Sefton Council's cabinet has approved a construction contract for the Marine Lake Events Centre (MLEC) in Southport, with costs rising from £73m to £106m. The decision marks what council leader Marion Atkinson called an "historic moment" for the borough.
Project costs and funding
The scheme, originally approved three years ago, has seen costs escalate by £33m due to high inflation in the construction sector. Stephen Watson, Sefton's executive director, told a cabinet meeting on Thursday that prices for structural steel rose up to 40% as a result of the pandemic and the war in Ukraine. He stated: "The total development costs have escalated significantly."
The project has secured £37.5m from the Southport Town Deal and £17.7m from the Liverpool City Region Combined Authority. The council aims to cover the additional funding through further government grants and borrowing.
Economic impact and job creation
The venue is expected to attract over 600,000 visitors annually, two-thirds from outside Sefton, generating £31m per year for the local economy. Watson said: "The business case remains incredibly strong." The centre is projected to create 386 new jobs post-construction. Council leader Atkinson noted that the expected annual economic benefit has risen from £18m in 2022 to £31m now, saying the business case has "improved massively".
Construction timeline and features
Preliminary works began earlier this summer, with full construction set to start in October. The MLEC will replace the demolished Southport Theatre and Convention Centre, hosting entertainment shows, touring theatre, conferences, and exhibitions. The £106m total includes demolition, professional fees, and the associated Water and Light Show on the lake.
Cost savings and criticism
Savings of £12m were achieved through value engineering and selecting a suitable contractor, according to Watson. He said: "We have aimed to maintain the quality of the offer throughout." However, Southport's Liberal Democrats criticised the decision-making process, noting that cabinet members reviewed a 281-page document in a closed session. Lib Dem group leader John Pugh said: "Regardless of project or cost this secrecy is bad practice." He called for transparency, adding: "Scepticism can be allayed but not by secrecy."
