The Director of Finance introduced the report which invited the Committee to consider and review the Draft Annual Business Plan submitted by Edsential CIC setting out the current position of the company, its view of the immediate future and steps that it proposes to take to continue trading successfully and compliantly. The report sought approval for the Director of Finance to negotiate any detailed changes to the draft Annual Business Plan and present an agreed version for approval by Policy and Resources Committee.

Following a discussion, it was moved by Councillor Jo Bird, seconded by Councillor Pat Cleary, that the officer recommendations in the report be agreed, with the inclusion of an addition resolution ‘that the Council, in consultation with the other shareholder, request Edsential to prioritise the payment of the Real Living Wage within the overall benefits package for employees, and to present options to the shareholders to this effect in the future.’

The Chair sought the input of the Director of Finance on the implications of the motion, where he advised if both shareholders insisted that the Real Living Wage was paid, Edsential would likely have to change their pricing structure accordingly. To ensure the business remained in a solvent position, the costs would need to be passed onto schools who could potentially look elsewhere for those services, potentially leading to the decline of the business.

The motion was then put to the vote and fell (4:11).

On a motion moved by Councillor Jeff Green, seconded by the Chair, it was –

Resolved (11:4) – That

(1)  option 5 as detailed within the report be endorsed to allow Edsential CIC to continue to trade in the manner proposed in the Draft Annual Business Plan.

(2)  the Director of Finance be authorised in consultation with the Director of Law and Governance and, so far as is practicable, with appropriate representatives of Cheshire West and Chester Council to agree and approve the content of the Annual Business Plan.