Plan to buy Northern Rock tower in doubt

May 4 2009 by Amy Hunt, The Journal

The council’s Labour leader Nick Forbes said: “I think they are sending a message that investment in Newcastle is not welcome and I think the Liberal Democrats need to explain their reasons.

“The consequences of their actions will be to move jobs away from priority regeneration areas.

“The report talks about the positive benefit to the economy of jobs going to Gosforth, but it doesn’t talk about the negative effect on the economy of moving jobs from areas like Scotswood and Gateshead.”

The call-in will be discussed at a meeting on Friday.

It is thought senior council members are unhappy that Labour did not take the opportunity to ask questions at a meeting of the Executive when the decision was made, rather than calling the matter in.

Coun Forbes said: “The questions need to be answered in public. The Lib Dems have chosen to discuss this behind closed doors and I think the public needs to know about it.”

A city council spokesman refused to comment on the decision of the Northern Rock board to defer its decision.

It is thought members wanted more clarification on a number of issues. It is believed the board will meet again next week.

Ian Poll, head of democratic services, said: “I can confirm that the decision taken by the executive on April 22 relating to the property acquisition and simultaneous leasing of the tower at the Regent Centre has been called in for scrutiny.

“This is part of the standard checks and balances of the council.”