At Tuesday evening’s Cabinet meeting, as you would have seen if you followed our Twitter stream, Cabinet members expressed their concern at the recently revealed losses at Ventnor Haven.
Readers will remember that the Isle of Wight council are now required to produce annual reports for the harbours they are responsible for, namely Ventnor Haven and Newport Harbour. The annual report for Ventnor Haven revealed that in 2011/12, the Ventnor Haven suffered losses of £101,000.
Contribution to the economy of Ventnor
Council leader David Pugh introduced the annual reports for members to approve before sending to the Department of Transport. He stated there was little scope to either increase income, or significantly reduce operating costs of Cheetah Marine, the company who managed the harbour. He added that the net loss of £101,000 should be seen as a contribution to the economy of Ventnor.
Cllr Pugh was keen to point out (he mentioned it twice) that had the Haven been built during the lifetime of the current council, it would have been done differently, “It would be fantastic if it was very different to what it is, but those are the circumstances in which the haven was constructed, in a manner which is not conducive to operating at anything but a net loss.”
£1m losses over ten years
West Wight Conservative Cllr Stuart Hutchinson remarked that if losses at Ventnor Haven continued at the same rate, the cost to the IWC in ten years time would be over £1,000,000.
“I think we need to look really, really hard at how we can make that harbour at least break even,” he said. “Even if we need to set up a working party to think outside the box.”
His thoughts were echoed by Chale, Niton and Whitwell Conservative Cllr Dave Stewart.
Independent Cllr Ian Stephens added that he didn’t know of any other marinas around the south coast that lost as much money as the IWC does.
Assurance sought over losses
Labour Cllr Geoff Lumley asked for an assurance from the Cabinet that the possible £1m losses in ten years would be dealt with.
Cllr Pugh said that they would look at ways to reduce the cost, but reiterated his earlier point that Ventnor Haven is not conducive to operating at a net operating profit, because of the way it was constructed and the costs associated with removal of seaweed.
Minutes of the meeting produced by the council state, “Members were concerned over the loss recorded by Ventnor Haven, but agreed that the harbour contributed to the overall economy and tourism of the area.”
Image: © Used with permission of Richard Heaven
