Current financial state of NPS Stockport:-
Cash £3,300
Book value (basically what a company is worth) MINUS £1.6m
https://www.duedil.com/company/05908012/nps-stockport-limited
Current fiancial state of NPS Property Consultants:-
Cash £1.3 million
Book value Minus £23 million
https://www.duedil.com/company/02888194/nps-property-consultants-limited
NPS Stockport will deal with the process of purchasing the land needed for the “Cheadle Constituency Link Road” for votes.
NPS Stockport cannot be signed off as a going concern by its auditors, as it can’t make a profit from its core business. Any losses have to be guaranteed by the council taxpayers of Norfork.
Stockport Council owns 20% of NPS Stockport, 80% being owned by Norfolk County Council. NPS is an arms length management organisation set up to replace things like the Architects’ Department at the Council.
Norfork Council is only guaranteeing NPS Stockport until January 2014 when Stockport Council terminates its contract with the firm.
Their compulsory purchase of land needed on the roadscheme work won’t be finalised by 1st January 2014. My guess is NPS Stockport won’t be able to trade after that time, as they can’t make a profit from their core business. Has the Council considered this? I shall ask, but I might get my legs slapped for bothering them with such trifles!
“Dear Ms Oliver,
I am writing to confirm that Norfolk County Council has now completed its search for the information you requested in your correspondence received on 30 July 2013. In accordance with the provisions of the Freedom of Information Act 2000, I have now processed your request.
Your Request:
NPS Stockport (part of the Norse Group) only had its accounts signed off by its auditors provided the poor council taxpayers of Norfolk agreed to underwrite it. This situation, I believe, has been ongoing for 2 years NPS Stockport is in part owned by the council taxpayers of Stockport; it cannot make a profit from its core business – it cannot be signed off as a going concern without the support of the council taxpayers of Norfolk. I am a council taxpayer of Stockport and am jolly miffed about all this.
My question is – Is that guarantee ongoing or have NCC decided to pull the plug on support for this company and if so, has NCC given any consideration to the council taxpayers of Stockport who would then own 20% of a completely worthless company?
Our Response:
The Financial Statements for NPS Stockport Limited for the year ended 31 January 2013 have been audited and signed off on a going concern basis by its auditors Grant Thornton UK LLP following confirmation by NPS Property Consultants Limited that it will provide all necessary financial support to NPS Stockport Limited leading up to the termination date of the agreement with Stockport Council on 1 January 2014.
This show of parent company financial support is commonplace in large group accounting structures.
This guarantee of financial support remains in place.
At 31 January 2013 the company had retained profits that it has generated since it commenced trading on 1 November 2006…….
Yours Sincerely,
Sharon
Sharon Revell
Information Compliance Officer
Norfolk County Council
Room B31
Norwich
NR1 2DH
Direct Line: 01603 222170″
http://www.sheilaoliver.org/nps-stockport.html
http://www.sheilaoliver.org/nps-property-consultants.html
