Northumberland College building plans 'in limbo'

Posted by The Journal on Mar 24, 09 10:54 AM in News

Northumberland College building in Ashington The North could face years of waiting for new further education buildings amid a funding crisis.

Hopes were raised of new college buildings going ahead soon, but Skills Secretary John Denham yesterday warned of a "longer wait" because of a cash crisis at the higher education funding body.

The Learning and Skills Council chief executive Mark Haysom yesterday quit with dozens of colleges affected, including at least seven in the North East - with Northumberland College fearing its rebuilding plans may now not go ahead for years.

The LSC sparked the crisis by giving "approval in principal" to more projects than it could afford.

Speaking to The Journal, Mr Denham said new LSC acting chief executive Geoff Russell - formerly of accountants KPMG - would make it a priority to bring "clarity" to the sector.

"He will need to look at the position of those colleges that feel financially exposed. He will need to look at the position of a number of colleges who have already started extensive preparatory work.

"And for the others, we have got to have a fair and open and transparent way of having priorities for the future," said Mr Denham.

He insisted the LSC was independent from the Government over such decisions, but that he was right to apologise in the House of Commons to affected colleges in January.

"We always had the aim of trying to complete the modernisation of the FE estate by 2016, my difficulty in a sense is we never said we could do it by 2011. And so what we have got to do is try and give some order to this.

And I think for all colleges that can't proceed exactly when they want to are going to be disappointed and understandably.

"I think provided we approach this properly, we discuss with the sector how we prioritise schemes, some people will understand if they have a longer wait than they were hoping for," added Mr Denham.

Further Education Minister SiÃÅœn Simon has now written to all further education principles about the programme.

Northumberland College finance director Chris Todd said its plans were now "in limbo" and expressed concern they might not go ahead until 2016 - even it would aid regeneration in Ashington.

The college has a ÃÂ£100m plan to build modern campuses in three locations in the county.

Building work was due to start later this year on a ÃÂ£50m campus on the former Ashington Hospital site after regional LSC approval and outline planning permission. The college has spent ÃÂ£671,000 on detailed proposals.

"It is a significant amount of money we have invested in this so far with the encouragement of the LSC," said Mr Todd.

He added measures would have to be taken to improve efficiency and bring extra money in, with colleges already in a "difficult predicament" because of the economy.

"It could mean tightening the belt significantly. It is going to place us in a very difficult position," said Mr Todd.

He said up to ÃÂ£3m of repairs would be needed if the scheme does not go ahead, adding: "This building was put up with a 20-year lifespan and it has been here 60 years.

"It is a serious situation."

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