Council chiefs have announced a money-spinning deal with a Perth waste firm.
The take-over agreement, believed to be the first of its kind in Scotland, is expected to generate cash for the local authority, create jobs and deliver a crucial boost to a plastic recycling scheme.
Under the new set-up, Perth and Kinross Council will take on all contracts and assets of the commercial trade-waste arm of the city’s Wyllie Recycling.
To ensure a smooth transition, council crews will work alongside company staff for two weeks to familiarise themselves with routes and customers.
The service will be fully transferred on August 5, allowing Wyllie to focus its efforts on its burgeoning plastics recycling arm.
Bosses have insisted the move will not result in any job losses.
Perth and Kinross Council declined to say how much was spent on acquiring the business, but said it could generate about £300,000 a year.
It is part of the ongoing transformation project, which explores new ways of generating income for the local authority.
The acquisition includes vehicles, bins, skips and recycling machinery such as compactors and will increase the council’s commercial waste customer base by around 19%.
Wyllie Recylcing boss John Gilmour said: “The sale of this arm of the business has not been an easy decision, however, in order to fulfil our ambitions of development our specialist plastics recycling service, it is the right decision for our company moving forward.”
He said it will strengthen the company’s standing, ahead of the launch of the Scottish Government’s deposit return scheme. “We want to position Wyllie as a leading recycling specialist for plastic in the Tayside region and beyond,” he said.
Mr Gilmour added: “I would like to offer reassurances that this change in the company’s focus will not have any impact on jobs.
“Everyone who works with us will be redeployed within the organisation and have the opportunity to help drive forward this exciting new venture.”
Council leader Murray Lyle added: “This acquisition is in line with the council’s aspirations to be more entrepreneurial and embrace the commercial agenda.
“We have employed additional staff to facilitate the additional work to ensure there is no disruption to the customers who will be transferring to Wyllie.
“To date, we have employed five new people with the potential for further jobs to be created in the future.”
