Salford accepts payout for arson-hit asset
City Mayor Paul Dennett has approved the acceptance of a settlement offer of £5.4m from insurers following the destruction of Clarendon Leisure Centre in 2024.
In a decision notice published by Salford City Council this week, Dennett said that the decision had been taken under the city’s mayor’s executive authority to act on behalf of the local authority.
The decision notice records that reports for both insurer-appointed quantity surveyors and the council’s appointed surveyors have calculated a loss of between 50-60% to the site, leading to insurers making an offer to settle at £5.4m, representing around 56% of the declared reinstatement value.
Dennett said that accepting this offer will protect the city council’s finances and support a way forward that prioritises the needs and aspirations of local residents, families, schools and the local community.
Essentially, Salford has made a calculated decision to take this offer to draw a line under the affair, rather than get bogged down in attempts to wring out further monies.
As the report outlines, Salford could have continued with claims negotiations and sought further expert reports into the integrity of the substructure of the pool, but that would increase unrecoverable spend and prolong settlement – even if it did result in an improved offer.
There is a replacement centre on the way. Plans for a new leisure centre off Churchill Way in Pendleton, with Willmott Dixon attached, came forward in 2021, but were shelved a year later.
Churchill Way is still the location for a centre to serve Pendleton and Charlestown. Responding to a question from Cllr Phil Cusack at Salford’s full council meeting on 15 July, Dennett said that the first stage of detailed design work on a new scheme is now complete, and a “clear project cost estimate” is in hand.
Salford has applied to Sport England for funding support, with detailed plans and an application expected to come together over the next six months, ahead of an expected build programme of 16 months.
