The attempted shakedown of one of the biggest private sector players in the Tees Valley area has not only spectacularly failed but has come crashing down around the ears of Lord Houchen and his chosen partners, as well as their Tory mates Simon Clarke, Michael Gove and Rishi Sunak.
Yet it’s the public that is going to pick up the bill … again.
This was always a tawdry endeavour in its attempt to try and ransom money from the private sector operators of Teesport and who are simultaneously the statutory port authority on the Tees.
And this ridiculous, speculative, and doomed litigation was launched by the very public authority – the South Tees Development Corporation – chaired by Lord Houchen that’s supposed to be working with business to grow the economy.
Instead, what did Houchen and his favoured private sector pals get up to? They thought it would be a great idea to try and put the bite on STDC’s neighbour PD Ports, over access rights.
The costs after yesterday’s court hearing
In court, it was revealed just how much their failure is going to cost the taxpayer. For starters, the losing claimants STDC will have to pay PD Ports £1.2 million within 14 days.
The remaining costs will be assessed through a process known in litigation circles as “taxation”.
That’s likely to run into another seven figure sum of the same sort of proportions – so around another £1.2 million so in the area of £2.5 million all told in terms of PD’s costs.
Then there are South Tees Development Corporation’s own costs. That’s the public paying again.
On top of that there are the costs of Teesworks which only exists because of the 100% funding it has benefitted from the public purse.
Add all that together from the costs schedules filed with the High Court, and the final cost being borne by taxpayers is going to be in the order of at least £6 million, or perhaps more.
It’s an utter disgrace and a complete folly on the part of Lord Houchen of High Leven.
He and those Tory Teesside MPs who have blithely and blindly supported his every indulgence, and ignored his complete disregard for proper governance, proper process and the need for value for money, should never be anywhere near elected office ever again.
The total amount of public money squandered and piled into the bank accounts of these get-richer-quick merchants is an utter outrage and we have to ask how on earth was this ever possible?
What must happen next
He and those Tory MPs who have blithely and blindly supported his every indulgence and complete disregard for proper governance, process and the need for value for money, should never be anywhere near elected office ever again.
The total amount of public money squandered and piled into the bank accounts of these get richer quick merchants is an utter outrage and we have to ask how on earth was this ever possible.
An incoming Labour government will have to bear down on restoring the integrity of our public institutions if the public is to have any faith in the system and if blue chip investors are to have any confidence to invest.
We need not only a Tees Valley Mayor we can trust but someone who has the wit to work with significant local players and not to go to war with them.
The sooner the electorate get their chance to turf these Tories out the better.
