MORE than £2m of public money is being invested into a renewable energy company despite Oxford City Council’s finance boss admitting it might not get all the money back.
It is loaning £2.3m to community-based social enterprise Low Carbon Hub , which is issuing shares later this year.
But the council’s head of finance, Nigel Kennedy, said the “main risks” were the share issue might not take off and the council might not receive its total investment back.
Mr Kennedy yesterday told the council's executive the loan was “short term” and would generate about £34,000 in interest. Although that represents a simple return of 1.5 per cent, he argued the annualised rate of return was 5 per cent.
He told the Oxford Mail the hub start drawing down the funds this month at staggered intervals over six months. The £2.3m is to be repaid at the end of the six months.
Although the projects – installing solar panels for schools and businesses around Oxfordshire – will start in June, the share issue is not expected to be held until September or October, he said.
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4:35pm Monday 22nd December 2014
A RUSH of shoppers to the Westgate Shopping Centre has caused traffic to queue down Abingdon Road in Oxford.
1:19pm Monday 22nd December 2014
THE A4130 is partially blocked in both directions by a car crash between Didcot and Brightwell-cum-Sotwell.
12:10pm Monday 22nd December 2014
PEOPLE in Oxfordshire with cancer and rare diseases could get advanced diagnosis and treatment under a new genetics project.
6:00am Tuesday 9th December 2014
December is Advent Calendar time and we have a special new interactive graphic for you each and every day until Christmas Eve. I've chosen the best 24 pictures of 2014 and I'll be unveiling one a day - so what is behind's today's door?