IT'S four years since Capita arrived in Blackburn. With hundreds of new jobs and millions of pounds of investment coming with it, Capita now finds itself being courted in other areas of the UK. Chief reporter DAVID HIGGERSON investigates.

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HEN the powers that be settle down to work out which East Lancashire tourist attractions they should promote in next year's glossy brochures, it is a safe bet Capita won't figure.

Despite the fact their multi-million pound building in Blackburn town centre is described by planners as a "landmark property" it is never likely to compete with more traditional venues for tourism trade.

But Capita's presence in Blackburn remains a talking point, despite the fact it has been here for more than four years.

And for Peter Tucker, director of its Blackburn operation, that has meant welcoming a lot of visitors.

He said: "There are a lot of councils across the country taking an interest in our partnership with Blackburn with Darwen Council.

"We've had to create a coach bay in our car park for when council bosses from other areas, particularly the North East, come down here."

Capita signed a 15-year contract with Blackburn with Darwen Council in 2001 to provide a variety of back-office services.

Everything from highways engineering to benefit administration moved from the authority to the company's base in Barbara Castle Way in July 2001, with around 500 staff making the move from public to private sector.

The deal is worth £12.7million a year to Capita and also means the council gets services for a lot less than it would cost to provide them itself.

And that fact has not been lost on other councils across the UK, who have been instructed by the Government to start making efficiency savings to keep council tax low.

Mr Tucker said: "Councils can see the benefit of working in partnership because often it comes down to economies of scale.

Blackburn is a set-up we are particularly proud of but the partnership with the council was producing the savings long before the Government started setting targets.

"That is a challenge for us and it's part of the review we've now begun with Blackburn with Darwen Council."

The 15-year contract allows the authority to review Capita's performance every five years, and the first is likely to be very favourable.

Early concerns, such as over horrendous delays in the process of housing benefit claims, have been overcome, although some problems, like the IT support Capita supplies the council and the length of time it takes technical issues to be solved, still remain.

Council leader Coun Kate Hollern admitted it was one area the review will look at but overall said she was very pleased with Capita's performance.

"The council and Capita are leading the way in showing how effective public-private partnerships can be in attracting investment and in making a real difference to the quality and efficiency of services," she said.

"There is still room for improvement but many of the council's achievements would not have been possible without the support of Capita."

But not everyone is convinced. Tory leader, Coun Colin Rigby, said: "It's taken them a while to crack some things, like benefits, which caused concern.

But part of the contract is that work done from Blackburn for other councils should generate extra income for Blackburn with Darwen Council.

That needs to be looked at, what returns Blackburn is getting from those deals."

Capita's investment in Blackburn with Darwen, meanwhile, has attracted the attention of other authorities.

Around 600 people are employed at Darwen's India Mill working for TV Licensing, a contract Capita put into the area as soon as it was awarded it.

Work refurbishing the floors there ran into millions, while the new 'landmark' so popular with visiting council officers cost in excess of £5million.

They also get heavily involved with the community, supporting local schools and sponsorsing Darwen Football Club.

Capita's executive chairman, Rod Aldridge, said: "The partnership between Capita and Blackburn with Darwen has been massively successful.

Initially, 600 council employees were transferred but we now have 1,200 people.

"Blackburn with Darwen continues to be one of our development areas and has provided us with a stable workforce."