The determine is the deficit anticipated by Peterborough Metropolis Council referring to its earlier contract with Vivacity.
The not-for-profit belief, which ran arts, tradition, leisure, heritage and library providers, collapsed final yr as a result of coronavirus pandemic which noticed non-essential premises having to shut for lengthy durations.
The providers have since been re-distributed by the council to Metropolis Faculty Peterborough (below a brand new organisation known as Metropolis Tradition Peterborough) and Peterborough Restricted, each of that are below the authority’s remit.
Requested in regards to the deficit, which pertains to the present monetary yr (April 2020 to March 2021), a council spokeswoman mentioned: “That is as a result of drop in revenue that was anticipated throughout November and January lockdowns and the lowered revenue in residents utilizing the providers exterior of those occasions as a result of Covid-19.”
That is being offset by £36.2 million of extra funding from the Authorities.
The Conservative-run council is forecasting a deficit of £36 million for its 2021/22 finances and is in talks with the Authorities about assist to bridge this hole with native authorities legally not allowed to plan to make a loss.