Danger: Cash-strapped Councils Will Compete With Businesses

Jan. 17, 2013 - PRLog -- Newcastle Borough Council in Staffordshire has been accused of unfairly competing against a social enterprise by one of North Staffordshire’s highest-profile entrepreneurs.

Mo Chaudry (http://www.mochaudry.co.uk/) made the claim after the authority introduced free parking for members of its Jubilee 2 fitness centre. The free parking is in an authority-owned car park.

Mr Chaudry believes the council is offering the incentive as a direct result of his own M Club Newcastle, a social enterprise which opens at the end of the month.

And he is asking other Midlands businesses to monitor the attitude of councils towards firms that may be seen as competing for revenue.

He said: “M Club Newcastle (http://mclubspaandfitness.co.uk/) is barely a mile down the A34, just over the Stoke-on-Trent City Council border.

“I understand that Newcastle Borough Council is in a tough place financially, but can it really be right for them to use taxpayers’ money to subsidise competition with us?

“I suspect this may not be an isolated incident, and it would be very interesting to find out.”

He added: “I accept M Club Newcastle is a business, but it’s been set up as a social enterprise with a charitable ethos and money being ploughed back in to help change lifestyles and improve health and wellness for the local community.

“We’re trying to offer affordable fitness for all as well as creating at least 65 much-needed local jobs.

“Surely local authorities should be trying to support businesses as much as they can, not indulging in selective unfair competition.”

Mr Chaudry, who is also chairman of Festival Park attraction WaterWorld (http://www.waterworld.co.uk/), bought the 65,000 square foot former Total Fitness site in Trent Vale last year.

A £5 million investment will see it transformed into the second M Club Spa and Fitness (http://mclubspaandfitness.co.uk/). The first club was opened in 2011 after Mr Chaudry took over the former Esporta gym at Festival Heights.

The new facility will include a six-lane pool, hydrotherapy, a family pool, a new spa, personalised “smart-card” exercise programmes, beauty treatments, a restaurant and bar, a nursery and a crèche. There will also be free parking.

Mr Chaudry added: “At the end of last year I wasn’t sure whether we should extend the opening membership offers because we’ve been inundated with membership inquiries.

“We’re definitely going to now, though. Newcastle Borough Council will find it has bitten off more than it can chew if it decides to take us on using underhand tactics.”

ENDS

Press release issued by David Johnson of Shepherd PR. For more information, or to arrange an interview, call 01335 368020 or email david@shepherd-pr.com

Notes to Editors

WaterWorld is the UK’s most popular indoor tropical aqua park, attracting more than 400,000 visitors a year.

It features a wave pool, slides, rides and flumes as well as toddler areas and catering facilities.

Mo Chaudry bought WaterWorld from Rank Leisure in 1999 and turned the loss-making Stoke-on-Trent attraction into a profitable business.

Mr Chaudry also owns mclub Spa and Fitness as well as commercial property investment company MIC Properties, and he has appeared on Channel 4 show The Secret Millionaire.

He is a credible and passionate commentator on many issues including entrepreneurship, health and wellbeing, ethnicity, Britishness, overcoming adversity, racism, regeneration and tourism.

To arrange an interview, call David Johnson at Shepherd PR on 01335 368020 or email david@shepherd-pr.com