Editor’s Pick of the Week: Costly consultants, a bad tempered by-election and Brian Deane

Some stories seem to go on forever, achieving little beyond years of work for consultants and council officers.

Take the Harrogate Convention Centre refurbishment. A response to a Stray Ferret freedom of information request asking how much has been spent on consultants discovered the sum was £1.9 million since 2016.

The vast majority went on a firm whose plans were recently scrapped. The solution? Hire new consultants to come up with a fresh vision!

An in-depth article by my colleague John Grainger this weekend looks at the refurbishment options. Convention centre director Paula Lorimer, who was named in the annual Taxpayers’ Alliance Town Hall Rich List this year for her £121,828 salary, declined to speak to us for the article.

It’s been a big political week with the Liberal Democrats winning the Stray, Woodlands and Hookstone by-election. The ill-feeling between local Lib Dems and Conservatives was palpable at Thursday night’s count. On the previous night, the Stray Ferret chaired a mayoral hustings event in York.

Brew York announced it was coming to Knaresborough but my personal highlight this week was news of a Beatles exhibition coming to Harrogate. Not so much because it’s the Fab Four but because sharp elbowed former footballer Brian Deane, who often pops up in Harrogate, retweeted our post on X about it.

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What are the options for Harrogate Convention Centre?

In an anonymous-looking office in south-east London, a handful of thirtysomethings are racking their brains to come up with a sensible plan for the future use of Harrogate Convention Centre (HCC). 

The exercise to “explore opportunities in the marketplace and appraise the best options for taking the venue forward” comes after North Yorkshire Council (NYC) decided last month to abandon the proposed £57 million development of HCC, citing complexities and costs. 

The centre needs investment, and it currently relies on a £2.7 million subsidy. Two applications for grant funding from the government have failed, so new thinking is needed.  

As the Stray Ferret revealed this week, North Yorkshire taxpayers are handing the team from London consultancy 31ten £23,000 plus VAT for the “soft market testing” project, which is due to conclude by “late spring”. So what might the consultants suggest? 

A report for the council’s ruling executive that took the decision to ditch the redevelopment stated: 

“Options may include, but are not limited to, alternative delivery and funding models, partnership working, alternative uses for parts of the site, and asset ownership.” 

In other words the council, which is looking to make serious savings over the coming years, is open to pretty much any suggestion, so long as it sounds viable. Everything, it seems, is on the table. 

Harrogate Convention Centre, which is earmarked for a £47 million renovation.

In January, the Stray Ferret discovered the council had already spoken to private companies about the possibility of selling the convention centre. 

Council chief executive Richard Flinton told Harrogate District Chamber of Commerce that the council wanted to “understand private sector interest in the building” although he added “that doesn’t necessarily mean the council will look to offload it”. 

A more likely scenario could see parts of the site sold off, rather than the whole thing. That’s an option Simon Kent would be tempted to take. Mr Kent worked at Harrogate Convention Centre for 15 years from 2004, leaving in 2019 after more than six years as director. He told the Stray Ferret: 

“The main part of the convention centre is integrated, with parts of it underground, so you couldn’t knock bits of it down. But the exhibition halls are different. If some events were moved elsewhere, those could potentially be sold and redeveloped for other uses.  

“So perhaps there could be an option to move some of the events to the Great Yorkshire Showground and connect them to Harrogate via a shuttle bus. Whatever happens, we need to keep events coming to the town, even if they don’t come to Harrogate Convention Centre. From an economic point of view, the business would remain in Harrogate, so the impact would still be there.

“Clearly, the business is important to the town, so we have to be creative and make sure it stays in the town.” 

The business is indeed important to the town – it’s estimated to be worth £45 million a year to the local economy – which is why the council is looking at some radical options. 

Not many are as radical as the one suggested to the Stray Ferret by Andrew Williams. As North Yorkshire councillor for Ripon Minster and Moorside, he’s long been vehemently opposed to using public money to prop up the convention centre, which he believes is of no benefit to taxpayers beyond Harrogate. He told us: 

“I very much welcome North Yorkshire Council’s decision not to go ahead with investing £57m – more than the original £33m cost of building it – in what I think is a white elephant. It would be very helpful to get some private equity investment in so that it wasn’t as much of a drain on public finances.” 

