current site on Harlow Moor Road.

Harrogate Spring Water has since gone from strength to strength to become a global brand.

The relationship between the two organisations has come into focus due to Harrogate Spring Water’s attempts to expand its bottling plant into Rotary Wood.

The council has always maintained that its status as planning authority and Harrogate Spring Water’s landlord are separate.

A Harrogate Borough Council spokesperson said:

“We have had a base rent and turnover rent agreement in place with Harrogate Spring Water Ltd since 2002.

“As with all of our rental agreements, the money generated is used to help deliver valuable front-line services across the Harrogate district.”

Harrogate Spring Water reports £23m turnover but still makes a loss

Harrogate Spring Water saw sales return to almost pre-pandemic levels last year but still made a loss.

The company, which is owned by French multinational Danone, last week published its latest annual financial report covering the period from December 2020 to December 2021.

During this period, the company reported a turnover of £23m and a gross profit of £6.9m.

However, despite the improved sales figures for 2021, the company still made a loss of £1.3m after costs, expenses and tax.

Bouncing back

The healthy sales figures reflect how the bottled drinking water firm bounced back after its previous report, which covered March 2020 until December 2020, and saw revenue fall sharply.

The decline in 2020 was mainly due to hotels and restaurants that serve its water being closed due to covid.

Turnover in 2021 returned close to its pre-covid figures for 2019/20, when it recorded a turnover of £26.2m in the 12-month period ending March 31 2020.

Harrogate Spring Water declined to make a comment on the accounts.

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The Pinewoods expansion

Meanwhile, Harrogate Spring Water is preparing to submit a new planning application to expand its bottling plant in the Pinewoods.

The company was granted outline planning permission to expand to the west of its existing site in 2016, which meant the principle of development had been established but the details had not been agreed.

The reserved matters application provoked a major backlash due to the loss of trees at Rotary Wood. In January 2021, councillors on the planning committee voted overwhelmingly to reject it— against the wishes of council officers who had recommended approval.

The firm held a consultation on plans for its Rotary Wood site this summer and said it would now provide a further update “in the coming weeks”.

Campaigner accuses Harrogate Spring Water of ‘greenwashing’ over expansion plans

A campaigner has accused Harrogate Spring Water of “greenwashing” over its latest plans to expand its plastic bottled water plant over a community woodland.

Sarah Gibbs, who has staged several protests dressed as a tree, said she had seen “no evidence” from the company on how it will manage the environmental impacts of the proposed expansion at Rotary Wood, which was planted by children 17 years ago.

Her comments come as Harrogate’s Green Party, Extinction Rebellion and other campaign groups are set to protest against the plans today.

Harrogate Spring Water, which is owned by French firm Danone, recently held a public consultation and is now “finalising” its proposals after a larger expansion was refused by Harrogate Borough Council last year.

Ms Gibbs said she took part in a recent consultation event, but added she was left with more questions than answers. She told the Local Democracy Reporting Service:

“I am interested to know how Harrogate Spring Water are finalising plans without a recent ecological survey.

“I attended the public consultation and saw no evidence of this, nor any evidence of an arboricultural impact assessment or tree protection plan.

“What I did see was a great deal of greenwashing, for example, launching a litter picking campaign.

“I have found Harrogate Spring Water bottles littering the streets of Harrogate and London.

“This is not a solution to a problem perpetuated by this industry.”

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In response, a Harrogate Spring Water spokesperson said the company would listen to all concerns from the community and that environmental impact assessments would be provided when the new proposals are revealed in full.

The spokesperson said:

“We remain committed to this approach and to taking on board people’s views about the design and landscaping of the proposed extension, which was granted outline planning permission by Harrogate Borough Council in 2017.

“We are currently putting together our updated proposals for how the new building will look and how the surrounding area will be landscaped.

“We intend to put these proposals on display to the public to gather their thoughts before we send our updated reserved matters proposals to the council.”

When the larger expansion plans were refused in January 2021, the council was accused of putting “profit and plastic before the environment” as the authority recommended approval.

This sparked a huge backlash by the community, and the plans were later rejected by members of the council’s planning committee who said they could not support the recommendation as approval would have been “damaging” for Harrogate’s image.

Harrogate Spring Water plant

Harrogate Spring Water, Harlow Moor Road in Harrogate.

Harrogate Spring Water then announced it would revert back to original plans for a smaller expansion, although questions remain over how much of Rotary Wood could be felled as the final designs have yet to be revealed.

