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Westminster City Council has made an initial investment of £80,000 in West Co Trading Westminster City Council is going into the consultancy business to hire out staff and services to other authorities and the private sector. The London authority's cabinet voted last week to set up West Co Trading, with an initial investment of £80,000. West Co Trading's commercial director, Vic Baylis, said it would not employ any staff, but council officers would be seconded instead. It will be headed up by a board of five directors, including one councillor. The company is expected to generate a turnover of £200,000 within the first year, and it is predicted to break even within three years. ‘Clearly, as we have seen, the settlement from central government for us is going to get tighter,' said Mr Baylis. ‘And we recognise that this development could create a helpful income stream.' Mr Baylis said the council's communication team helped lead the way in setting up the trading company. The communication team has deals to provide services to other councils, including Harrow LBC, and last year, external contracts with the department generated a turnover of £918,000. ‘Under existing arrangements, we are constrained by how much we can trade with other authorities,' said Mr Baylis. ‘By setting up a trading company, we can maximise our opportunities.' Mr Baylis said following Westminster's recent four-star CPA rating, the council had received a ‘lot of inquiries' from other authorities about sharing best practice. The London council has also made considerable progress through its Wireless Cities partnership with BT, which it is keen to share through the trading company. The authority's environmental health division is also keen to provide services, such as pest control – on a commercial basis – to other authorities.

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BUSINESS

Westminster sets up business to hire out its expertise

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