He thinks the convention centre should put its money on a more imaginative approach. He said: 

“When conventions aren’t taking place, it should be used for more leisure activities. I’ve always thought a casino would be a good idea. 

“York has considerable trade in bachelor and hen weekends – go out in York on a weekend evening and it’s packed with young visitors – but Harrogate doesn’t have any of that, because there’s nothing to attract them. 

“Harrogate should be marketing itself as a destination for leisure activities in a way it clearly isn’t at the moment.” 

The idea of repurposing some of the site already has currency, albeit not yet in the form of casino chips. Paula Lorimer, director of the the convention centre, would like to reconfigure some of the conference rooms to create breakout space, a move she believes could bring in an extra £1 million a year. 

The Stray Ferret contacted Ms Lorimer – who, with an annual salary of £121,818 was recently revealed to be one of this district’s best paid public servants – for this article many times over the course of more than a month, but she did not reply.

Photo of Paula Lorimer outside Harrogate Convention Centre.

Paula Lorimer, director of Harrogate Convention Centre

Failing these options – selling it off, selling off parts of it, or repurposing it – there is another route the consultants could go down. Partnership working can yield benefits all round, allowing each party to play to their strengths. It’s an approach tentatively favoured by Kim Wilson, co-owner of The Camberley B&B, which is just across King’s Road from the convention centre. She said: 

“Parts of the convention could possibly be run by other bodies – for example, the Royal Hall could easily be run by Harrogate Theatre – so we’ll just have to see what’s out there. 

“It really comes down to what we want the convention to be. Is it a public asset with government support, or is it better as a privately-owned venture that goes out chasing business more aggressively? 

“My husband thinks it should be a protected asset, but I’m less fixed in my view. If it does get a partner in, they’ll have to be very careful when they’re choosing them – it’s about getting the right fit.” 

For Paula Lorimer and her team, what to do with a convention centre faced with unprecedented competition from – among others – London, Manchester, Edinburgh, Glasgow, Liverpool, Brighton and Blackpool is clearly a conundrum worth spending money to solve. 

But for Simon Kent, who has been entrusted with the archives of late local historian Malcolm Neesam, it all seems quite familiar. He said: 

“This isn’t the first time the convention centre has come to this point – there have been lots of exercises like this. In 1990-91, it looked at getting private-sector investment – it was the first thing the Liberal Democrats did when they got in. Then in 2000 there was another effort to get funding through Yorkshire Forward.

“People often think it all started in 1982 when the conference centre opened, but we were doing conferences and trade fairs in Harrogate as far back as the 1880s, so it was the natural thing to invest in that as the spa industry declined.

“It’s still a viable business, and people clearly still like coming to Harrogate, so it must have something. It’s just a matter of understanding what that is and capitalising on it.”

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Council predicts positive future for Harrogate Convention Centre despite scrapping £57m redevelopment

Senior Conservative councillors confirmed this morning that a proposed £57 million redevelopment of Harrogate Convention Centre will be scrapped.

But they offered a positive outlook for the facility’s future and heard it could operate without a £2.7m annual council subsidy in less than three years if it can attract outside investment to make smaller improvements.

North Yorkshire Council’s executive met in Northallerton this morning and agreed to discontinue the project it inherited from the defunct Harrogate Borough Council.

A council officer described the project as unaffordable and blamed spiralling building costs which have seen the cost jump from £49m to £57m.

It also failed in a bid to win Levelling Up money worth £20m from the government that would have helped to pay for the project.

The council’s executive member for finance Cllr Gareth Dadd said it had been a “long and arduous task” to get to a decision on the redevelopment which he said would have achieved “dubious outcomes to say the least”.

Executive member for corporate services, Cllr David Chance, said it would have been “ludicrous” to move forward in light of the current financial predicament facing the authority.

The council is facing a £41.6m deficit in its budget this year with significant financial pressures on adult social care and special educational needs.

Cllr Dadd said:

“It was our job to get under the bonnet of the issues and see how the landscape has changed.”

The council will now undertake market testing to see if the venue can attract investment from the private sector or elsewhere. Cllr Dadd also proposed that the council writes to each mayoral candidate for the upcoming York and North Yorkshire Combined Authority urging them to support further investment.

