Thalia Waste Management is set to walk away from its multi-million-pound contract to deliver waste collection and treatment services on the Isle of Wight, with efforts now underway to find another company to keep the bins being emptied.
The Isle of Wight Council has confirmed to Island Echo that the local authority and Thalia Waste Management Limited have agreed to transfer the provision of waste collection and treatment services to a new, currently unconfirmed service provider, effective 1st April 2026.
It was in November 2015 – just over 10 years ago – that Amey began a £225million, 25-year contract with the Isle of Wight Council. They took over the responsibility of waste collection, treatment and disposal from Biffa, who operated under the Island Waste brand for some 18 years.
It was in 2023 that the Amey name disappeared when parent company Ferrovial set up Thalia, focusing on the waste treatment side of the business.
It was once said that Amey would ‘create a lasting legacy for the Island’, but with 15 years still to run on the contract, they are bidding the Isle of Wight farewell.
Work is now taking place to find another national service company to step in and manage waste services on a temporary basis from April next year. Discussions are thought to be taking place with the likes of Biffa and Veolia.
The Isle of Wight Council says that it will eventually retender the critical services under new, long-term contract arrangements.
A spokesperson for the local authority has said:
“The council wishes to reassure residents that waste collection and disposal services will continue without interruption during this period.
“Further updates will be provided as and when they become available”.
Thalia’s time on the Isle of Wight hasn’t been the smoothest… the Forest Road energy recovery facility wasn’t commissioned until the start of this year – some 6 years later than planned.
Under Thalia’s watch, 1 worker died during an incident involving a bin lorry in Ryde, and another was seriously injured at Lynnbottom Tip.
Here’s a thought, instead of wasting tax payers money on useless PFI contracts, why doesn’t the council’s waste management team take over the running of their own contract?
Yes, go back to running it by the council as it used to do. PFI and outside contractors are expensive, it’s got to be cheaper to do it yourself. At least explore the possibility of in house service. The employees already live on the Island (I hope) and they know how it runs and are in possession of the skills, already trained up. Take it back in house. Thailia probably don’t even want the equipment that is lying around, they should release it anyway for dropping the contract, start negotiations now instead of worrying about Unitary authorities and Mayoral chains, . . . . (I had better stop rambling and saying out loud what many people might be thinking).
Ah but, taking it back in house requires effort, additional work. Much easier on the workload to have someone else do it . Do not forget, it was not only the councillors who earned the label ‘dysfunctional’ in the recent report.
What is the reason that firstly Amey and now Thalia have pulled out?
probably ‘cos they can’t screw enough profit out of collecting waste on the IoW
Amey never pulled out they were taken over by Thalia. Says it in the article above!!
Because the IWC officers who oversee these contracts are useless.
Hopefully the very astute Isle of Wight Council Contracts Department placed a large Penalty Clause in their contract with Thalia to ensure any Breach of Contract would provide a sizeable amount of money to the Council.
Ha ha ha
I just saw a pig fly by, are you kidding
This useless Council still can’t stop numpties
parking on Pavements, Double Yellow Lines, not to
mention Zig Zags.
Yaaaawn
far more likely that it was the other way round..
it was probably written so that if Thalia choose to terminate teh contract,. the IWC still has to pay for the rest of the contracted sum.
Just to be clear – I was joking !
I wasn’t
Probably similar to any penalty clause in the floating bridge contract!
Thalia has been operating the plant at a significant financial loss, reported at around £1 million per month, following challenges in delivering the project as intended. Alongside this, a series of serious operational incidents, including a death, and ongoing top management difficulties have raised concerns about the sustainability of the current arrangement.
Given these circumstances, this outcome represents the best possible resolution for both staff and island residents, providing greater stability and a clearer path forward.
This change allows Thalia to refocus its efforts on other sites, including the Derby bid, which has been a priority area for the them, over the Isle of Wight. This also allows the council to focus on bringing in a service provider that will meet the aims of the island.
Are you saying they misplaced the contract when they bid?
Sounds more like a benefit for Thalia rather than anyone here on the island.
Not sure if Derby will consider walking out mid-contract to be a positive attribute for a potential service provider either.
Shop around there must be a cheaper company out there.
Britain is in a recession, get more for your buck and reduce
our council tax.
Heaven sent opportunity for our council to exit the PFI contract, which they wouldn’t have been able to unless Thalia had quit. Here’s a thought, IOW Council…set up a non profit company and run it yourself under a cheaper, fairer PFI, borrow to invest without having to pay excess interest on the ‘loan’. That way there’ll be more money available for day to day running.
I presume the Council gets some refund of the £225 million?
not much probably 5%
what a load of rubbish
Contracts do not seem to worth the paper they are written on. These companies walk away when they want to . Bring it all back in house as was the norm many years ago and get the council to employ fit people claiming benefits to do the job.