URL: https://democracy.northdevon.gov.uk/ieDecisionDetails.aspx?ID=4441

Decision Maker: Strategy and Resources Committee

Outcome:

Is Key Decision?: No

Is Callable In?: No

Purpose:

Content: Councillors C. Leaver and P. Leaver re-declared non registerable interests in this item and left the meeting during the consideration thereof.   The Committee considered a report by the Waste and Recycling Manager (circulated previously) regarding the Trade Waste Service provision.   In response to questions from the Committee, the Waste and Recycling Manager advised the following:   ·       It was considered that there were a sufficient number of private companies that collected trade waste. There were a few companies that also collected recycling and food waste. ·       Four other District Councils in Devon did not provide a trade waste service. ·       The current costs charged by the Council for the collection for trade waste was considered to be quite low and following discussions with other District Councils, the current charges were low in comparison. ·       The costs charged by private companies could be higher than the Council charged. ·       There may potentially be an opportunity to work with Mid Devon District Council in the future for the collection of trade waste. There had previously been an arrangement in place with Mid Devon whereby they had collected trade waste on behalf of the Council in areas such as Witheridge.  ·       The Council had previously undertaken collections on behalf of Torridge District Council. ·       In order for the trade waste collection service to break even financially, the charges would need to be increased by 20% and that the current level of customers did not decrease. ·       The recent changes in legislation had come into effect in 2025 which meant that all businesses with 10+ employees were required to recycle food waste.  For smaller businesses with less than 10 employees, this requirement came into effect from April 2027. ·       The onus was upon businesses to find a trade waste food collection service. ·       The vehicles would need to be replaced in April 2026.  The current vehicle was off the road on a regular basis due to break downs. If the Council kept this vehicle, there would be an increase in the time that the vehicle was off the road and the Council would not be able to provide the same level of trade waste collection service. ·       The Council lost 5% of its customers following the requirement to collect food waste. ·       There were currently no plans to consult with the remaining business customers in addition to the recent sample of customers contacted.  ·       The ordering of a replacement vehicle would take between 5-6 months.  If consideration of the trade waste collection service was deferred until January 2026 and it was decided to continue with the service, the replacement vehicle would not be in place by April 2026.   In response to questions from the Committee, the Head of Environmental Enhancement advised the following:   ·       With the exception of Mid Devon District Council, the Council had spoken to the other four District Councils who currently provided a trade waste collection service.  They were all in the process of reviewing this service and considering the level of charging. ·       The trade waste collection service was not a statutory service. ·       Other District Councils that had rural locations were coping without the provision of a Council trade waste collection service. ·       The Scrutiny and Policy Development Committee had recommended that the Committee consult with its existing customers.  20 local businesses had been contacted and asked for their views on whether they would continue to use the service if the charges were increased by 20%.  Some customers had advised that they would absorb the increase in costs, whereby others had advised that they would consider alternative options.  There had not been an opportunity to contact all of the 800 customers.  Those businesses that had been contacted were located in rural and urban areas. Two businesses had been contacted in the Witheridge area and they had not advised that it would impact the future viability of their businesses. There had been a mixed response from businesses.  No businesses had advised that it would have a major impact.  Some smaller businesses with less than 10 employees already had a food waste trade collection service in place when they were not currently required to do so.  The results of the consultation could be shared with the Committee. ·       If the Council continued to provide the trade waste collection service, then it would need to collect food waste and invest in infrastructure and vehicles to collect the food waste. There was also insufficient space in the waste transfer hall to tip the food waste.  The Council also needed to expand the collection for recycling for domestic properties to include tetra plastic. ·       There were currently 6,500 registered businesses in North Devon. ·       The recent changes in legislation had come into effect in April 2025 which meant that all businesses were required to recycle food waste.  ·       The Council did not currently collect food waste from businesses. If businesses put food waste in with trade waste, the Council could refuse to collect. There was a potential for the Government to require local authorities to start checking trade waste in the future. ·       The Council already collected food waste from domestic properties and had informed businesses that we were currently unable to collect food waste and advised them to find a collection service. ·       If the prices were increased by 20% and a number of businesses stopped using the Council’s services, the service would not break even. ·       Contracts were in place with trade waste customers and the Council would be required to provide a minimum of two months’ notice for any changes to the service to its customers.  ·       If the trade waste service ceased, the Council would help to support businesses with finding alternative collection services. ·       If the trade waste service continued, the largest lorry would need to be replaced due to its age and two split loader lorries would be required.  The costs were detailed within the report.  The Council had a contract with SSF for the lease of vehicles. Prior to this arrangement, the Council procured vehicles, many of which were old and broke down on a regular basis.  The annual maintenance costs for vehicles was very high.  The current vehicle would need to be replaced next year with a leased vehicle if the Council continued to provide the trade waste collection service. The vehicle was old and likely to break down on a regular basis.   In response to questions from the Committee, the Director of Resources and Deputy Chief Executive advised the following:   ·       That the drop in income of approximately £90,000 for 2023/24 had been as a result in a decrease in the number of customers.  There had been a corresponding reduction in the number of agency staff employed and number of staff required for the rounds.  The key information to consider was the net costs of both income and expenditure. ·       The financial figures included on pages 22 and 23 included the assumption of replacing vehicles.  To break even in 2026/27, the prices would need to be increased by 19.76%.  These costs did not include central support costs. ·       Paragraph 4.8 detailed the costs for the vehicle which was bought in 2018 for £190,000 and the current maintenance costs which were £19,000 per year.   In response to questions from the Committee, the Chief Executive advised the following:   ·       Businesses located in rural areas had a duty to find a food waste collection service, as the Council was not able to provide this service. ·       If the Council took the decision to cease the trade waste collection service, it would work with businesses to provide support in finding alternative providers and provide all businesses with a two month notice and would continue to work with businesses up until April 2026. ·       For those businesses who were required to have a food waste collection service, they may consider having one provider to collect all trade waste. ·       If charges were increased, the Council may lose business customers as a result. ·       If the Council took the decision to continue with the trade waste collection service, then the service must be financially sustainably and have no impact on the Council’s budget by either breaking even or making a profit.   RESOLVED that consideration of the decision for the future of the Trade Waste Service be deferred until the next meeting of the Committee on 5 January 2026 for further information and that all Councillors be requested to submit any questions to the Waste and Recycling Manager by the end of this week and that the feedback together with the results of the consultation with businesses be presented to the Committee for consideration.

Date of Decision: December 1, 2025