An investigation has been launched into the services of a trading arm of Medway Council.

It follows public outcry about the Towns’ failing CCTV system which is maintained by Medway Commercial Group (MCG).

In January, the council transferred its school governance services, which were run by MCG, to another provider.

The council’s Labour group has criticised the company, which has offices at the Innovation Centre, Chatham, and has been chaired since January by the council’s deputy leader Cllr Howard Doe (Con).

Cllr Doe said: “Medway Council and MCG have jointly commissioned an internal audit and full review of operations.

“The review and audit are being carried out by Medway Council and are looking at how MCG operates as well as seeking to draw on best practice from the industry.

“It is vital for Medway Council that any services we commission deliver those services effectively and efficiently and provide value for money.

“Following concerns over the delivery of CCTV services last autumn, Medway Council took action to start a review of all the services provided by MCG for all its customers.

“Such audits and reviews are quite normal in the operations of any business. MCG remains fully committed to providing a high standard of service while the review is undertaken.”

The audit started about three weeks ago and is expected to be complete shortly with outside specialists being recruited, if necessary.

Speaking on Tuesday, council leader Cllr Alan Jarrett (Con) said: “We are concerned about the delivery model [of the MCG] going forward. Part of this is an audit.”

He added: “The audit is to make sure everything is as it should be.”

A recent survey revealed the majority of CCTV cameras across the Towns, which act as a deterrent and a useful tool to police in solving crime, were broken.

MCG was set up in 2015 against a background of swingeing government cuts.

Its aim was to enable the council to continue providing services while giving it the opportunity to get involved in projects which otherwise would have been out of its reach.

Most recently it has been put in charge as project manager to build a £25 million independent school in Gillingham.

This will be for for pupils with behavioural issues.