Council face Town Hall bill as health trust move nears

Exterior of Peterborough Town Hall EMN-141126-162521009
Exterior of Peterborough Town Hall EMN-141126-162521009

Peterborough City Council will have to take out a loan to pay for works costing more than £270,000 to prepare the town hall for a health trust to move in - and then face an annual £69,000 bill to repay the loan.

Cambridgeshire & Peterborough NHS Foundation Trust are planning to move into the building on Bridge Street in the city centre after the council moved to new offices in Fletton Quays earlier this year. However, works need to be undertaken to make the building suitable for the trust - which will use the space to run mental health services.

A decision notice recommended the council enter into a Pre-Construction Services Agreement to the value of £116,203.19 and an Early Works Agreement to the value of £154,471.08 with RG Carter (Cambridge) Ltd to respectively undertake design and enabling works in advance of the main construction works.

A council spokesman could not confirm how many years it would take to repay the loan. It is hoped the authority will be able to recoup some of the money through rental income.

Peterborough City Council previously said the move away from the Town Hall offices would be ‘cost neutral.’

The major works on the Town Hall are set to start in January.

The health trust was looking for a new home after selling the Gloucester Centre in Orton Longueville as part of a £20 million deal, which also included sites in Cambridge. Last week plans for 100 homes on the Gloucester Centre site were revealed.