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Boss's anger over £250,000 Wolverhampton City Council debt

A businessman has spoken of his anger after being left £250,000 out of pocket due to a backlog caused by an £8.3 million council computer system.

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The boss of a Black Country construction firm, who we have agreed not to name, said his business was struggling following the problems at Wolverhampton City Council.

"Could you imagine if people's wages at the council weren't paid? There would be uproar," he said.

"I'm owed £250,000 by the council. I've got to somehow manage that, I've got suppliers and now because I can't pay them they're threatening to put me on a stop list. That means my employees can't get their supplies to do the job.

"Everyday I'm on that phone to the council and I'm still waiting. I've been dealing with them for over 20 years and I'd get paid on the same day every week but now look at what has happened I haven't been paid since March."

He added: "The city council needs to send out an official letter explaining the problem. At least then we could show that to people we owe money to. There are a lot of companies in the same boat and they're not happy."

Conservative councillor Wendy Thompson said the authority should be paying people who work for it on time.

The new £8.3 million Agresso model was introduced last month.

It came four-and-a-half years after council bosses abandoned the £68 million Axon Solutions computer project when it was found it wouldn't save the authority enough cash.

It led to a £7.1 million compensation payout to the private firm which paved the way to the Agresso system.

But since it went live last month the city council owes £6 million in bills to suppliers who are having to wait for a backlog, caused by a change to electrical invoices, to clear before payments are confirmed.

Councillor Thompson said: "You have small companies and suppliers who rely on being paid by the the city council to survive and it is outrageous that they are having to wait for such a long time.

"I don't understand why a 'dummy run' wasn't put in place. It doesn't seem like it has been done properly - it is not right. You would hope that an organisation like Wolverhampton City Council should be paying people who work for it on time."

The city council said that the new computer system was tested comprehensively and by numerous people before it went live in April.

See also: Wolverhampton City Council owes £6 million in computer glitch

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