TWO men tasked with leading the probe into Thurrock Council's calamitous financial position - and the Conservative chair of a senior committee mandated to scrutinise corporate services - have refused to show any contrition for blundering policies that have cost the council tens of millions of pounds.

The damage to the cash-strapped authority's services has already been felt by residents and more deep-rooted cuts to everyday ways of life can be expected.

With one million pounds a month just added to the council's bills in interest payments alone, last night's (Thursday, 6 October) corporate overview scrutiny committee heard such services as providing home to school transport for special needs children are already being cut.

The committee heard that some special needs children now must stay at home because their families cannot afford to get them school.

That's how bad the situation is but there was no sense of guilt, blame or shame from top Tories Cllr Graham Snell and Cllr Paul Arnold at the meeting.

And the senior officer brought in to spearhead the probe into the disastrous investment wheeler-dealing of the council was similarly moved not to apologise – indeed he even blamed the media as a cause of the problem after journalists exposed the shambolic, secretive and dodgy-dealing going on!

A detailed report was given to the meeting by the council's interim director of finance Jonathan Wilson. It can be read in full via this link.

As reported on Thurrock Nub News this week, it details how the council will borrow £836 million to ensure it meets its obligation to pay back money loaned to it from local authorities, pension funds and other public bodies.

Those debts should have ended, or be due to end in the coming months, at no further cost to the council. But because the investments made by the council with the money it borrowed have gone sour – Thurrock is already tens of millions, possibly hundreds of millions, out of pocket.

Cllr Graham Snell, nearest camera, and Jonathan Wilson, furthest right, at last night's meeting when they flanked directors Jackie Hinchliffe and Karen Wheeler - and an unnamed officer who was not introduced.

Mr Wilson warned there were no quick solutions. Talking about paying back debt, he said: "Twenty years may not be a sufficient period." Quizzed by Labour's Cllr Sara Muldowney who suggested it could be 30 or 40 years, he did not disagree but said it was important that any solution was sustainable, adding: "It's an ongoing discussion."

Some deals already in place with the council are currently dated to the mid 21st century!

Asked how the problems began, Mr Wilson appeared not to put responsibility on bad investments or a failure of diligence, but on media interest in the rapidly rising amount of borough borrowing that was uncovered by newspapers and online media - including Thurrock Nub News - as the debt spiralled beyond a billion pounds.

He said: "Two things have happened that have limited our access to the market. The first thing that happened is that the Treasury gave guidance to other authorities in response to a story in the Daily Mail, and wider market knowledge, to not lend to the council. That created very limited access to the market."

Mr Wilson was repeating something first raised by the council's finance director Sean Clark almost two years ago as he tried to shift blame off his shoulders.

And Mr Wilson said the second factor was the government intervention – which only happened last month!

It appeared as if Mr Wilson was saying had there not been media and government intervention, Thurrock would have continued playing the markets despite its rising debt.

He made no mention of the investigation into historic events that has already highlighted alleged deceit, deception and a lack of diligence within the council!

The implications of the failed 'borrow to invest' strategy have been described by the council's acting CEO as 'catastrophic'.

And the change in the country's economy means the restructuring of debt could not have come at a worse time for the council.

Previously it was able to borrow money at around 0.5 of a per cent interest. Now the borrowing, from the government, is being done at rates fluctuating at between 4.5 and 5.3 per cent – and the rate is probably going to go up.

The debt to the government via its Public Works Loan Board is due to last around a year to 18 months. At the end of that time the council has to find a way to pay it back and it seems the only way it will be able to do that is borrow at commercial rates – which are much higher and will undoubtedly leave a debt mountain that will stretch not just over decades – but across generations of local lives.

The immediate consequence of the new loan is that the council, already under huge pressure and only managing to meet its operation costs by raiding its reserves (which now stand around £11m), now must find an extra million a month just to keep pace with interest on its new borrowing.

The only way it can finance services is likely to be more cuts allied to the sale of assets.

The government, and even former council leader Cllr Rob Gledhill who resigned his position, have indicated deep-seated and deep-rooted mismanagement within the council. The consequences of those mistakes have yet to unravel in full but they are massive. And punitive on the residents of Thurrock who will suffer as a result.

But to date no-one from the ruling administration has apologised.

Even Cllr Gledhill, when standing down, made no attempt to say sorry. He said: "It has become clear over the past few months that the situation regarding council investments, and subsequently its finances, has not been as reported.

"As leader of the council the political buck stops with me and as such it would only be right, and expected, that I resign as leader of the council. However, I will be remaining as an elected member to support the new leader and the commissioner as required."

Last night's meeting was the first public opportunity for leading Conservatives and officers to be questioned and held to account in public. But again, there was no contrition - nor acceptance of responsibility.

Labour's Cllr Sara Muldowney and Cllr John Kent.

Labour group leader Cllr John Kent summed up his and his colleagues' frustration at the situation and the lack of guilt by addressing the meeting. He said: "I just want to say that I am kind of horrified that we have got here, we shouldn't have got here and it was avoidable.

"I accept that Cllr Gledhill stood down and did the honourable thing, but what I am not getting is sense from elected members of an understanding of just how catastrophic this situation could be - or actually is!

"What I am not picking up is any kind of contrition about what's happening, any kind of apology to the people of Thurrock or any kind of apology to those of us who have been raising points about this for the last two and half to three years.

"This is the first time we have had the opportunity to discuss this so I want to put my feelings about it very clearly on the record."

Tory committee members Cllr Alex Anderson, Cllr Adam Carter and a thoughtful chairman Cllr Paul Arnold.

His comments were quickly batted over to Cllr Snell by chairman Cllr Arnold – who took a subdued attitude to the litany of debt and the account of what had happened.

In turn Cllr Snell – a massive advocate of the 'borrow to invest policy' - said: "What we are trying to do now, I think, in relation to Cllr Kent's point; one of the things I have picked up; is that we are still trying to find out what happened and why. We don't really know that yet.

"We are in the process of finding that out and probably won't know, for sure, all the answers, until the report comes back in January. We might not even know them all then.

"But what we as an administration intend to do and promise to do is that each step along the way, as more information does come to light, we will bring that to all 49 councillors.

"That's what we intend to do. So that everybody sees the process. And everyone can tell what went wrong, where it went wrong.

"And if there is any blame or if there is any contrition to be had let's find out the facts first, and then we will deal with all that later.

"It's far too early just yet to go into the blame game to find out who is responsible for this."

Cllr Graham Snell said it's not time yet for contrition or blame.

Cllr Snell was speaking in the wake of the council having already held meetings to remove its two most senior officers - CEO Lyn Carpenter and Mr Clark – have been put on leave. It is inconceivable, given his 'forensic investigation' role, that Cllr Snell has not seen the allegations and reports already made - which somewhat clouds his pledge to be honest at every weigh point, to put all available information into the public domain and to say the council isn't playing the 'blame game'."

When he had finished speaking, Cllr Arnold said: "It is what it is but it's worth pointing out that this administration is determined to be transparent. That is the way we are going. " He said the council's acting leader, Cllr Mark Coxshall, had pledged transparency and answers. "A little bit of patience is required," he concluded,

Labour Cllr Sara Muldowney pointed out that her colleagues had already been waiting two years for answers while the administration had built a wall of secrecy and denial around its actions. She said cabinet members still in post, which includes Cllr Coxshall, were responsible, having sat in meetings listening to 'report after report and not asking any questions or doing any scrutiny. "Now it really needs to be actions that speak louder than words at this point in time."

The full committee meeting can be viewed here: