AFTER more than a year of wrangling that has seen unseemly spats with the port of Southampton, the Government has given its blessing to cruise ships starting and ending their voyages in Liverpool.
It follows a year-long consultation over turnaround which has resulted in the city council agreeing to abide by a ruling over paying back most of the £9.2m Government grant that was received for the construction of the facility.
An independent arbiter was brought in to make a recommendation because the terminal, which opened in 2007, was funded on the basis that it would be a “call in” facility.
Shipping Minister Mike Penning has said a one-off payment of £8.8m, or £12.6m spread over 15 years, would be sufficient for restrictions to be lifted.
Southampton has 65 percent of the UK cruise market
The Southampton Daily Echo observed: “The statement will anger some in the Southampton camp by offering the chance to spread payments until 2027. And it makes no reference to a separate EU grant of around £8.6 million, which Liverpool has not offered to repay.”
However Mayor Joe has said the EU has not asked for the money back and if and when it does, he will cross that bridge then.
In the meantime, it's all systems go on the waterfront. A temporary customs and baggage building, parking and drop off facilities is almost complete opposite the current facility on Princes Parade and will be ready in time for the arrival of the first turnaround vessel – the 17,000 tonne Ocean Countess in just a week's time ( Tuesday 29 May).
Hotel
Mayor Joe believes the decision was a turning point for the city's fortunes. “This is the moment the whole city has been waiting for,” he said. “It is a hugely significant milestone in our future and vitally important to the success of our local economy," he said in a statement.
“For far too long, holiday makers in the north have had to travel to and from other places to start their journeys.”
The temporary building is being leased during the cruise season from 2012-2015 to provide check in, baggage drop and reclaim, as well as customs and border facilities, and a new internal road has also been created. Plans for a permanent facility including a hotel will be drawn up in the longer term, the city council said.
It forecasts the turnaround facility will have around a five percent share of an expanding UK cruise market. Southampton currently has a market share of over 65 percent.
The Ocean Countess is scheduled to visit 12 times during the 2012 cruise season. In addition, a total of 20 ‘day call’ vessels are also confirmed, with around 30,000 passengers expected, generating up to £6 million for the local economy, according to the council.
Riverside MP Louise Ellman described it as a momentous decision, and a "major breakthrough for Liverpool’s economy, bringing jobs and investment".
She added: "This is an excellent example of the partnership between the city council and its MPs. We have lobbied Shipping Minister Mike Penning on this issue and I am delighted with this great result for Liverpool."
