The London Daily News


11 February, 2011 08:10 (GMT +00:00)
Tower Hamlets votes to cancel Veolia contract because of Israel ties
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News Desk

Tower Hamlets one of the Olympic boroughs in London, in a "full council" meeting has passed a motion proposed by the Respect Party and supported by members of Independent Mayor Lutfur Rahman’s group of members, to sever its long term contracts with Veolia Environmental Services because of their work in Israel, which the motion described as “a pariah state.”


The motion was carried by eleven votes to seven of the fifty-one member council. The votes against were from the Conservative group and in favour from eight Independent Mayoral supporting councillors, two Respect members and one Liberal Democrat. Labour, the largest group on the council, abstained.

Veolia has been responsible for refuse collection in Tower Hamlets for many years and was awarded a long term contract in 2006 by a Labour Cabinet which included the current Executive Mayor, Lutfur Rahman.

Councillor David Snowdon, Conservative spokesman on Finance said: “This ill prepared motion will cause potentially grave fianancial problems for this cash strapped borough. To break a contract because of a handful of councillors’ views on foreign policy, a policy not shared by the UK Government or Opposition, would enable the supplier to sue for massive compensation”.

Councillor Snowdon added: “This motion presents Lutfur Rahman with a real test. It was proposed by his backers in Respect and carried with the votes of his supporters. He will have to use up valuable officer time to investigate a proposal which is open to review and could cost the council vast sums. Keeping quiet last night, he did not even say why he supported Veolia when they were awarded the contract.”

Veolia Environmental Services is the UK's leading recycling and waste management company providing refuse collection to recycling, waste treatment to street cleansing to many local councils in London and nearly a third of the UK's population.

photo credit: Mayor  Lutfur Rahman


 
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