Despite scrapping the redevelopment, Cllr Dadd maintained the council was committed to improving the convention centre and said it was “not the end of the story, far from it”.

The Harrogate Convention Centre opened in 1982 with conferences and events providing a boost to the town’s bars, restaurants and hotels.

North Yorkshire Council says the convention centre contributes £45m a year to the wider Harrogate district economy which Cllr Dadd said “should be ignored at our peril”.

Convention centre director Paula Lorimer came out against the redevelopment, arguing to do so would be counterproductive as it would involve shutting the venue for large periods.

Ms Lorimer is a proponent of creating new break-out spaces for conference delegates, which she believes could attract £1m additional income each year.

She told councillors that last year was the venue’s most successful in many years and if the upturn continues, along with a more commercial business model and investment, the convention centre could be “cost-neutral” for the council within just three years.

Ms Lorimer also suggested the venue could be renamed to reflect “a broader Yorkshire identity”. It was previously known as the Harrogate International Centre until 2017.

She said:

“I’m very committed to getting investment in the HCC but not at any cost, I do feel there are better ways of investing tactically, so we can do parts of the venue each year.”

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Council ‘not considering’ sale of Harrogate Convention Centre

North Yorkshire Council has said it has no plans to sell Harrogate Convention Centre nor has not it received any offers of private investment for the ageing facility.

It comes as a decision day on a proposed £49m redevelopment moves nearer.

The new council inherited a plan to upgrade the facility from the now-abolished Harrogate Borough Council so it can better compete with rival convention centres in the north.

The convention centre opened in 1982 and its conferences and other events have provided a boost to the town’s bars, restaurants and hotels. However, it has struggled to make a profit.

It still remains unclear how North Yorkshire Council, which is looking to slash £70 million from its budget over the next three years, will pay for the redevelopment.

Harrogate Convention Centre.

Harrogate Convention Centre.

A decision is planned later this summer. If approved, construction work could begin early next year.

North Yorkshire Council’s Conservative deputy leader, Cllr Gareth Dadd, said:

“Design work is progressing for the Harrogate Convention Centre redevelopment project and we are working towards a decision relating to the construction work early in 2024. We will continue to explore any external funding opportunities that arise in the future and in the interim.

“We have not received any offers of private investment nor have we been considering a sale.”

Economic impact of Harrogate Convention Centre

A council report published this year described the convention centre as the largest driver of economic impact in the district with many venues depending on the business through its conferences and exhibitions.

Using Visit Britain methodology, the report predicted the convention centre will boost the local economy by £31 million during 2022/23.

If the redevelopment goes ahead, it’s hoped the upgrade will increase the centre’s visitor numbers from 147,000 in 2020 to 192,000 in 2040, with profits of £29 million over a 40-year period.

In February, Harrogate Borough Council failed in its £20m Levelling Up Fund bid for the redevelopment but at the time, convention centre boss Paula Lorimer suggested the council would bid again for funding in its third round.

Ms Lorimer warned that Harrogate would “wither on the vine” if its convention centre ever closed.

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Harrogate council spends £45,000 on outside help for failed Levelling Up bid

Harrogate Borough Council has revealed it spent £45,000 on outside help when it put together its failed bid for government Levelling Up money.

Last year the council bid for £20 million that would have gone towards a proposed £49 million redevelopment of Harrogate Convention Centre.

But the bid was refused by the government last month, throwing into doubt the future of the venue it has owned and run since opening in 1982.

Following a freedom of information request by the Local Democracy Reporting Service, the authority said it spent £45,000 on “legal, design and financial input and guidance” related to the bid proposal.

A council spokesperson said this was to “ensure the best possible chance” of it being successful.

Despite Harrogate being in the lowest priority area for Levelling Up funding, convention centre director Paula Lorimer told councillors at a meeting last week it would likely bid again when a third round of funding worth £1 billion opens.

Ms Lorimer warned Harrogate would “wither on the vine” if the facility closed because of its importance to the town’s business and leisure sectors.

The ownership of the venue will be handed over to the new North Yorkshire Council on April 1.

