Civic loan to Ironbridge Gorge trust may continue
Civic chiefs could extend a half a million pound loan to one of Shropshire's top tourist businesses for a further 10 years.
The original loan was approved by Telford & Wrekin Council for the Ironbridge Gorge Museum Trust to help boost the local economy. The loan was first approved in November 2009 for 12 months. And in October 2010 it was agreed to extend the repayment period for three years.
It is now due to end on January 15, 2013.
Plans to extend it a further 10 years are due to be discussed by the council's cabinet tomorrow.
A report to the cabinet said: "Although the partnership with the IGMT has gone from strength to strength, repayment of the loan has been limited.
"Some repayments have been made through IGMT's work project managing recent, highly successful World Heritage Festivals, provision of premises rent-free and the provision of visitor information services but a significant proportion of the loan is outstanding."
But the report added: "The extension of the repayment period for the loan will ensure opportunities to promote the economic growth and regeneration of the borough are driven forward in line with the council's cooperative values."
A report to the meeting said the loan was secured by a guarantee from the Ironbridge (Telford) Heritage Foundation Ltd. It is proposed that the guarantee will also be extended and the recommendation to extend the loan is subject to this.
The report said: "It is important that repayment is monitored to ensure the loan is fully repaid in line with the agreement.
"Value for money is demonstrated through the partnership working which benefits the community as a whole."
Founded in 1967, the Ironbridge Gorge Museum Trust Ltd (IGMT) is a registered charity whose twin aims are education and heritage conservation.
Ironbridge is recognised as one of the world's largest independent museums operating 10 museums under one umbrella.
