McVitie's owners hand Glasgow City Council 'secret' £1m donation after shutting historic factory
The owners of the McVitie's biscuit empire handed a Scots council a "secret" £1m donation after closing down a factory with the loss of hundreds of jobs.
Pladis, a Turkish-owned confectionary conglomerate, closed the century-old plant in Tollcross, Glasgow, in 2022 despite a public backlash.
The decision to shutter the historic Victoria Biscuit Works was opposed by local politicians and saw a Scottish Government taskforce try in vain to save more than 400 jobs. The factory was known for producing iconic British brands such as Digestives and Hobnobs.
It can now be revealed Pladis has handed Glasgow City Council a £1m donation on the condition the company was not identified as the source.
Councillors were informed of the donation at a meeting closed to the public last week, with members of the press asked to leave before the issue was discussed.
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John Grady, the Scottish Labour MP for Glasgow East, has now called on the council's SNP administration to be fully transparent on how the donation will be spent.
The Record understands the cash is provisionally earmarked for a variety of projects in the east end of the city.
Grady last week wrote to Glasgow City Council - before the identity of Pladis was made public - asking whether it was appropriate for such a donation to remain secret.
He warned anonymity “gives him cause for serious concern”. In a letter to Susan Aitken, the council leader, he said: "Accepting the donation on condition that the identity of the donor and related key details are not disclosed would make it difficult, if not impossible, for my constituents and other interested third parties to assess whether the donation created any conflict of interest."
Speaking today, Grady told the Record: "This donation is a lot of money and the council needs to now confirm as much as it can, so the public can have confidence that this donation is entirely above board.
"I set out in my letter exactly the sort of questions that need answered. The public needs confidence the council is being operated properly.
"Of course, I am in favour of people donating money to the council. But I'm also in favour in transparency."
Grady added: "There needs to be very clear governance on how the donation is spent. The closure of the McVitie's factory had a big impact on the local economy in Tollcross. So I would hope that money is invested in the east end."
Louise Gilmour, GMB Scotand secretary, said: "Doing secret deals for anonymous donations from multinational companies seems an odd way for a local authority to go about its business.
"It seems even odder when the company has recently shut down a historic factory and laid off hundreds of workers while ignoring widespread opposition.
"Are we expected to be charitable and simply accept there is no quid pro quo, that this company wants nothing in return for its money, while the whole thing is wrapped up in secrecy?
"The workers who lost their jobs when Pladis peremptorily shut down McVitie’s will not be so charitable and deserve to know why this money was not spent investing in their plant and saving their jobs?
"This agreement, whatever it is, cannot be hidden away like a guilty secret. The workers of McVitie’s and the people of Glasgow deserve to know exactly what is going on."
A spokesman for Glasgow City Council declined to comment on the identity of the donor when asked by the Record. They confirmed councillors had agreed to accept the money at a committee meeting last week, with a "further report in due course".
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