‘Cash crisis’ threatens future of London fire service, says union

Firefighters raise fears over financial problems at debt-laden company that owns engines and equipment London’s firefighters claim that a cash crisis at the debt-laden private company that owns all their engines and equipment is hampering operations. AssetCo agreed a deal with its bankers and shareholders that will see it pare down its debts from £120m to £42m. The company said it intends to concentrate on its operations in the United Arab Emirates. But its restructuring has thrown the future of the London fire service into question. The Fire Brigades Union complains that old and ailing engines have been brought back into frontline service as a result of financial problems at the consortium, which owns the entire fleet of London Fire Brigade engines, as well as 50,000 items of equipment. The union says it is aware replacement parts and engines are arriving late. “The plight of AssetCo is now starting to affect operational performance throughout the London Fire Brigade,” said the union’s regional organiser, Ben Sprung. “Many fire stations have operated without their full quota of appliances for several hours at a time. Corners are being cut on repairs and maintenance and old, creaking fire engines have been returned to the frontline – in some cases only to break down moments later.” AssetCo had hoped to sell off the London operation, but no buyer has materialised. Instead it is likely the London arm of the company will have to be restructured but its debt burden – most of the £42m of the remaining debt – could further threaten its operational capacity if the business is too stretched. Its problems are acutely embarrassing for the government, which has signalled that it is open to privatising the training of UK firefighters. A spokesman for the London Fire Brigade said: “Our latest performance figures show that London’s fire engines continue to be maintained and available as normal.” Firefighters London Jamie Doward guardian.co.uk

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