Blaenau Gwent Council Considers Fate of Troubled Silent Valley Waste Services

BLAENAU GWENT councillors will be asked if they want to keep or dissolve a troubled council owned firm.
At a meeting of Blaenau Gwent County Borough Council on Thursday, January 25, councillors will receive a report on what to do next with Silent Valley Waste Services.
Last year, Blaenau Gwent brought the employees and services under the council’s wing.
This means that the company has stopped trading.
The move followed a damning report on Silent Valley published by Audit Wales in 2022.
In her report, chief resources officer Rhian Hayden outlines two options for councillors to choose, either to dissolve the firm or for it to continue – but as an inactive company.
Ms Hayden said: “The council, as the 100 per cent shareholder should now consider the future of the company.
“To dissolve the company an application can be made to get it struck off the companies register.”
For this to happen Ms Hayden outlines several scenarios:
That a company has not traded or sold off any stock or changed its name during the last three months, is not threatened with liquidation and has no agreements with creditors such as a Company Voluntary Arrangement.
The alternative is Silent Valley could be kept as an inactive company.
Ms Hayden explains that this means that the company remains registered with Companies House but is called “dormant” as no “significant transactions” are made.
Ms Hayden said:  “Dormant accounts and returns will continue to be filed annually with Companies House and HM Revenues and Customs.”
Ms Hayden explained that this avenue would retain the company for future “use” should the council:  “wish to operate a company providing similar services in future.”
Ms Hayden said: “This option will require suitable governance arrangements to continue to be in place for the company and annual accounts and returns to be submitted.”
In February 2022, the council agreed to take over Silent Valley following a damning report by Audit Wales.
The report published in January 2022 highlighted that the council failed to establish robust and effective arrangements in its relationship with Silent Valley between 2003 and 2017.
The transfer of the environment permit last year from Silent Valley to Blaenau Gwent allows the council to operate the landfill site near Cwm until 2076. ‌​‌​‌​​​‍‌​‌​​‌‌‌‍‌​‌‌​​‌​‍‌​‌‌‌​‌‌‍‌​‌‌‌‌​​