Council in u-turn over axing of grant for social enterprise run by ex-staff

Kent County Council has withdrawn its decision to terminate the grant of a social enterprise staffed by former employees.

Local Government Lawyer revealed earlier this month that Project Salus had issued judicial review proceedings over the decision.

The community interest company (CIC) alleged that the local authority had breached the public sector equality duty and failed to consult service-users.

Its lawyers, Pierce Glynn, said Project Salus’ employees had been encouraged to leave their jobs with Kent on the back of the authority’s decision to provide the company with a three-year grant.

In December 2011, just six months after the launch of the social enterprise, Kent announced that it would terminate the grant.

However, Kent has now handed Project Salus – which provides services to children and young people in the county – a reprieve.

In a joint statement, Kent County Council’s Leader, Paul Carter, and Project Salus directors Sally Williamson and Peter Heckel said: "Both Project Salus and Kent County Council are pleased to confirm that any issues in our contract have now been resolved amicably and the judicial review claim has now been withdrawn. We are looking forward to working together in the future."