Firm behind Shropshire leisure centres in £5.6 billion deals boost
A multi-national company which runs five leisure centres across Shropshire has won £5.6 billion of new contracts so far this year.
American-based Serco signed a deal with Shropshire Council to run the leisure centres in Market Drayton, Whitchurch, Oswestry and Shrewsbury in August. It announced a two per cent like-for-like decline in revenue in June amid what it called 'challenging' conditions.
But it now expects to hit its financial targets for the year.
Serco has won a £350 million deal to run ferries to Scotland's Northern Isles, £140 million to run Suffolk's community health contract and a £175 million deal to run support services for asylum seekers.
The company is in charge of Market Drayton Swimming Centre, Oswestry Leisure Centre, Shrewsbury Sports Village and Indoor Bowls Hall, Whitchurch Swimming Centre and the Quarry Fitness and Swimming Centre in Shrewsbury in a deal that will initially run for 10 years.
Serco is now expecting to announce an eight per cent improvement on last year at the end of its financial year.
In June it had a £19.4 billion order book which included a £430 million deal to run call centres for home shopping retailer Shop Direct Group.
Chief executive Christopher Hyman said: "I am pleased with the business developments being made across the group, and particularly our operational achievements including the significant new contracts that have started in recent months."
But despite the turnaround it looks like leisure centre users in Shropshire could end up paying more to use facilities.
Shropshire Council wants to put up the fees at the five leisure centres by an average of 2.66 per cent by next April in order to meet tough financial savings targets.
Another change being proposed is to give the trust running the leisure centres more autonomy for setting charges in future without the approval of the full council.
By Dani Wozencroft