SVP charity facing €500k loss over tender

A LEADING charity that generates €500,000 from a clothes recycling business is facing a financial disaster after a local authority decision to change the way it runs its bring sites.

The Society of St Vincent de Paul (SVP) confirmed last night that it may have to scrap the vital business across Cork city and county if it does not win a tender to operate the scheme.

SVP regional president Brendan Dempsey described the tender move by Cork County Council as a “kick in the teeth” for the charity.

SVP has 90 clothes recycling bins located at dozens of Cork County Council bring sites supplying its 19 shops. The business, which has been built up over the last 10 to 15 years, is run by volunteers but employs about 20 people.

The business generates about €500,000 for the charity every year, which last year, distributed €4 million to needy families in Cork city and county alone.

The charity has seen a 50% surge in demand for its services and expects to distribute close to €6m in the region this year.

Up until last year, Cork County Council paid a nominal fee to the charity for operating the textile recycling scheme.

But late last year it invited tenders for the collection of textiles from its bring sites and recycling centres.

The SVP has submitted its own tender to allow it continue operating its recycling business at the various bring sites.But it fears that it will not be able to afford to compete with established recycling businesses which industry sources say could pay the council up to €500 per tonne of clothing collected.

“We thought it was a joke at first,” Mr Dempsey said.

The Lord Mayor of Cork, Cllr Dara Murphy, highlighted the situation last night and pledged his support for the charity.

“I think it is immoral to put this kind of service out to tender,” he said. He called on county manager Martin Riordan to meet with the SVP to discuss the situation before a decision on the tenders is made.

A spokesperson for the county council was not in a position to comment on the situation last night.

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