North Tyneside cash crisis puts future of Whitley Bay Dome at risk

Nov 5 2009 by Adrian Pearson, The Journal

THE extent of the “financial meltdown” facing a North East council has emerged as a multi-million pound overspend puts the future of the famous Whitley Bay Dome at risk.

Council leaders have warned there is just £600,000 left for the unfinished Spanish Dome project, and have blamed previous Labour mayor John Harrison for failing to control a £22.5m budget.

Tyneside Conservatives, who took over the council in June, say an overspend on the Playhouse Theatre and Waves Swimming Pool has left the town centre regeneration pot almost empty.

They cite a £6.3m overspend which was allowed to build up as the previous administration repeatedly increased the budget rather than declare an official overspend.

Cash is so limited at the council there is “not even enough to make the Dome and its buildings wind and watertight”.

And council officers are now searching Europe to find a private company prepared to finish off the work.

At a meeting next week Tory elected mayor Linda Arkley will reveal the findings in a report demanded by Conservative councillor Michael McIntyre after they took office.

Mr McIntrye told The Journal regeneration projects had been placed “in Limbo” until funding could be secured.

The funding crisis has put the council’s entire investment plan at risk. Currently there are £9m worth of land sales already identified as a way of paying for a Strategic Investment Plan which should create jobs across the borough.

Officers will now have to look for even more asset sales, at a time when councils across the country face up to falling land prices, if they want to revive Whitley Bay regeneration.