A company has had its application for a house-to-house collections licence rejected because East Northamptonshire Council feels not enough money would be donated to charity.
World UK Trading Limited initially applied to operate a house-to-house collection service in the East Northamptonshire area.
It said it would donate less than 25 per cent of the money generated to the Forces Support charity, which offers assistance to members of the Armed Forces and their families.
The application was rejected by council officers so an appeal was brought before a licensing panel meeting on Tuesday.
The panel rejected the appeal and listed a number of reasons, including the proportion of money donated to the charity and a lack of information about the procedure provided by applicant Nicola Gordon.
Chairman of the panel Cllr Andy Mercer said the council’s policy states “refusal of the application should be given serious consideration when less than 70 per cent of the value of the collection at the point of donation is given the charity”.
Rejecting the appeal, Cllr Mercer said: “Although the applicant had offered some figures about the costs of the operation, the panel did not feel the information provided was sufficient to confirm that a sufficient percentage of the gross of that was going to charity.
“The panel considered there were no good reasons for departing from the council’s own policy under the circumstances.”
In the application World UK Trading said the charity would be paid £120 a tonne.
However, officers stated the company could expect to make between £900 and £1,000 a tonne.
Ms Gordon told the panel collections were initially slow in a new area but if they collected more goods than expected they would have redrawn the contract with Forces Support and donated more money.
Ms Gordon has 14 days to appeal the decision to the Secretary of State.
After the hearing, she said she would consider her options but wouldn’t comment further.