Memorandum submitted by Wychavon District
Council
SUMMARY
1. The Droitwich Canals Restoration project
is soon to become a reality with major construction works starting
in the summer. This is primarily due to the strong working partnership
between British Waterways (BW) and Wychavon District Council staff
with strong and effective support of Worcestershire County Council
and Droitwich Canals Trust. Wychavon has found BW to be an innovative
and accommodating partner with the project having benefited greatly
from the regeneration and restoration skills within the organisation.
2. Wychavon District Council is concerned
that the reduction in funding available to British Waterways has
significantly contributed to the decision to withdraw from the
Cotswold Canal restoration.
3. Although we have received assurances
that the Droitwich Canal Restoration project is not affected it
is a concern that organisational changes resulting from that decision
both in respect of the staff involved in the project and wider
budget pressures within the organisation could impact on the delivery
and sustainability of the restoration.
4. The Council is mindful of the reliance
that large scale regeneration schemes place on external funding
and that the decision taken by BW to withdraw from the Cotswold
Restoration scheme may impact on future projects involving BW
if potential funders view BW as a "risky" partner. We
do hope however that such a scenario would not arise.
PROJECT BACKGROUND
5. Wychavon District Council has been working
closely with British Waterways, since 2000 to restore the Droitwich
Canals in Worcestershire, to full navigation and to create a linear
park along the canal corridor which will protect and enhance the
environment and provide a recreational resource for residents
and visitors.
6. The reopening of the Droitwich Canals
will create a unique 21 mile cruising ring using the River Severn
and the Worcester & Birmingham Canal and will act as a stimulus
to the local economy by encouraging new tourism based businesses
and the redevelopment of canal side land and properties.
7. Working in partnership with British Waterways
we have secured over £8 million pounds of external funding
from organisations including Advantage West Midlands and the Heritage
Lottery Fund. Wychavon and Worcestershire County Council have
each provided £1 million of funding towards the project.
8. Planning approval for the project was
received in January 2008 and we expect to start the first major
works package in the early summer. Completion of the project is
due by spring 2010.
BRITISH WATERWAYS
9. Over the last 8 years we have developed
and maintained excellent working relationships with British Waterways
and have found BW to be an innovative and accommodating partner.
In particular the Droitwich Canals project team and its Project
Manager, has in conjunction with the Wychavon team "made
this project happen". The Council is conscious that without
the dedication of the staff involved and their willingness to
engage with stakeholders and funding bodies at all levels we would
not be in the fortunate position we are in at this time. BW has
brought considerable expertise into the project in relation to
the engineering solutions needed to reopen the canals to navigation
and in respect of the redevelopment opportunities along the canal.
10. Wychavon cannot comment and it would
not be appropriate for us to do so, on the reasons for British
Waterways decision to withdraw from the Cotswold Canal Restoration
other than to restate the information is already within the public
domain. We are aware of the financial pressures on BW which have
increased over the last 12 months which from our perspective has
appeared to have reduced their ability to accept project risks
whilst maintaining the national canal network.
11. Without having access to all relevant
information we are unable to express an opinion on the merit of
the decision by British Waterways to withdraw from the Cotswold
scheme but we would not expect them to have done so unless it
was absolutely necessary and after proper consideration of the
impacts. We acknowledge that as a public body difficult decisions
do need to be taken and we are aware from having worked closely
with the BW team that there were a number of issues that have
substantially increased the project cost and consequent risk to
BW. Whether these justified the decision is not a matter we can
comment on.
12. Wychavon has been reassured of British
Waterways commitment to the Droitwich project, for which we are
grateful. We consider the continuing support of BW to be essential
to the success of the restoration and would have serious concerns
about the viability of the scheme without British Waterways resources,
knowledge and its willingness to accept responsibility for the
future ownership and management of the waterway.
13. The decision to withdraw from the Cotswold
scheme could have an impact on the Droitwich project as many of
the staff were shared between the projects. Internal changes within
BW following the withdrawal from the scheme have yet to be clarified
but we would be deeply concerned if they resulted in the loss
of key staff and knowledge which are considered essential to the
Droitwich scheme. The Council has sought appropriate assurances
on this matter and expects to receive them shortly.
14. Our close working relationship with
British Waterways from the earliest stages of the project has
meant that the risks associated with the scheme are known to each
of us as well as the main funding bodies. In the event of the
project risk and cost increasing we would expect BW to meet its
commitment to complete the project, as both Wychavon and BW have
resolved at Board level to commit to the Droitwich Canals restoration.
15. The Council is aware that internal budgetary
constraints within British Waterways have limited the operations
of the individual waterway regions. We understand that this has
occurred as a consequence of the reduction in grant funding from
the sponsoring department.
16. There has been a clear impact upon the
Droitwich restoration project as a consequence of the cut in funding
including a forced reduction in staff within the West Midlands
Waterways Unit which is no longer able to support the restoration
project to the same extent as it did to prior to the imposition
of budget cuts.
17. We are mindful that the Cotswold Canal
Restoration scheme was substantially funded by both the Heritage
Lottery Fund and the South West Regional Development Agency. Will
these agencies and indeed other potential funders may now be less
inclined to become involved in schemes where BW is a key partner?
Without successful multi-agency partnerships its is difficult
to foresee how future canal restoration projects could be brought
to fruition.
18. We would ask that the Committee reviews
the decision to withdraw from the Cotswold canal scheme within
the wider context of British Waterways regeneration successes.
The gravity of the decision must, however, be acknowledged and
impact of the reduced funding available to BW in future financial
years needs to be ascertained otherwise there is a risk that other
projects will be curtailed despite BW's assurances to the contrary.
19. Funding pressures within BW in the future
may also result in further reductions in maintenance expenditure
which is of concern to the Council as we have agreed with BW that
the restored canals will be transferred into their ownership upon
completion. This mechanism has been adopted as it would ensure
the canals are maintained by the appropriate authority as cruising
waterways are part of the national canal network. Following the
expenditure of considerable public funds to restore the canals
to navigation it would be unconscionable to see that gain negated
by inadequate long-term maintenance.
Jack Hegarty, Managing
Director
Wychavon District Council
March 2008
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