KGV College’s £40million  building plans have been left “hanging in the balance”, after the Learning and Skills Council (LSC) failed to give the green light for funding.

Building was due to begin at the Scarisbrick New Road site in February this year (2009), but the project ground to a halt when the LSC put a freeze on funding college developments nationally.

On Friday (June 26,2009), it was announced that KGV was not one of 13 further education providers around the country to be picked by the LSC to take its project to the next stage.

The 13 chosen colleges, including Merseyside’s St Helen’s College, will now be asked to reduce costs for their plans and look to other sources for backing before the LSC give funding.

A statement released by KGV said: “The £40 million project so well supported by the LSC right up until December is now left hanging in the balance. It is not on the list announced by Ministers on Friday. 

“The list was made up of mostly large urban FE colleges in labour seats.”

College principal, Hilary Anslow, described the situation as a “huge disappointment” and added: “The project had the support of the LSC, the whole community and is much needed by the College.

“However, I am sure you know us well enough by now to know that if Plan A is on long term hold, we are already working on Plan B.

“I cannot tell you what we will do next just now, but I can tell you that we will not do nothing.  We cannot proceed with the visionary project as planned – but we will do something.  Watch this space!”

KGV had already spent £2million during early stages of the development, which was set to include a new two-storey structure to replace old and portable buildings. The existing Millenium Building was to remain alongside a new sports hall, performing arts centre and additional learning space.

The LSC explained: “Many colleges have incurred development costs for projects which will not now be going ahead in the short term.

“We have a contingency fund to mitigate the impact of potential aborted costs on the financial health of colleges. This will be limited to those appropriately incurred within the terms of the capital programme.”

Southport’s Liberal Democrat MP, John Pugh, told Champnews.com: “This is a bitter pill for the college to swallow.

“They have been led up the garden path by the LSC and left stranded.

“Hopes have been raised only to be dashed and money spent to no avail. With a big squeeze on public spending coming whoever wins the next election, the outlook can only be gloomy in the short term.

“The principal and I saw the minister a few weeks back and were given no real promises. We now know why.”

By Natasha Young