Call for inquiry into Glasgow property arm over impact on charities

GLC has written to members of the Scottish Parliament’s Social Justice, Housing and Local Government Committee urging an investigation into arm’s length external organisations (ALEOs), including City Property Glasgow (CPG), which manages around 1,600 commercial, retail and office properties on behalf of Glasgow City Council.

GLC claims CPG has adopted a more commercial approach towards charities occupying its properties, including seeking market rents when leases are renewed and pursuing substantial refurbishment costs under dilapidations clauses.

The centre argues that the changes threaten organisations providing services ranging from homelessness support and social care to mental health, addiction and welfare advice.

Mike Dailly, principal solicitor and solicitor advocate at GLC, said: “GLC believes the time is right to look at reforming the law on local government ALEOs. These publicly funded bodies lack transparency and accountability for their activities.”

He added: “As we’ve seen in Glasgow, local government ALEOs can wipe out the vital services of charities for local people and appear to have little regard to their statutory duties under the Equality Act 2010.”

“The Scottish Parliament needs to shine a light on the practices of ALEOs and we hope other third sector charities in Scotland will write to the Social Justice, Housing and Local Government Committee and support our call for an evidential inquiry”.