It seems that a few HTC Councillors, and many Hadleigh ratepaying residents, fail to understand the long-term financial crisis that the "New" HTC is facing. The problem arises as a consequence of the decision by the "Old" HTC Council to spend over £500,000 of borrowed money on extending the Hadleigh Cemetery. They did so on an ill-informed guess that burial plots in the cemetery would run out by February 2020. They have not, nor are they likely to do so in the next few years.

The problem that HTC now face is best described by an investment analogy, (see below)

Imagine an investor (ratepayers) buying a very dilapidated apartment block (three acres of pasture land) for £18,000. Then deciding to spend £500,000 refurbishing it (Landscaping etc.) by borrowing the sum from a bank (Public Works Loan Board). Mortgage repayment terms are spread over 25 years. The annual repayment cost is £30,000 per year. The outgoings, with interest, total around £750,000 over the 25 years.

After two years the refurbishment of the block of flats is still not finished (the land needs to settle). It still needs far more than £15,000 to get the property (Green Burial site) into a useable, attractive and saleable state. No income has been received to date as no lettings or sales (Green Burial plots) have been made. The estate agent (Funeral Director) says the rental and sale market is very competitively priced. They advise it may take years to rent or sell the flats (Green Burial plots). Since taking out the loan the investor has had to use £90,000 of savings (HTC Reserves) to meet the annual repayments. The investor now has little savings left for personal contingencies. A proposed capital spend on their own house (Sports facilities etc.) has to be deferred.

Spending even £15,000 to complete the block (Green Burial site) with no linked income will exacerbate the cashflow and deplete savings. Sadly, the investor's savings (HTC Reserves) will run out shortly and bankruptcy is on the cards (big increase in HTC rates, possibly by 10% or more).

Perhaps this illustrates the dilemma that the 'New' HTC faces as a result of the financial incompetence of the 'Old'HTC.

Roger Young