Plans for new leisure centre delayed due to soaring costs

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Plans for new leisure centre delayed due to soaring costs
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They also decided to reduce the swimming pool from 50m to 25m and build a four court games hall instead of six.

Councillors have taken the decision to postpone replacing Eastwood leisure centre for two years as rising inflation and volatile interest rates pushed up the project price.

Cllr Tony Buchanan, the SNP group leader, backed the same option as the Labour leader but called for work to begin as quickly as possible. However, his amendment lost out in a vote. Labour’s motion, with the support of the Conservatives, passed by nine votes to six for the SNP amendment. Cllr David Macdonald, independent, abstained.

Council officials reported the existing centre does not meet current demand and estimated there is a maintenance backlog of around £14m. Refurbishing the centre would involve closure, and therefore no income, for up to 24 months. “Since covid struck, the cost of the project increased significantly, reflecting ongoing construction cost increases. In the last few months there has also been instability in energy prices, interest rates and general inflation.”

Officials reported the deferral could lead to more certainty on interest rates and reduced borrowing costs, but it could also cause construction costs to rise and increase the risk of the existing leisure centre failing.Cllr O’Donnell said he recognised there were “real risks” with delaying the scheme, but “ultimately it’s a judgement call and a balance of risk management over time and understanding the budgetary pressures we have at the moment”.

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