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Inflation and community support will be key factors in the future of Girvan’s Quay Zone, according to its operators.
South Carrick Community Leisure Trust highlighted the rising cost of maintaining the building in its annual performance report to South Ayrshire Council’s Partnership’s Panel.
The council has given the trust £200,000 a year since it opened in 2017, with the level of funding for the next five years up for review as part of the council’s budget setting next month.
In his report to the panel, Peter Linton, general manager of the Quay Zone, said that maintaining and improving the facility would dependent on several factors.
He added: “Such development will be in part be dictated by the confidence the community has to continue using indoor facilities but, more importantly, by the impact of increasing energy costs and the impact of inflation.
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“As the financial year drew to a close [inflation] was nine per cent generally, but more for key inputs such as fuel and food.”
The trust will present its annual performance report to the council’s partnerships panel on Wednesday.
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Mr Linton said that the centre had gradually returned to more ‘normal’ operations, but that the soft play and cafe could not reopen until August 2021.
He continued: “Although the South Carrick community were quick to return and support us, the gradual relaxation of restrictions and phased re-introduction of services meant that we missed out on most of the Scottish school’s holiday summer trade.
“When we were able to re-open the café it was with a redesigned menu offering a greater selection of hot food options as a result of the purchase of a new, high-speed oven.”
He also outlined the situation around membership: “Membership is a key part of the financial model that sustains TQZ.
“Swim, gym and class membership levels gradually increased month on month throughout the year and although not entirely back to pre-pandemic levels were on a strong footing at the year end.”
Mr Linton went on to describe the cost of maintaining the premises.
He said: “By the end of the financial year, TQZ had been in operation for five years. As a consequence, the fabric of the building and equipment essential to its operation were developing faults requiring increased levels of maintenance and repair.
“The specialist nature of some of the equipment operated and the relatively remote location of TQZ mean that maintenance costs are comparatively high.
“The burden presented by this is expected to increase over the next 5–10 years of operation as elements of equipment reach the end of their life or service expectancy.”
The Quay Zone made a profit of £78k for the year, but acknowledged that it would have made a loss had it not received around £97k of covid business grants.
Mr Linton concluded: “The challenge will be to maintain services and progressively develop them.”
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