Council borrowing paves way for reopening of Barbican centre

Councillors agreed to back the deal for SMG Europe to take over the running of the Barbican, paving the way for entertainment to return to the venue next year.

Councillors approved the financial aspects of the scheme which will see SMG Europe putting on around 350 events a year in the centre compared to around only 70 events a year when the Barbican was being run by the council.

SMG will pay 1m of the costs of reviving the auditorium, with the rest coming from the authority after it borrows the cash at a preferential interest rate.

This will be recouped by

SMG's rental payments over the next 30 years, with the sum agreed being at least 1m and possibly as much as 1.13m, depending on the outcome of further surveys.

SMG hopes to reopen the Barbican, which has been empty for almost six years, next April and stage rock concerts, classical music and theatre performances, high-profile sporting occasions and community events. SMG is one of the world's leading entertainment venue operators, whose centres in Britain include the Manchester Evening News Arena.

Liberal Democrat Executive Member for Leisure, Culture and Social Inclusion, Coun Nigel Ayre said the deal represented a real step forward for the Barbican and the city.

He said: "I'm glad that we are now in a position to set out a real, positive vision for the Barbican, perhaps for the first time in nearly 20 years.

"The deal proposes substantial inward investment in a building that is in great need of capital injection. There will be upfront investment to modernise the building and a programme of ongoing expenditure on the facility.

"When the Barbican was first built there was no money set aside for maintenance and that is part of the reason why the building had to be closed in the first place."

Coun Ayre said the deal would provide top quality entertainment to the facility on a scale not seen before.

He said: "SMG are proposing a depth and quality of content that has not previously been seen at the Barbican.

"Their experience running venues elsewhere means they have good contacts with big-name entertainment acts and have the ambition to bring top quality entertainment back to the Barbican.

"I am sure many people will also be pleased to see that SMG are hoping to bring live sport back to the Barbican."

Coun Ayre said the deal would eradicate the need for the council to provide a subsidy towards the running of the building as it had done previously.

He said: "The executive was adamant that any re-opened Barbican would not require any annual subsidy from the tax payers of York.

"This proposal not only eradicates the previous subsidy of around 730,000 a year but offers the real possibility of an annual income in the form of a percentage share of turnover."

He said the re-opened Barbican was a big part of a wider leisure and culture strategy that had seen big investment in facilities across the city.

He added: "The last few years have seen a million pound investment in Yearsley Swimming pool, the first new swimming pool in decades at Energise coupled with improved modern fitness facilities.

"The final piece of the leisure picture will be completed at the New Hull Road Sports Village with the city's first county standard swimming pool, further fitness and leisure facilities and a planning commitment to a new sports hall."