Ms Gibbs, who will hold a protest walk from Harrogate Convention Centre to Rotary Wood on Sunday, said she was against the expansion altogether as the woodland needed to be protected because of its “great importance” to biodiversity and the community.

She said:

“If Harrogate Spring Water and Danone indeed listened to the community, they would not still be considering the deforestation of Rotary Wood.

“It is, in part, due to community action and outcry that the further expansion on the outline planning was refused.

“It is important that the people of the Harrogate district, and beyond, understand that they can be truly heard, and that their efforts to save Rotary Wood were not, and are not in vain. Still.”

Harrogate Spring Water investigating new water sources on council land

Harrogate Borough Council granted permission for Harrogate Spring Water to test the council’s borehole at its horticultural nursery on Harlow Hill, documents reveal — so the company could explore a potential new water source. 

The Stray Ferret has obtained emails between the company and the council via a freedom of information request. They reveal Harrogate Spring Water tested the borehole in May this year and is continuing to investigate groundwater in the area.

Boreholes are used to extract water from the ground. Harrogate Spring Water bottles water from a bore hole at its headquarters on Harlow Moor Road, on land owned by the council and leased to the company.

Much of the land surrounding the facility, including the Pinewoods and Harlow Hill nursery, is also owned by the council.

As part of the firm’s lease agreement with the council, water is extracted from two boreholes on the Harlow Moor Road site. There is a third borehole on Pennypot Bridge.

The council grows its floral displays at Harlow Hill nursery and sells plants, pots and compost to the public there, although it plans to sell the site for housing and move the nursery elsewhere. It also has a on-site borehole that it uses to water plants.

Investigations in the area

Harrogate Spring Water is set to submit fresh plans to increase the size of its bottling plant within the next few months and emails suggest the company may also be looking for new sources of water to help the company expand.

An email from Harrogate Spring Water to the council, dated June 6, reveals the council gave the company permission to perform “some testing work” on its borehole at Harlow Hill nursery in the previous month.

However, it says the results “weren’t what Harrogate Spring were looking for”.

Email from Harrogate Spring Water to Harrogate Borough Council on June 6

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The email continues to say the company would like to survey the land around Harlow Moor Road to find out “where the best potential for water might be and how the water is working”.

Follow-up emails between two council officers, whose names were redacted, query if these tests are to identify new water sources.

A spokesperson for Pinewoods Conservation Group, the charity that looks after the Pinewoods, said the testing of boreholes in the area was a “major concern”.

They said the charity had received reports from visitors of investigative works taking place in the Pinewoods recently, adding:

“We’ve had assurances before around no further expansion plans but confirmation that more boreholes are being investigated around the Pinewoods area is a major concern for us.

“Several visitors reported seeing investigative works happening within the Pinewoods itself recently, without any notice of this from either Harrogate Spring Water or Harrogate council.

“We would encourage all parties to be transparent on their longer terms plans and involve the relevant stakeholders as required.”

Harrogate Spring Water’s statement

A spokesperson for Harrogate Spring Water confirmed it had performed testing at the council borehole at Harlow Nurseries. It said this was to “understand the potential availability of water” from beneath the ground.

They said it is also exploring the land around Harlow Moor Road and the Pinewoods for similar reasons.

They described this as a “routine part” of the management of their water sources.

The spokesperson also said the company had “no immediate plans” for a new borehole, but that if “an opportunity to enhance our water security arose”, they would consider it.

The full statement is below:

“Over the summer, we have been doing a geophysical survey of parts of the land to the rear of our facility in order to create a 3D map of its geology.

“The reason for the survey is to better understand the bedrock geology in the area as part of our aquifer management and to better understand the potential water capability of the aquifer. This is a routine part of the responsible management of our water source, alongside work such as weekly monitoring of borehole performance via depth and meter readings and weekly rainfall recording.

“We work with a local family-run company that helps us manage our boreholes and explore the areas around Harrogate for new sustainable sources of high-quality water, which is a prudent part of responsible water management.

“We have no immediate plans for a new borehole, but if an opportunity to enhance our water security arose, and a landowner showed an interest in having us drill on their land, we would work with that landowner and the Environment Agency to ensure that any source was 100% sustainable, in compliance with the regulatory regime.

“The boreholes which we use take up only a few square metres of land, which is normally in a corner of a field or hidden by a screen of shrubs or trees.”

Harrogate Spring Water ‘finalising’ latest expansion plans

Harrogate Spring Water has said it is finalising the latest expansion plans for its bottled water plant – more than a year and half after previous proposals were rejected following widespread opposition in the town.

