A LEADING politician has raised concerns about two massive council-backed Stockton town centre projects.

Steve Walmsley, leader of Thornaby Town Council and the Thornaby Independents, has argued that a Stockton Borough Council proposal to borrow £17m to build a Hilton Hotel and pay it back at £830,000 a year for 35 years is “fiscally irresponsible.”

He also questioned the extra £2.1m being allocated from tax-payers’ money to restore The Globe on top of the £1.15m already pledged, because it is a privately owned building.

However both criticisms have been strongly refuted by the council.

Cllr Walmsley, who was a prominent borough councillor for many years and is be made an alderman of the borough, also argued that big projects were far more likely to be developed north of the river rather that in towns south of the Tees like Thornaby. In contrast, the people of Thornaby had to find £100,000 to buy back their own town hall, he said.

He said: “Here in Thornaby we’re getting criticised about spending money on the town hall that is just for the people of the town. The Globe is privately owned.

“They (the council) want to borrow £17m for a new hotel but the Swallow Hotel (which has been empty and derelict) is going to be handed over for student accommodation. They will then employ a private management company to run this new hotel. Don’t forget we had a hotel chain that wanted to open at the former Springs (gym) site at Teesside Park and they turned it down. There’s risk management issues about this scheme. And there must be a few people annoyed who’ve lost their jobs at the council in the cut backs about this money being spent.”

However Cllr Nigel Cooke, cabinet member for regeneration, argued back strongly and argued the “big picture” for the area and “moving forward” had to be considered.

And he stressed that no public money was going to Jomast, the private development company that owns The Globe building but the restoration of the building was a clear benefit to the borough. He explained that £3.9m of Heritage Lottery Fund (HLF) money was on offer wouldn’t be on the table forever. Jomast has already allocated £1.8m. Some details of the partnership were commercially sensitive. It has previously been revealed that the council will act as ‘lead partner’ in The Globe project from now on.

Cllr Cooke pointed out the council had been praised by independent auditors several times for its careful use of public money. He said the hotel would make money which would pay back the debt and would generate money for Stockton.

He said: “I am convinced we’ve got a sound plan at The Globe. The HLF are not going to wait forever. The hotel is not capital spend and will generate money for Stockton.”