The City Council has issued the following statement on Lancaster Market:
Lancaster City Council has deferred a decision on Lancaster Market pending the consideration of alternative options for the future of the site.
On Wednesday (3rd March) Full Council agreed that the city council’s Cabinet should set up a special working group to look closely at detailed options on reducing the market’s current deficit of more than £400,000 a year.
These options will include, amongst other options, consideration of a business plan from the market traders, the alternative of a single storey market, alternative market sites and the option of a single trader.
In considering the options the working group will also seek evidence from the existing market traders, the National Federation of Market Traders, the Chamber of Commerce and the National Association of British Market Authorities.
The working group will then report to Cabinet, which will make recommendations to a special meeting of Full Council before 31st March 2010.
Coun Stuart Langhorn, leader of Lancaster City Council, moved Cabinet’s budget proposals.
He said: “We all want to see a thriving indoor market in Lancaster but at the same time everyone accepts that the current deficit is unsustainable and is not value for the tax payers of this district.
“The deficit is the result of a number of factors and has grown over the years since the market opened for business in 1995. It is no one’s fault, and to make it clear I do not blame the traders for this situation, but it now falls to us all to make sure that it is sorted out once and for all.
“Council’s decision will allow Cabinet to carefully consider the issues further and involve all those who wish to make a contribution.”
Lancaster Market has a substantial deficit, currently identified as £461,000 2009/10, rising to £492,000 in the next financial year.
The city council, along with other public services anticipates a reduction in the amount of Central Government funding it receives.
More than 60% of the council’s budget is funded by Government grants and, whoever forms the next Government, there is a very real likelihood that the money received in grants will be reduced.