BWML boss goes

THE Managing Director of British Waterways Marinas Ltd, (BWML) Derek Newton is leaving his position, telling us he has 'decided to call it a day and make way for new thinking'.

It was 10 years ago that Derek Newton took over as Managing Director of the newly formed arm of British Waterways, that was established to take over marinas that were either on the market or failing, with its published intention of providing income for the maintenance of the waterways.

Never returned profits

However, from its conception in 2004 to 2011 BWML never returned any profits to the then British Waterways for the promised maintenance, but then after the furore in narrowboatworld BWML made a token payment of £0.5m in 2011, but this was proved to be little more than a exercise to create the impression that money had been returned, as we discovered that it was taken back, with British Waterways giving it £1,130,000 in the same year—so it fooled no one!

But worse was to come, as our Allan Richards explained, with British Waterways ploughing a further £4 millions equity into BWML to 'extend its business by acquisition'. Another £4 millions that could have been spent on maintenance.

Investing heavily

Basically, British Waterways was investing heavily in BWML but nothing was coming out in the way of dividend, but as we kept hammering away they have ensured that they now pay a dividend, and have done so for the last three years of £500,000, £550,000 and £600,000.

This all makes it look like BWML's performance is improving but it is not, it hardly made any profit last year—just £92,843 pre tax.

Since 2004, BW/CaRT has given BWML £10.2m (by purchase of shares). BWML has returned just £1.5m (by way of dividend). A return on the £10.2m investment of 0.1%!

Not a happy ride

It has not been a happy ride with Derek Newton at the helm, as our files show many complaints from marina berth holders at such as Ripon, Glasson, White Bear, and Sawley marinas and lately Poplar Dock Marina, particularly at enforcing the 159 rules and regulations, that berth holders have to adhere to, many of which are thought to be ill-thought out and somewhat oppressive.

Boaters have complained at the waste of money on 'improvements' at the various marinas, with the early introduction of Platinum Moorings at Sawley Marina a good example. Many hundreds of thousands of pounds being spend on securing a separate basin, and fitting out to a very expensive standard for boaters that it was thought would pay nearly double the already high mooring fees for having their boats cleaned, engines serviced and goods delivered. But rather spoiling it by stipulating a maximum of 45 feet and no residents to keep it exclusive. But the management had completely lost it—it was a very expensive white elephant as no boater signed up.

So it was a climb-down and the moorings offered at special rates, with the length and resident restrictions also scrapped. Yet even then it still proved a white elephant with the small basin never full.

Unnecessary building work

Across many marinas what is seen as unnecessary building work has been undertaken at great cost, eating away at any profits. An example again at Sawley where the offices and chandlery have been rebuilt so many times that the staff can't remember how many!

The many decisions concerning staff and different job creations have resulted in a high turnover, that has affected customer relations. Boaters we knew were so upset at the treatment of a long standing employee who was downgraded, that they left, moving their boat to Crick.

Leading the meltdown

As again our Allan Richards pointed out, Sawley, promoted as BWML's flagship marina, was leading the meltdown with an independent investigation showing it had nearly 200 empty berths (BWML leading marina meltdown) with even Canaltime deserting, having lost 30 of its original 50 boats.

Under Derek Newton's directorship BWML has certainly not performed anywhere near as it should, and certainly not provided the much needed money for maintenance as was intended—the opposite in fact. Its management has left a great deal to be desired.  So perhaps his leaving can only be applauded.