Stockton-on-Tees Borough Council

Billingham Forum Refurbishment Proposals - Background

The Forum was originally built in the 1960s with what were then traditional building methods and materials. The building has been in a declining state for some time and its condition can best be described as fragile. The viability and continued support of the building cannot be sustained by ongoing maintenance and the Council is unable to fund the (capital) redevelopment itself.

The Council has been exploring options to refurbish and/or replace the facility for a number of years. Most notably these have included the Billingham Gateway scheme (2003) and applications for PFI credits (2003 & 2005). However despite these unsuccessful schemes the Council has remained determined to identify and refine options for improved leisure facilities in Billingham.

(NB. PFI (Private Finance Initiative) is a way of funding long term public sector contracts such as schools, and leisure facilities, which involve a significant capital expenditure. The capital monies are provided by Central Government in the form of PFI 'credits' to the Local Authority and are paid back over the period of the PFI scheme by the service provider.)

To that end, the Council worked, in association with The Billingham Partnership, to prepare a refined PFI bid with the aim of convincing Government of the many merits of redeveloping the existing facility mix to meet modern day standards. Consultation undertaken in Oct 2006 demonstrated widespread community support for a bid, however, unfortunately the Council has received a (formal) letter from Department of Culture, Media & Sport (DCMS) to advise that they have not been awarded any PFI credits (2008-2011) in the Comprehensive Spending Review 2007 settlement from the Treasury.

Concurrently to preparing a refined PFI bid, the Council has investigated 7 alternative regeneration options for the Forum, lest the Government bid was not successful, or not forthcoming.

Excluding PFI, 7 other redevelopment options have been explored. Six of which are based on new build schemes which range from offering a:

• new build, basic core facility mix leisure centre (pool, gym, sports hall, dance studio & multi-purpose hall)
• more enhanced facility mix created through demolition and new build (larger core facilities, indoor bowls, squash courts, crèche &/or play barn, café & the Forum's unique ice & theatre offer)

The seventh option comprisises of an:

• enhanced refurbishment, retaining and upgrading the existing facilities

Following detailed analysis of the options - refurbishment has been identified as the most appropriate route to improve leisure facilities in Billingham, offering the best value for money. Refurbishment will; retain and enhance all of the present facilities, including the unique regional attraction of the ice rink; extend the range of facilities on offer; and improve the appearance and layout of the Forum to attract new customers; all for substantially less capital cost than the alternative options. It will also provide an expedient solution to the structural problems.

Furthermore the use of prudential borrowing to fund a Council led refurbishment is considered to be favourable to using the private sector as the Council in partnership with Tees Active will be able to retain control of the end facility. English Heritage has also agreed in principle to a refurbishment option, although detailed discussions regarding structural improvements to the theatre will need to be held.