Reading Borough Council (RBC) is considering adding to its portfolio of council-owned companies, with two proposals currently being investigated.

The council currently owns three ‘arms-length’ companies: Reading Buses, Homes for Reading and Brighter Futures for Children.

The new areas being considered by officers are direct services and legal services.

Councillor Lovelock, leader of the council, said: “We have always said that, if there were opportunities to get income to offset the loss of the government grant, we would do that.

“The council is looking at a range of possibilities. Nobody has come forward with a proposal.

“There is no private profit anywhere in this. The aim is to keep any income to improve services or give the council a dividend.”

The change to direct services could put services such as housing repairs under the control of a council-own company.

RBC already sells housing repair, highway maintenance and gritting services to Wokingham Borough Council, which could be part of any potential company.

Oxford City Council has a direct services company which provides services such as waste management, property maintenance and environmental cleansing.

Cllr Lovelock said: “We already provide services for councils such as highway maintenance. If we wanted to expand that we might have to consider setting up a wholly owned company.

“It would allow us to sell services more widely, if it looks as though that is going to be successful."

Council officers are also looking into a company for its joint legal services.

The proposals were discussed at the personnel committee on Thursday, November 8.

Jackie Yates, director of resources, said: “We are currently looking at setting up the joint legal team as a separate company. It is a very successful partnership at the moment.

“That is something that will be coming to members in the next few months.”

RBC is part of the Berkshire Shared Legal Service (BSLS), which advises on children’s services, along with Wokingham Borough Council, West Berkshire Council, Bracknell Forest Council and Slough Borough Council.

Cllr Lovelock said she had not seen any details about the legal services plans but that a legal services company would only be needed to sell legal services externally, not to turn the BSLS into a company.

RBC already sells children’s services legal advice, to the Royal Borough of Windsor & Maidenhead.

The council leader said: “They are looking in all directions to see where we could maximise income to offset the government grant cuts and hopefully not make as many cuts might have to be made. It may not come to anything.”