The firm held a consultation on plans for its Rotary Wood site this summer and said it would now provide a further update “in the coming weeks”.

That same phrase was used by the Danone-owned company in January 2021 when it said new designs would be revealed “in the coming weeks” after its larger expansion plans were refused by Harrogate Borough Council.

Twenty months on, there is no new application from the firm.

Harrogate Spring Water was first granted outline permission to expand in 2017, however it failed to get approval for final designs which were 40% larger than original plans and would have seen more trees chopped down at Rotary Wood which was planted by children 16 years ago.

The company later announced it would revert back to its original plans and has now released a new statement this week.

A company spokesperson said:

“We started our public consultation process in June because it was important for us to ensure that, as we look to grow, create further job opportunities and continue to support the local and regional economy, we listen to the local community.

“This process has included individual meetings with community stakeholder groups as well as an open public consultation event, allowing people to have their say on the design and landscaping of the proposed extension and surrounding land.

“We have taken these views on board as we work towards finalising our plans for the reserved matters application.

“We anticipate providing a further update on this matter in the coming weeks.”

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More than 400 objections were lodged against the larger expansion plans which councillors claimed put “profit and plastic before impact on the environment” as they voted for refusal in January 2021.

Harrogate Spring Water previously made a commitment to replace felled trees at a rate of two to one and has since said it is looking at ways to “achieve net biodiversity gain” at its site.

Harrogate Spring Water

Harrogate Spring Water’s headquarters.

It also said the expansion would create 30 jobs and that there is “potential” to make Rotary Wood more accessible to the public.

Speaking earlier this year, the company’s managing director Richard Hall said:

“We feel it is vital for us as a business to take our environmental responsibilities seriously.

“We also want to work in partnership with the local community on this.

“We want them to help shape the woodland into the resource which they would like to see and ensure our extension blends in as well as it can into the surrounding area.”

Free heritage days revealed for Harrogate

People will get a rare opportunity to explore Grove House, the former home of Samson Fox, during next month’s Heritage Open Days.

The historic house, off Skipton Road, is one of 23 heritage sites in Harrogate opening their doors for free from Friday 9 to Sunday 18 September for free open days.

It is part of a national scheme celebrating history and culture that enables people to see places that are often closed to the public.

Sponsored by Harrogate Spring Water and coordinated by the Harrogate Civic Society, this year’s festival includes guided tours, talks and music recitals.

There will be the chance to discover Harrogate’s spa history at the Royal Pump Room Museum, explore the Royal Hall, Harrogate library and The Harrogate Club, join a tour of Harrogate Theatre, climb a tower, or take part in one of four different heritage walks.

Seven religious sites will be open, some with special music recitals or talks, and there are tours at Stonefall Cemetery.  Plus a castle, a well, a heritage centre, and even a council chamber to explore.

The opening of Grove House and its gardens is one of this year’s new features.

Graeme Lee, chief executive at Springfield Healthcare, which owns the house, has plans to transform the site into a new care project.

Mr Lee said:

“We’re delighted to be part of Harrogate’s Heritage Open Days and share the remarkable heritage of Grove House, the former home of Samson Fox, Harrogate’s famous engineering inventor, benefactor, and mayor.

“When I bought the building I knew we had a unique opportunity to restore this beautiful Grade II listed house and grounds into high quality retirement apartments and a luxury care home for the community, whilst safeguarding the property’s rich heritage.

“We’re looking forward to opening our doors to showcase one of Harrogate’s oldest buildings, share stories of its past and the exciting plans for the future.”

‘Most varied programme for years’

Stuart Holland, chair of Harrogate Civic Society, said:

“This year’s Heritage Open Days programme in Harrogate is the most varied and
interesting for some years, with a fascinating mix of the town’s historical, cultural, civic and religious sites to explore.

“The Harrogate Civic Society helps to coordinate participation by local venues in this festival, but all the hard work is done by the volunteers who open the doors, host the tours, and welcome their visitors.  They all deserve our thanks.”

Richard Hall, managing director at Harrogate Spring Water, said:

“At Harrogate Spring Water, we have always been immensely proud to continue Harrogate’s rich legacy.  From the town’s Victorian spa town heritage to its status today as a hub of culture and hospitality, we are delighted to lend our support to the 2022 Harrogate Heritage Open Days.”

Heritage Open Days, which is England’s largest festival of history and culture, is presented by the National Trust with support from players of People’s Postcode Lottery.

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Residents unconvinced about Harrogate Spring Water’s expansion

Harrogate residents remain unconvinced about Harrogate Spring Water‘s plans to fell trees in Rotary Wood to expand its bottling plant.

