A REGENERATION project that includes converting a toilet block into a restaurant has had to be bailed out using a UK Government grant.
The project, which also includes revamping a multi-storey car park and the private-led redevelopment of a derelict church, was awarded £7.6 million from the UK Government’s Levelling Up fund in January 2023.
But redesigns of the car park in Pontypool have pushed the project over budget by an estimated £1.5m which Torfaen Borough Council is able to fill as it is entitled to a grant, of the same amount, under the government’s Pride in Place scheme.
The council’s Labour cabinet unanimously agreed at its Tuesday, November 25 meeting to use the £1.5m Pride in Place grant to benefit Pontypool town centre by putting it towards what it calls the Pontypool Cultural Hub and Cafe Quarter.
The cabinet was also told a planning application for the conversion of the toilet block will soon be submitted. It will be the third time the council has put the plans for the toilets and car park before its planning department, with two previous applications having already been approved.
Pride in Place funding
Councillor Joanne Gauden, the Labour cabinet member responsible for the economy, said the £1.5m Pride in Place funding had been confirmed by the government in September.
She said: “This extra funding will help reduce the risk associated with rising costs and any surplus funding will be used to bring forward other key elements of the Pontypool placemaking plan particularly to connect Pontypool Park to the town centre.”
She said the project is intended to create 36 jobs as well as secure existing jobs in the town centre with the intention that the attractions will draw some of the estimated 300,000 people that visit Pontypool Park every year into the town.
Cllr Gauden also confirmed the third planning application for the toilet block would be submitted “shortly” and said “visible work” on the derelict St James Church, which is opposite the Hanbury Road toilets, will soon take place as a legal agreement to release funding has been agreed.
Greg Macdonald, the council’s newly appointed interim head of economy, told the cabinet agreeing to using the funding would give “traction” for the town centre regeneration which he described as “the most important thing”.
He said half of the £1.5m, or £750,000, has to be spent by the end of March 2026 or the council could risk losing the award and he said a further £750,000 from the Welsh Government would also be at risk.
Private investment
He said getting private investment was “probably the hardest bit” in a redevelopment project and reminded councillors the authority has already secured that for the project through the redevelopment of St James’ Church as an event space and venue.
He said the council has already spent £2m on the project.
The council had agreed a construction contract for the conversion of the toilet block and overhaul of the car park in April last year but doubts remained over that funding, though it was still intended for work to begin in September.
The council has now been able to resolve the funding issue with the Pride in Place grant but revisions to the agreed proposals have resulted in the need for a third planning application, and the £1.5m figure does include increased costs attributed to inflation.
Cllr Mandy Owen asked if the council was confident the cafe would be attractive as “sustainable and thriving” businesses to local contractors and was told by an officer, a report during the bid stage had demonstrated a cafe with 60 covers would be viable.