Decision

Leisure Contract Extension

Decision Maker: Cabinet

Outcome: Recommendations Approved

Is Key Decision?: Yes

Is Callable In?: Yes

Date of Decision: July 14, 2025

Purpose: Cabinet will consider an extension to the current leisure contract to ensure future provision of leisure services.

Content: Cabinet approved the following recommendations: ·       Approved the principle of the variation to the Leisure Management Contract between the Council and Sports and Leisure Management Limited trading as Everyone Active (SLM) for SLM to run the leisure centres as an agent rather than as principal for the purposes of collecting income of services to the public as set out in the report. ·       Approved the extension of the term by 3 years to 30 June 2029 with an upward adjustment of the minimum income guarantee paid by SLM to the Council as further set out in the report. ·       Delegated authority to the Cabinet Member for Communities to agree the terms of and to approve the adoption of the agency model, subject to satisfactory completion of necessary due diligence.   Reasons for Decision: Everyone Active (SLM) has proposed a contract extension option with an Agency Model which allows local authorities to treat income from leisure services as ‘non-business’ for VAT purposes. The transition to an Agency Model will have minimal impact on customers, while passing significant income to the Council following its adoption. Additional income generated will be put towards reinvestment in the facilities and efforts to reduce health inequalities.

Supporting Documents

Cabinet Report Part A - Leisure Contract Extension.pdf

Related Meeting

Cabinet - Monday 14th July, 2025 6.30 pm on July 14, 2025