There are “serious concerns” over the “potential waste of millions of pounds" of taxpayers money involving a delayed cinema development.
The Beacon Project intends to turn the old Hoylake Town Hall in Wirral into a cinema, restaurant and commercial complex.
Due for completion in December 2020, there is still no deadline for the scheme to be finished with developers Hylgar Properties saying the pandemic caused delays. A linked housing development of 40 apartments is expected to be completed in 2023.
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The scheme received £3.64m through the UK government's Coastal Communities fund in 2018.
Cllr Tony Cox, who represents Hoylake, spoke at a Wirral Council meeting criticising the scheme and said it was “impossible” to work out what the money “had been spent on.”
Cllr Cox said: “There is serious concern amongst my residents about the potential waste of millions of pounds of public money.
"Nothing has taken place at the site since the middle of 2021. It is looking nowhere near completion and is looking unlikely to ever be.”
Recent changes have been applied for by Torus Homes, who manage the residential side of the scheme. These would change the original planning permission that said the cinema and commercial aspects of the scheme had to be completed first.
Cllr Cox said: “To date, there is no cinema, no restaurant, no bar, no offices, nothing from the public’s money but there are moves to lumber the people of Hoylake with 40 flats with no parking provision in an area of high-density terraced houses. Flats that were inextricably linked to the town hall development during planning.”
He asked Shaer Halewood, the council’s director of resources, to look into the issue and “whether value for money has been given to the taxpayer.”
Ms Halewood said the council didn’t have a say in monitoring the scheme as the money came from the UK Government’s housing department, not the council.
She did confirm that she investigated the spending of £37,500 related to the scheme after a complaint was made. This money, to look at scope for a cinema, was paid from the government to the council to pass onto the developer.
She said: “I investigated that myself. At the time, I found all the information provided to the council was in line with the conditions they were asked to adhere to and the money was paid in line with the conditions of us being the accountable body.
“I reported that back to the government as they were involved throughout and they were happy with that response. They weren’t looking to claw back any of that funding at the time.
“Since then I am aware that the Department for Levelling Up, Housing and Communities are still looking into this. They have been in some dialogue with the organisation with regards to both elements of the funding and I have had a few meetings with them about this.”
She said she had not had an update since the summer after the government said they would look into themselves but would ask for one.
Despite the delays, the company behind the scheme Hylgar Properties insist they are “totally committed to its delivery” and said they "are still planning to open as soon as possible.”
David Burke, Hyglar director recently told the ECHO: “From the start, we’ve been in regular communication with the government and have recently had a long-awaited and very productive meeting to work together to work through the challenges. The government representatives we met fully understand the importance of the project locally and the need to complete and be open.
“Like everyone else we have been frustrated that progress has slowed and apologise for any concern that this is causing in the area. We have had to adapt to several political and social challenges, as well as a seismic change to both cinema and hospitality in recent years while steadfastly ensuring that the Beacon will have a long-lasting and positive impact. In continuing uncertain times that means we must manage the risks carefully.
“While there are still challenges ahead, we remain absolutely passionate about this building, to the community, to the Beacon project itself and are confident that the cinema model is the right one and will thrive.
“We are still planning to open as soon as possible, with our cinema and food and beverage partner businesses continuing to be totally committed to its delivery.”
A Levelling Up department spokesperson said: “We continue to work with The Beacon Project in Hoylake to make sure they're delivering and making best use of taxpayers money.”
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