November 8, 2022 6.00 pm This story is over 29 months old

Council told to repay £1.3m after failed Grantham university plans

The LEP wants its money back
Customers services will be added to the building

South Kesteven District Council has been asked to pay back £1.3 million over a scrapped university project.

The Technology and Innovation Centre was supposed to improve higher education and skills training in Grantham when it was handed over in 2019.

However the council-built project, above the Savoy cinema, was never used for this purpose as universities moved increasingly towards remote learning during the 2020 pandemic.

The Greater Lincolnshire Local Enterprise Partnership provided a £2 million grant towards the project, but are now asking for it back.

The minutes of a meeting in October reveal it has offered SKDC a lower claw-back settlement fee of £1.33million.

This would be paid within six weeks of formal notification.

The council say the LEP’s letter has been given “due consideration”, but hasn’t confirmed whether it will accept the offer.

The LEP say they are currently in talks with the council, and hope to reach an agreement soon.

The building was never used as a university centre

The University of Lincoln had originally been in talks to move into the space, which would have contained a lecture theatre and a number of offices.

The centre aimed to offer apprenticeships, diplomas and short courses for south Lincolnshire.

Instead, the council is now moving into the premises itself, leaving behind its outdated headquarters on St Peter’s Hill.

A spokesperson for South Kesteven District Council said: “We can confirm that a letter has been received and is being given due consideration.”

They added that further comment couldn’t be made due to upcoming by-elections.

Meeting minutes reveal that the council previously sent a letter of complaint to the LEP on the matter.

A spokesperson for the Greater Lincolnshire Local Enterprise Partnership said: “We are in ongoing discussions with South Kesteven District Council regarding the university centre scheme and we hope to reach a resolution in the near future.”

Council leaders have previously expressed regret that the university plans hadn’t been fulfilled due to the rise in remote learning.

In a statement issued earlier this year, the university said it would “continue to work with local authorities such as SKDC to find opportunities to sustain this important work in the future.”

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