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0 votes
Our local FC, which is privately managed on privately owned land, has requested a sum of £3000 for improvements to the club house and some of the ground. The request came with no written proposal, no quotes and actually no idea in mind as to how much they would be asking and then guessed at £3000, which the PC then awarded.  The person requesting said they'd come for more and the PC seemed open to this.

This club has access to private grants and funding.

Would this type of grant normally fall under section 137 or is it within the powers of a PC to award monies to a private sports entity?  Does the process sound ok as to me it would fail audit scrutiny?

The money was a
by (940 points)

3 Answers

+1 vote
  • Privately managed
  • Privately owned land
  • No written proposal
  • No quotes
  • No idea how much to ask for
So how will the council demonstrate that the granting of £3K is an effective use of public money?  Where is the public benefit.
by (9.9k points)
Thank you. Helps articulate what my muddled mind was telling me
+1 vote
Do you have General Power of Competence?
by (18.6k points)
No we don't.  For a while in fact the PC was non-quorate with on 2 councillors remaining through election.  Only recently is up to two thirds of total seats by co-option
This is a little bit more of a challenge but it doesn't mean it can't be done.
Firstly, a parish council can provide a grant to another organisation to do something it would itself be empowered to undertake.  I can't immediately think of how that relates to a football club but it might so worth checking.
Otherwise, you may be reliant on s137 which is what is otherwise known as the "free resource" which gives a parish council the power to pay grants amongst other things.  However, there are limits on payments through s137 limiting its use to (a) things that are broadly for the benefit of the parish (and your football club might, for example, use the finding to extend their premises to enable it to offer football coaching to youngsters), (b) the expenditure is limited to £9.93 per head of relevant population (which means the number on the electoral roll) and (c) where any benefit is limited to a limited number of the population, that expenditure needs to be proportionate to the number of people who might benefit.  There is also a requirement to account for that expenditure separately so it is shown in your accounts separately.  
If all of the above applies it may be lawful but I'd suggest from your description of the process that in terms of good practice, it may be lacking.  A grant policy (and there are lots of examples of good practice out there) would make this so much easier in future.
Thank you so much for this very comprehensive response.  Very much appreciated.
0 votes
Is the football club run as a business? I was under the impression that PC's cannot make grants to independent commercial businesses. But who knows these days?
by (26.6k points)

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