Decision to sell unfinished hotel to be reviewed

Building work at the hotel on Fletton Quays is about 80% complete

A council decision to sell off an unfinished city centre hotel is to be further reviewed.

The Hilton Hotel, in Fletton Quays, Peterborough, is set to go on the market after developers, who took a £15m loan from the city council for the project, went into administration.

The local authority is hoping a buyer comes along to purchase the hotel, which could help them recoup the investment.

But three Conservative city councillors - John Howard, Marco Cereste and Alex Rafiq - have called for the cabinet decision agreed on Thursday to be reviewed.

Design plans for the hotel, overlooking the River Nene, were expected to be ready in 2019. However, construction was stalled in 2020.

According to cabinet papers, the unfinished 160-bedroom hotel is impacted with water ingress on the south-east corner of the building and has a "significant" pigeon infestation.

It could cost £1.3m to sort out the pest infestation and water ingress within the unfinished building

An extraordinary scrutiny committee meeting will take place to hear the reasons for the call-in and debate next steps on 20 October.

Conservative group leader Wayne Fitzgerald told the BBC it was the "wrong decision" by the council's cabinet on Thursday to ask administrators to sell the hotel.

He said the council could "lose millions" in the sale. Previously he blamed the Covid-19 pandemic for the hotel's failure.

Mohammed Jamil, deputy leader of the Labour group at the city council, said they were trying to "clear up the mess" of the previous council and the full amount might still be recouped.