David Pugh’s Response To Call For Referendum

Islander Dave Quigley wrote to all Isle of Wight councillors at the weekend, calling for a referendum on the Highways PFI Scheme and remodelling of County Hall. Council leader, David Pugh has this morning given VB this response. Ed

It was a major plank of the Conservative manifesto for the 2009 council elections that we would pursue the Highways PFI. Accordingly we have a democratic mandate to proceed and we shall certainly not be holding a referendum on it.

The PFI offers the only chance for many years to upgrade the Island’s highways network to a decent standard. The £260 million of government funding announced recently is a grant, not a loan, and consequently does not have to be repaid.

Negligent to refuse funding
It would be negligent in the extreme and a betrayal of Island residents if the Council were to refuse this funding. The Council’s contribution to the PFI is going to be less each year than we currently spend on the services which will pass to the contractor.

We are now in detailed negotiations with the three bidders and this process still has many months to run and no contract will be signed before November 2012. I can tell you though that the contract will contain many provisions that will encourage the contractor to come up with best value solutions and others that will protect the council taxpayers’ interests over the 25 year period.

County Hall refurbishment
With regard to the County Hall refurbishment, this is a scheme that is an invest-to-save project, because of the savings we will generate elsewhere. The payback period will be some 1.4 years. It will improve our ways of working and help us provide a better service to the Island. We have no intention of holding a referendum on this either.

There is no requirement or expectation that we hold referendums on matters just because some members of the public object. They have the opportunity to give a verdict on the decisions made by council in 2013. We will continue to consult with the public on key matters, whilst continuing to exercise the mandate given to our administration in 2009, for a four year period.