The sale of Kentigern House in Glasgow is going ahead. A 20 year lease is being sought in exchange for £47 million pounds. (We understand an offer in excess of £50 million has already been received.)The actual cost to the taxpayer however over the 20 year lease period will be in the region of £140 million when rent and maintenance costs are calculated. We believe this to be entirely unacceptable and have sent letters to our Parliamentary representatives in protest and urge all members wherever they are based to do so.
It was stated at a PCS MoD all members meeting in Kentigern House recently that senior officials within Defence Estates and Land Forces areas have already admitted that it does not make financial sense, but such is the perilous financial situation in the MoD, they need to raise income quickly. If this is the case, there has been severe financial mismanagement across the MoD and this is not something ordinary workers or indeed the taxpayer should suffer.
The sale of the building will also threaten the security of 400 jobs in Hewlett Packard (EDS) who is a tenant within Kentigern House and SPVA’s ‘business partner’, who, if faced with a massive increase in rental costs, may look to relocate their work elsewhere. This is particularly likely to happen if the rumours are true, and it is the case that HP (EDS) currently only pay a peppercorn rent for their occupancy of Kentigern House. This fact in itself is something of a scandal, if true, as it would allow HP(EDS) an unfair advantage in bidding for contract work, undercutting civil service employees and other commercial suppliers alike, and is singularly deserving of clarification from the Minister.
The MoD has failed to properly consult with PCS, the recognised Trade Union, and seem driven by short term desperation to plug a funding gap. This is unacceptable and urgent action is needed to halt the plans which are at a very advanced stage. The existing MoD budget must be utilised more efficiently as an alternative to wasting taxpayer’s money.
The Veterans Agency branch have written to MPs, MSPs and MEPs and urge all members to do so. A draft letter can be viewed and retrieved here. Please ammend and personalize for your particular location. You can easily send your representatives an electronic letter through writetothem .
