Issue details

As part of the provision of the new Ashford College Campus on Elwick Road, the Council undertook to grant £3 million to West Kent and Ashford College. As advised by finance and legal in granting this public funding, it was deemed prudent to offer this funding as a secured loan in the first instance (£2 million for Phase 1 and £1 million for Phase 1a), in order to ensure the physical delivery of this project.

Cabinet and Full Council approved these loans, and the terms of their conversion to grant, in July 2016. Cabinet also noted the Chief Executive’s use of delegated authority in September 2018 to convert the £2million loan for Phase 1 into a grant following the completion of this phase of the development. The College have an existing £1million loan from the Council for Phase 1a, which could be converted to a grant on completion of the Phase 1a buildings.

The report to Cabinet in February 2020 updated Cabinet on the steps being taken by the Council to support a resolution to the West Kent and Ashford College Education Administration, and requested that Cabinet delegate authority to the Chief Executive in consultation with others to resolve discussions with the Education Administrators over the £1 million loan, to seek to create a good college provision within the area moving forward.