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Andrew Williams, North Yorkshire independent councillor for Ripon Minster and Moorside on North Yorkshire County Council, said he didn’t begrudge Harrogate Borough Council bidding for Levelling Up money but the refusal should show the council “that the government doesn’t think the redevelopment is worthwhile.”

Cllr Williams said:

“The conference centre is going to be a millstone around anybody’s neck.

“There needs to be serious thought put into what commercial uses it can become so that it will not be a drain on the public purse. I don’t support spending £50 million on a business that’s still losing money. Enough is enough when resources is tight.”

A Harrogate Borough Council spokesperson said:

“The costs associated with our bid for the government’s Levelling Up Fund included significant legal, design and financial input and guidance.

“This was required to ensure the best possible chance of the Harrogate Convention Centre’s £20m submission being considered.

“We were disappointed not to be award a grant in this round of funding. But we remain hopeful and have everything we need to submit a bid for any future rounds or other opportunities for government funding.

“We have not yet received any feedback from the Department of Levelling Up, Housing and Communities as to why we were unsuccessful.”

Warning that Harrogate would ‘wither on the vine’ without convention centre

Harrogate would ‘wither on the vine’ if its convention centre closed, the woman in charge of the facility has warned.

Harrogate Convention Centre director Paula Lorimer and Harrogate Borough Council’s director of economy and culture, Trevor Watson, updated councillors on Monday night about £49m plans to redevelop the council-run building so it can better compete with rival convention centres in the north.

Mr Watson said the council has now appointed a contractor to draw up more detailed plans for the redevelopment. But whether the vision is ever realised is far from certain.

North Yorkshire Council will make a final decision on whether the project goes ahead in the summer.

Ms Lorimer said she will meet senior figures from North Yorkshire County Council on Friday to discuss the building’s future.

Talks will focus on how the new council can attract investment for the redevelopment, which she said it “desperately needs”.

Last month the council failed in its £20m Levelling Up Fund bid for the convention centre redevelopment but Ms Lorimer suggested the council would bid again for funding in its third round.

She also said other ideas for attracting investment could involve bringing in an outside “interested party” to the table. Ms Lorimer said:

“Believe you me, I’m not giving up on getting grant funding for this convention centre.

“There are opportunities to circle the wagons and look for other investment opportunities as well as Levelling Up funding. I do feel we should continue to have a go at that as well as various other decarbonisation pots.

“This is what we’ll be talking about on Friday, where are we going to get the funding, how are we going to get investment?

“It could be an interested party to invest, it could be hotels, it could be a number of things.”

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The council has previously warned that if the convention centre redevelopment doesn’t go ahead, the district could lose out on up to £250 million over the next 40 years in lost tourism and business spending.

Chris Aldred, Liberal Democrat councillor for Fairfax, said the convention centre “absolutely underpins the local economy”. He added:

“[Without the convention centre] Harrogate would be a totally different town. We wouldn’t have a range of restaurants, we wouldn’t have the splendid shops we have, we wouldn’t have communications and travel systems if the convention centre wasn’t there.”

In response, Ms Lorimer said:

“It’s true. We drive a lot of business and leisure visitors. But it’s not just the business tourism market that would stop, it’s leisure as well. Harrogate would wither on the vine without the convention centre.”

Major event signs up for five more years in Harrogate

A major four-day fair in the Harrogate hospitality calendar has signed up to remain in the town for another five years.

The Christmas and Gift Fair, which runs every January, has agreed a contract to take place at Harrogate Convention Centre until 2028.

It typically attracts more than 5,000 visitors and the convention centre said its estimated economic impact for hospitality in the district is £375,000 over the four days of the event.

Convention centre director Paula Lorimer said:

“I am delighted to seal the long-term relationship with Harrogate Christmas and Gift, an important trade show that has gone from strength to strength over more than seven decades.

“Harrogate’s unique heritage in hosting large-scale events and our venue’s central location, premier space, facilities and expertise mean that we attract a constant flow of events that keep our spa town busy all year round.”

The fair took over seven halls from January 15 to 18 this year, with 90 exhibitors. It has been running since 1950 and is organised by Harrogate International Toy Fair Ltd, whose annual nursery fair is also contracted to HCC for the next two years.