The company, which is now owned by the French firm Danone, held a three-hour consultation event yesterday at Harrogate’s Crown Hotel.

It was a chance for people to make suggestions on the design and landscaping of the proposed extension. The company said the responses would influence its final design.

Since 2017, it has had outline planning permission to expand its production facilities on its site on Harlow Moor Road that would involve felling trees.

It is now putting together a ‘reserved matters’ application which will detail how the new building will look, how the surrounding area will be landscaped and crucially, where new trees will be be replanted.

The Stray Ferret went along to speak to attendees and representatives of Danone, including Harrogate Spring Water’s managing director Richard Hall.

Passionate views

Throughout the evening there was a slow trickle of curious people looking at display boards that offered background on the plans and reasons why the company feels it needs to expand. The boards are available to view online here.

Some saw the event as a chance to passionately tell Mr Hall what they feel are the wrongs of the company, including the merits of plastic bottles.

Sarah Gibbs has been a long-term campaigner against the expansion and often dons her trademark tree costume. She said:

“My stance is we are in a climate emergency. We need to start acting like it. Why do we need bottled water?”.

Rotary Wood

Rebecca Maunder campaigns for the environment in the Harlow Hill area.

She believes it’s not a certainty that the trees will be lost if a case can be made that any replacement tree planting proposals are insufficient.

She suggested the company should instead look to expand its premises in different ways.

“They should build it on their car park.”

Ms Maunder said Rotary Wood “belongs to all of us” and is worried the business will look to further encroach into the woodland in the future.

She added:

“In three years they might want more space.”

How the site currently looks from above.

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Complex issues

When Harrogate Borough Council’s planning committee considered the company’s last bid to expand in January 2021, it was for some, a simple battle between the profits of a private business and the environment.

Richard Hall said to frame the debate in these terms is unfair and is “more complex” than what is sometimes presented.

When asked if he is personally concerned about the effects of climate change. He said:

“I think that everyone is thinking about the climate. I’d like to behave in a way that takes into account the future”.

Mr Hall confirmed the company still wants to plant trees in a private field behind RHS Harlow Carr, as it proposed last time, but this is “not enough” and it wants to plant more.

Mr Hall said they have been in talks with some landowners but are yet to come to any agreements.

Last time many objectors, including local climate scientist Professor Piers Forster, were unhappy that the felled trees would be replaced elsewhere with saplings, which are much less effective at soaking up CO2 emissions.

Mr Hall said the company is looking into how the new trees can ensure a “biodiversity net gain”.

On Rebecca Maunder’s car park suggestion, Mr Hall said it was not possible due to a sustainable drainage system underneath.

Sadness

Terry Knowles is a member of Rotary Club of Harrogate and chaired the group’s environmental committee from 2000 until 2015.

Mr Knowles is a key reason the trees were planted there in the first place, which began in 2005 and took around four years.

Terry Knowles inspecting the boards

Speaking in a personal capacity, he said he felt sadness that some trees that he planted with local schoolchildren, who are now adults, could be lost.

He said:

“Bottled water is not an environmental product. The last permission was in 2017 and a lot has changed since then.”

Public meeting next week over Harrogate Spring Water expansion plans

Harrogate Spring Water is to hold a public consultation event next week for its plans to expand in the Pinewoods.

The company announced today it would stage the event at Harrogate’s Crown Hotel from 4pm to 7pm on July 13.

Local residents are invited to attend and find out more about the proposals and to share their views.

The event takes place in the Byron suite of the hotel on Crown Place in Harrogate town centre.

Since 2017, Harrogate Spring Water has had outline planning permission to expand its production facilities on its site on Harlow Moor Road.

The company is now putting together a ‘reserved matters’ application which will detail how the new building will look and how the surrounding area will be landscaped.

The controversial plan would involve felling trees in a section of the Pinewoods known as Rotary Wood.

Next week’s is part of a series of consultation meetings with the local community and stakeholder groups allowing people to have their say on the design and landscaping of the proposed extension and surrounding land.

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A final application will then go on public display before being submitted to the council.

Richard Hall, managing director of Harrogate Spring Water, said:

“As we look to grow, create further job opportunities and continue to support the local and regional economy, it is important that we listen to the local community.

“That’s why we would encourage people to engage with us on this process by coming along to the meeting on July 13, to give us the benefit of their views and to help shape the future of the company.”

Anyone who cannot come along on the day can have their say via a dedicated webpage here.

