12/06/2026
LABOUR’S BLACKPOOL GAMBLE IS COSTING RESIDENTS MILLIONS
Blackpool’s Labour council keeps telling residents there is no money, yet case after case shows they have gambled huge sums on risky regeneration deals that stall, overrun or collapse. One failed Bispham housing scheme alone has left the council owed about £9.5 million by a developer in administration, while a seafront hotel given a £10 million council loan still stands empty years after it was meant to open.
Under Labour, Blackpool Council has turned into a lender and speculator with our money. At Ryscar Way in Bispham, the council loaned almost £10 million to a special company set up by Create Developments to build 51 homes. Around 20 homes are finished but the company has gone into administration and administrators say almost all of the £9.6 million the company owes is to Blackpool Council. On top of that, it is estimated that it will still cost millions more to complete the estate. Residents do not see a clever financial strategy there. They see a council that took a huge risk with public cash and lost control of the project.
On the Promenade, the Sands Hotel is another symbol of Labour’s poor judgement. The 91 bedroom hotel was originally expected to open in 2021 and was backed by a £10 million loan from the council. Instead, it has become known as the big black empty building while legal disputes between the owner and contractors drag on. The outside looks finished, the Showtown museum inside has opened, but the hotel itself has not. The council says the loan is secured against the completed development, yet we still do not have a completed hotel. That is not what most residents call value for money.
The flagship Blackpool Central scheme tells the same story on an even bigger scale. Labour leaders celebrated when they signed terms with developer Nikal to deliver a £300 million leisure and hotel complex. Now Nikal has filed a notice of intention to appoint administrators and the company behind this huge regeneration has gone into administration. The council is scrambling to find a new developer and is paying for site clearance itself while insisting the project will somehow carry on. Once again, our town is left in limbo because the partner chosen by Labour to deliver a major project has collapsed.
This pattern is not limited to a few headline schemes.
Conservative councillors have already raised concerns about a growing list of Labour run projects that suffer major delays or overspends. The Winter Gardens Conference Centre overran by three years, the tram extension into the town centre took five years longer than planned and the Holiday Inn project was almost a year late with the surrounding area still unfinished. Minutes from the Town Deal Board show an £8 million Levelling Up grant for turning the old Post Office into an Indigo hotel is at risk until serious structural questions are resolved. These are not teething problems. They are warning signs that the council’s project management is not up to the grand promises.
At the same time, residents are told that the council’s finances are under intense pressure. Reports show reserves have fallen to very low levels and the council is facing a large budget shortfall while carrying a heavy debt load and rising interest costs. In that context, every pound wasted on failed deals and stalled projects is a pound not spent on clean streets, safer neighbourhoods or fixing our roads.
Blackpool Conservatives believe our town deserves ambition but also basic competence. Regeneration should be built on sound due diligence, realistic timescales and clear safeguards for taxpayers, not glossy brochures and wishful thinking.
We will keep challenging Labour’s record, demanding full transparency on the money at risk and pressing for a new approach that puts residents and local businesses first instead of failed developers and never ending vanity projects.