Simon Anslow, organiser of Harrogate Christmas and Gift Fair, said:

“Harrogate Christmas and Gift Fair is the most important exhibition in the UK for trade buyers who are buying for the following Christmas. Exhibiters and buyers also love the vibe of Harrogate with its quality restaurants and bars.

“We are delighted in securing a new five-year contract with the Harrogate Convention Centre running from 2024 to 2028.”

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News of the new contract comes on the heels of disappointment for Harrogate Borough Council, which runs the convention centre. The council last night heard it had missed out on investment from the government’s levelling up fund to improve its facilities.

The council had asked for £20 million from the fund, towards its £49 million plans to overhaul the venue.

It has run at a loss for many years, though the council has supported it, arguing it brings benefits to the district’s economy.

Last week, Richard Flinton, chief executive of the new North Yorkshire Council which will take on responsibility for the centre, last week said the authority would not take on an “enormous drain on public finances”.

New board to review Harrogate Convention Centre operating model

A new board is to be created to assess the best way to operate Harrogate Convention Centre.

Harrogate Borough Council, which owns the facility, will be abolished in April and replaced by North Yorkshire Council. The move has raised questions over how the venue on Kings Road will be run from 2023.

In a report to be discussed by councillors next week, Paula Lorimer, director of the convention centre, said a strategic board will be set up by the new authority to oversee the planned £49 million redevelopment and assess how it should operate.

She said:

“This will bring changes for HCC including new structural reporting lines as well as to changes to governance relating to the HCC board. Some of these issues are yet to be clarified but are intended to be resolved ahead of vesting day.

“Additionally, and as mentioned earlier in this report, a new HCC strategic board is to be created by the new authority in order to oversee the redevelopment project and to assess the most appropriate operating model for the venue in the future.

“HCC staff will, however, TUPE transfer to the new authority from April 2023 as they are employees of Harrogate Borough Council.”

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Economic impact up to £31m

Ms Lorimer said the convention centre had recovered “particularly well” from covid and is forecast to reach revenues of 2019 levels next year.

According to the report, the convention centre had an economic impact on the district of £18.6 million for the covid-affected financial year 2021/2022, according to a new Visit Britain methodology.

Ms Lorimer added:

“Now the pandemic is over we are forecasting that the economic impact for 2022/23 should be close to £31 million which is excellent news.

“Our strategy is to focus on winning back larger, multi-day national and professional association conferences.

“Although the exhibitions industry has been in decline for many years, some of HCC’s events are actually growing post pandemic and Brexit. For example the Flooring Show and Nursery Fair have enjoyed a renaissance due to international supply issues caused by the pandemic and exhibitors deciding to promote in the UK.”

Paula Lorimer

Paula Lorimer

Ms Lorimer said it had been “a very positive year”, adding:

“The current order book looks strong and we expect to reach budget for the year ending to 2022/23 on lettings. More encouragingly, the order book for lettings in 2023/34 has almost been achieved over 12 months out from the year commencing.”

Ms Lorimer said an investment in cosmetic improvements, such as new carpets and drapes, “has really paid dividends and now the team await a positive decision to progress with the redevelopment so that HCC can really maximise its full potential”.

The convention centre expects to hear next month whether its £20m Levelling Up funding bid has been successful.

The report adds:

“A final decision on whether to progress the redevelopment will be made by the new authority in summer 2023.”

Working group set up to steer future of Harrogate Convention Centre

A working group is being set up to steer the future of Harrogate Convention Centre as the venue approaches a crucial time of change in its 40-year history.

Senior officials and councillors from Harrogate Borough Council and North Yorkshire County Council will come together to discuss the convention centre’s £49 million redevelopment plan and how it could be funded, as well as how the venue should be run in the future.

It has previously been suggested that a limited company could be set up to take over the day-to-day business of the venue which is set to come under the ownership of the new North Yorkshire Council in April.

County council leader Carl Les said this would be one option that is explored by the working group as he also acknowledged there could be risks involved in the £49 million redevelopment plan. he told the Local Democracy Reporting Service:

“We will look at everything connected with the convention centre.”

“I’m sure that there are some risks involved and that is why we want a working group.