 

Rotary Wood campaigners stage demo in Valley Gardens

Environmental campaigners held a demonstration in Valley Gardens at the weekend to raise awareness of the threat to Harrogate’s Rotary Wood.

Harrogate Spring Water, which is owned by French firm Danone, has revived 2017 plans to fell trees in Rotary Woods so it can expand its bottling plant.

The company’s plans would involve removing a smaller area of woodland than it proposed in a failed planning application last year.

But campaigners are still concerned about the loss of trees in part of the Pinewoods that was planted by children in 2005 to help tackle climate change.

Harrogate forest school teacher Sarah Gibbs donned her tree costume to join fellow activists during Saturday’s four-hour gathering, which aimed to tell people about Rotary Wood and the company’s expansion plans. She said:

“This issue has really touched my heart. I’m a born and bred Harrogate girl as well as a teacher and knowing children planted this wood to tackle climate change, to say it’s OK to destroy it would send out a terrible message.

“Surely after lockdown we are more aware of the value of green space to the environment and to mental health.”

Rebecca Maunder, who also took part in the protest, said:

“The aim today is to raise awareness that this is on the agenda again. A lot of people still don’t realise it is.

“Harrogate Spring Water wants to have a consultation with local people so they need to be informed about what’s going on.”

Graham Dixon, who was also present, said:

“The best way to get people to care about what’s happening is to come out and tell them.”

‘Net biodiversity gain’

Harrogate Spring Water has said it wants to achieve “net biodiversity gain” for the site, carry out a compensatory tree planting scheme and will make the remaining part of Rotary Wood more accessible to the public.

It is currently consulting on its plans before submitting a formal reserved matters planning application to Harrogate Borough Council. It says the expansion would create 30 jobs.

Richard Hall, managing director at Harrogate Spring Water, said previously:

“We have a shared interest in driving prosperity for the town and creating a sustainable future for a key business that takes the Harrogate name around the UK and the world, and we hope that this process will allow us to come to a resolution which addresses people’s concerns and the town’s aspirations.”

Tributes paid across Harrogate district for Harry Gration

People across the Harrogate district have been paying tribute to Yorkshire broadcasting legend Harry Gration, who died suddenly on Friday.

Helen Mackenzie won Harry’s Heroes last year — a Stray Ferret  competition in partnership with Harrogate Spring Water and Harry to find the people in the district doing exceptional things to help others in the community.

Helen won for her role in starting Back to Basics in 2019 in Ripon, which gives families ingredients and instructions on how to make meals.

Today she said:

“I was so shocked and saddened to hear of Harry’s sudden passing.

“As Harry’s Heroes last summer I had the pleasure of meeting him in the flesh when he presented my award. It’s so lovely when you finally meet a celebrity and he turns out to be just as nice as he is on the telly.

“I was honoured to be the first Harry’s Hero. I am devastated that I am also the last. Hopefully this wonderful accolade can still be kept alive by Harry’s colleagues in his memory.

“My love and prayers go to his wife and family. Rest in Peace, Harry.”

Helen Mackenzie with Harry and Alex Hutton (centre), who nominated Helen.

Harrogate Spring Water described Harry as a “true gentleman” in a tweet.

We were honoured to have worked with Harry on our Harry’s Heroes campaign. What a true gentleman. RIP Harry. https://t.co/Qat66Km7ne

— HarrogateSpringWater (@HarrogateSpring) June 27, 2022

 

Sue Cawthray, from elderly care charity Harrogate Neighbours sent us this message:

“Together with Yorkshire, I am still in shock at such sad news. Can’t believe I was only sat listening to him last Saturday 18 June at the Harrogate Brigantes Rotary Dinner. So funny, entertaining and interesting. Always a supporter of local charities.

“Lovely memory of a news story we did with him on our meals service at Harrogate Neighbours. Was a pleasure to meet him on several occasions through the work I do as a member of the ICG board.”

Artist Caryl Hallett designed the stained glass monument in Harrogate’s Montpellier district that was commissioned by Harrogate Borough Council to celebrate the town hosting the Tour De France Grand Depart. Harry came along to support when it was unveiled.

Caryl’s husband, Shaun Hallett, said:

“He was interested, inquisitive, friendly, helpful, and charming.
 “Hopefully, Caryl’s piece will be enjoyed by many for years to come and will help to represent a legacy that has been steadily building in terms of local cycling participation.
“There can be no doubt that Harry’s legacy as a journalist, presenter, and reporter of the very highest quality is firmly cemented in the hearts and minds of Yorkshire people. “
Caryl Hallett with Harry in 2014

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