Penrith Town Council's £7,560 Expenditure on Email Marketing Platform Raises Concerns Over Value for Money
Recent revelations regarding Penrith Town Council's expenditure of £7,560 on an email marketing system have sparked concerns within the local community. Evolve Penrith, a local community organisation, has requested clarification from the town council on how this substantial investment can be justified by what is a parish council and whether it represents the best value for public funds.
According to the agenda of the Town Councils Finance Committee meeting, held this evening Monday 26th June, two separate payments were made to a supplier for an email marketing system named govDelivery in April totalling £7,560.
Evolve Penrith in a question put to the Penrith Town Council Finance committee this evening claimed that “No town council committee had apparently approved this expenditure within the past 12 months”.
It was confirmed by the council this evening that officers had approved the purchase using delegated powers and no approval from the councillors had been sough for the annual subscription that has cost the council £7,560 already to implement.
Evolve Penrith in its question to the town council highlighted that the market offers numerous options for email marketing systems, some priced as low as £15 per month, including many free and open-source platforms. Evolve Penrith said it is eager to understand how the council justifies the expenditure of £7,560 on a specific email marketing system and how it demonstrates the best use of public funds.
The town council was also asked for clarification on whether the expenditure represents an annual subscription or a one-time payment resulting in the council owning the software platform on its internal system.
In response to Evolve Penrith's questions, the Town Council Finance Committee stated that the Council's Business Plan priorities include maintaining and improving the community's access to information, and email marketing platforms serve as a mechanism to achieve this goal. While acknowledging the availability of various options, the committee pointed out that govDelivery specifically caters to public sector organisations and has a proven track record with local authorities, including Westmorland and Furness Council.
According to the committee response to the questioning by Evolve Penrith, govDelivery offers wide-ranging benefits, enabling the council to send information directly to the public and enhance proactive and reactive communications. Although alternative platforms were considered, the proven track record and effectiveness of govDelivery for local authorities played a significant role in the decision-making process. Cost estimates were obtained during the research phase.
The purchase cost as per the two payments in the April Payments Report do not take into account that the Council will be able to reclaim the VAT element on both payments, £1260.
The committee emphasised that the officer responsible for the govDelivery purchase had authority under a Scheme of Delegation of Financial Responsibility for Spending and Signatories.
Confirming Evolve Penrith's concerns, the committee acknowledged that govDelivery would be an annual subscription. The email subscription service launched by the town council allows residents to choose from various topics of interest, such as the latest news, council meetings, events and activities in and around Penrith, and climate change and green spaces.
While the council has highlighted the benefits and suitability of govDelivery for their specific needs, the substantial annual expenditure on an email marketing system has raised eyebrows within the community. Concerns over value for money and the availability of more cost-effective alternatives continue to be voiced.
Following the finance committee meeting today the town council has launched its email subscription service that it says will enable people’s to subscribe to receive email updates from Penrith Town Council and choose from a range of topics to receive emails on the things which are of interest.
The town councils mailing lists include:
• Latest News
• Council Meetings
• Events & Activities (in & around Penrith)
• Climate Change & Green Spaces
In a short statement issued by Evolve Penrith this evening they said “This shows why Penrith needs a community governance review on the future of the town council. When the council is wasteful spending over £7,000 on sending email newsletters instead of investing the public money back into the town it’s time for the town to look again at if the town council is fit for purpose or needs changed to be more beneficial for Penrith and a lot more financially responsible with public money rather than flushing it down the drain.”
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