Council committee approves gondola plan as costs ‘rise to £50m’

Council committee approves gondola plan as costs ‘rise to £50m’

21 February 2024

AN influential Newry, Mourne and Down Council Committee has approved a key part of the controversial Mournes Gateway project which features a gondola ride into the heart of the mountains.

Last Thursday evening, members of the Strategy, Policy and Resources Committee approved an agreement between the local authority and National Trust on how they will work together moving forward.

But the decision to approve the so-called ‘memorandum of understanding” wasn’t unanimous with Alliance members abstaining.

Last Thursday night’s meeting took place in the wake of claims that the cost of the flagship tourism project had increased by £6m to £50m.

The proposed international tourism project is being funded by the Belfast City Region Deal which is providing £30m, with the balance picked up by the district’s ratepayers.

Alliance is vehemently opposed to the multi-million pound proposal which it has labelled a ‘vanity project’.

In addition, the party called for a halt to appointing consultants to work up a business case for the ambitious proposal until talks were held with the National Trust which owns Thomas’s mountain where the cable cars will transport tourists to a new visitor centre.

Both the council and National Trust are committed to establishing a joint working group which will also have key input from Tourism NI and the Environment Agency on the project.

Last week, council chief executive, Mrs Marie Ward, insisted the cost estimates for the Mournes Gateway project have not increased, but confirmed that discussions are ongoing about the allowance being built into the £44m project to cover possible future construction, inflation and other risks and that have not been agreed at this point.

She also confirmed she met recently with the Permanent Secretary at the Department for Economy and that discussions are ongoing, with a report on project costs and budgets due to be presented by council consultants shortly.

The local authority and National Trust have been involved in preliminary discussions about the possibility of entering into a lease agreement for the use of part or all of the property for the proposed visitor centre.

Both parties acknowledge they share a common interest in protecting and enhancing the natural  heritage and habitat of the region for the benefit of the public and agree to regular communication to keep each other informed of any developments or issues that may affect their potential relationship or respective interests.

During last week’s committee meeting, Downpatrick Alliance councillor Cadogan Enright said his party has “some governance concerns” and would abstain from voting.

He continued: “There are things I am not happy about; we haven’t seen the risk register for what is now a £50m project, costs are escalating, money is being spent and this memorandum of understanding far from guarantees acquiring the land for the project and we don’t have any alternative projects to take its place.

“I am aware the Department for the Economy says it is going to cost £6m more for the project and

have grave concerns about this. We want to be abstaining on this to show that we have raised the alarm.”

Party colleague, Tierna Kelly, said given all the concerns Alliance has raised on the project, when will council members choose to reconsider their position on its progress and “how much cost increase do we have to incur on this project before we rethink how far this project is going to go?”

Council director, Mr Conor Mallon, said that in a response from the Department for the Economy to a media query, a spokesperson said “the council’ cost estimate for the Mourne Gateway project is £44m.”

The response added: “The Department has been engaging with the council to establish what additional allowances should be built into the project budget to cover future construction costs, inflations and other risks. That work has not been finalised.”

Downpatrick councillor, Oonagh Hanlon, said it was quite clear that Alliance members attended the committee meeting with an “agenda”.

She declared: “They [Alliance] stated they were abstaining before we even had a chance to listen to the officer’s report or to what other people in the chamber had to say. They have totally misread the paper and brought in things that are not related to it.

“There is nothing other in the MoU than an agreement to work together with the National Trust, which is what Alliance asked for and yet they are going to abstain on this. It doesn’t make any sense whatsoever.”

Cllr Pete Byrne said people should not be “bandying about finances and throwing figures out there to try and grab headlines”.

He continued: “People coming out of this chamber trying to grab a headline about something outside the paper that is in-front of us and throw out figures of £50m or to say that a project won’t get a lease, should be drawn over the coals.

“The Alliance party asked for a relationship with the National Trust, which is in-front of them tonight and they go against it. This is about just stopping the project.”