An extra £3 million of taxpayers’ cash is to be spent bailing out The Public arts centre, with Sandwell Council pledging to spend a further £670,000 a year on running costs over the next three years.
The council said it had no choice other than to pay the extra from reserves. It has now given £18m to the West Bromwich project, bringing the total cost so far to almost £57m.
After the council’s cabinet held a private discussion last night, deputy leader Councillor Steve Eling, said: “If we had our time again we wouldn’t want things to have gone the way they have gone, but if we hadn’t finished the building we would have to pay back grants of up to £13m, which have already been spent.
“There were some difficult decisions as to how much support we should give, but the decision was taken that it would be worth it. The Arts Council backed it, although now it seems that everything they back goes belly up.”
The council revived the project after The Public Ltd went into administration in 2006. Mr Eling said they were in a Catch 22 situation after acting as guarantor for Jubilee Arts - which became The Public Ltd.
“Getting everybody back on site after a year was a lengthy and very costly process,” he said.
“There were also some problems with the specification of the electrics and we needed to put extra supply in.” It was also revealed that only one business has so far moved into offices there.
Tony Ward, leader of the opposition Conservative group, who was at last night’s meeting, said: “The figures made depressing reading. They have done everything wrong.
“The building is dreadful and what’s in it isn’t much better. In my opinion I don’t think things are going to improve and I can see the final bill topping £60 million.”
The Arts Council was unavailable for comment.
By Sally Walmsley
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