YORKSHIRE: City of York Council to rent a warehouse to builders' merchants Jewson for another 12 months for £5.

YORKSHIRE: City of York Council to rent a warehouse to builders' merchants Jewson for another 12 months for £5.

Jewson rents the council owned warehouse for £5 a month in return for a discount to the council on building supplies. But council chiefs had to tighten procedures after a district auditors' report revealed serious potential flaws, saying the authority did not have adequate controls to be sure that the prices charged by Jewson were in line with those readily obtainable on the open market.

Officers have extended the arrangement for a further year until September 2013 to allow for a full review of the service and re-tendering.