Google land sale 'will not fix' Epping Council budget deficit

The sale of land at North Weald Airfield will not fix Epping council's budget deficit, a councillor says

Money from the sale of land to Google will not fix a council's underlying budget deficit, a councillor has said.

Epping Forest District Council recently announced the sale of 52 acres at a former Essex RAF base to Google.

A data centre could be developed on part of the North Weald Airfield - a Battle of Britain base in the 1940s.

The council has not announced how much the deal is worth but Conservative John Philip said the sale did not address a "substantial" underlying "deficit".

Epping Forest District Council has sold land at North Weald Airfield to Google

Mr Philip, portfolio holder for finance and economic development, said the "size of the capital receipt" and the "investment interest" it generated had "material financial implications" for the council.

But he told councillors: "There is a substantial underlying structural deficit in the council's general fund revenue budget, which cannot be addressed through the application of the North Weald Airfield capital receipt."

In March 2023, the council recorded its financial reserves as falling below the recommended amount of £4m.

The council has said the airfield would "continue to function as an operational aerodrome".

Following the announcement of the sale in January, Google said in a statement: "While we do not have a confirmed timeline for development, we want to ensure we have the option to expand our technical infrastructure, should our business demand it."

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