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.
6:30am Saturday 10th October 2015
HIGH-tech firms could move abroad if top Oxfordshire facilities are not protected from national spending cuts, a UK science boss has warned.
6:00am Saturday 10th October 2015
MUCH-NEEDED repairs to a special school in Blackbird Leys may lead to more closures over the next few days.
5:30am Saturday 10th October 2015
A “REMARKABLE” teenager whose battle with cancer inspired hundreds to raise funds for research has passed away.
3:37pm Friday 9th October 2015
A 19-year-old woman killed in a crash on the A40 this morning has been named locally as Katy Pancott.
7:00am Friday 9th October 2015
A MOTHER who received horrific burns in a caravan fire has spoken of her two-year fight to recover from her injuries.
6:24pm Friday 9th October 2015
A car crash has blocked part of the slip road off the A34 this afternoon.