CAPITA, the group which manages many of the council services in Blackburn and Darwen, has announced a record profit of £121million for 2003.

The company, which has a 15-year partnership deal with Blackburn with Darwen Borough Council worth £200million, believes its prospects for further growth "remain excellent".

Pre-tax profit grew to £121.2million from £98.3million on a turnover that comfortably went through the £1billion barrier for the first time in the company's history.

"Capita continues to deliver strong growth in turnover, profits and cashflow, and is well positioned to maintain this performance," said executive chairman Rod Aldridge. "We already have significant visibility of revenues and profits for 2004 and prospects for further growth remain excellent."

Capita regards the Blackburn 'partnership' as one of its flagship contracts and, despite initial difficulties in areas such as housing benefit payments, the company claims the deal has exceeded all expectations.

In addition to the 500 council jobs transferred to Capita, the company has recruited a further 700 people working on a range of contracts for other local authorities and the Government.

A £2million redevelopment of India Mill, in Darwen, has created a state-of-the-art call centre which works for the TV Licensing Authority and the Criminal Records Bureau.

The centre is one of seven operated by Capita.