“We are very conscious that this has been a Harrogate Borough Council project until now and because it is going to come to us in a short space of time we want to better understand what options there may be going forward.”

Cllr Les’ comments come after the county council’s executive yesterday gave final approval for the spending of £3.3 million of taxpayer’s money on final designs for the redevelopment plan.

Prior to this, more than £1.5 million has already been spent on other design, business case and feasibility works.

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A final decision on the redevelopment plan is expected next summer, but there are lingering questions over how it could be funded after cash for the convention centre was left out of North Yorkshire’s £540 million devolution deal, much to the dismay of local leaders.

A separate bid for £20 million from the government’s levelling up fund has been made for the venue, however, Harrogate is ranked as a low priority area in the fund.

Paula Lorimer

Paula Lorimer

Paula Lorimer, director of Harrogate Convention Centre, said the levelling up funding would be a “game changer” for the venue if awarded later this year as she also thanked the county council for its support in progressing the final designs. She said:

“This is a very important step for us and both parties agree this is something we need to work together on.

“They have listened to everything we have put forward and asked all the right questions, and I’m very much looking forward to working with them.”

The launch of the working group comes as the convention centre is facing a new threat on its doorstep in the form of Leeds City Council’s proposals to build a new conference venue at the site of the former Yorkshire Bank HQ.

Threat from Leeds

A decision on these plans was previously delayed after a wave of objections from Harrogate Convention Centre and the district’s business leaders who fear the plans could drive trade away from Harrogate.

And Ms Lorimer said she is now preparing to make the same objections again when the proposals return to a city council meeting on 3 November.

She said “constructive dialogue” had been held with Leeds officials, but her concerns over the size of the city’s proposed venue and its impact on Harrogate Convention Centre remained unchanged. Ms Lorimer said:

“When we were first spoken to about this venue it was 2,000 square metres – we didn’t object and we told Leeds City Council that. Then suddenly it became 10,000 square metres.

“We continue to seek reassurance that the scheme will go back to the original size, but they are going to push ahead.”

Stray Views: Thousands of visitors will miss Harrogate

Stray Views is a weekly column giving you the chance to have your say on issues affecting the Harrogate district. It is an opinion column and does not reflect the views of the Stray Ferret. Send your views to letters@thestrayferret.co.uk.

This first letter relates to this week’s news that the Harrogate Convention Centre will no longer host the 15-day  International Gilbert and Sullivan Festival  after the organisers claimed costs had doubled.  The director of the HCC then responded saying the loss of the festival would a limited economic impact. 

Dear Editor,

We think it is fair to say that figures – and in particular, the costs of “in-kind” services can be interpreted in many different ways.     

Fallacy somewhere,  I fancy! (Ruddigore, W S Gilbert)

We are delighted that CEO Paula Lorimer feels that the town will not miss the Festival.

Still, we know that our thousands of visitors will certainly miss the beautiful Royal Hall, the outstanding hotels, and the fabulous restaurants and facilities.  And so will we!

It’s an unjust world, and virtue is triumphant only in theatrical performances (The Mikado, W S Gilbert)

However, it’s not all doom and gloom.  We are bringing a fantastic New Year Gala Concert to The Royal Hall on January 7, 2023, and we promise there’s no discount in sight!  The outstanding National Festival Orchestra and international opera stars will perform all those wonderful favourites.

It will be a great way to celebrate the New Year.

You can book your tickets at www.gsfestivals.org or by phone on 01422 323252.

We look forward to seeing everyone there.

 Life’s a pudding full of plums (The Gondoliers, W S Gilbert)

Bernard Lockett, The International Gilbert and Sullivan Festival.

Too much rubbish in the Harrogate district

The council in their wisdom have welcomed with open arms developers to bury the countryside in acre after acre of new homes.

Now surprise, surprise, these new residents are actually creating lots of rubbish and recycling.

The council now reveal they do not have enough bin operatives or vehicles to remove said rubbish etc. More stores etc are creating industrial amounts of waste. Once again, not enough staff to remove it. I am led to believe that not much of the recycling is actually dealt with as it should be.

I suspect when the new council takes over this situation is likely to deteriorate.

William B Thompson, Harrogate 

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