THE venture which took over Tynedale’s premier sport and leisure centres in a controversial deal two years ago is seeking £1m bailout from council tax payers.

Blyth-based Active Northumberland took over the running of the district’s council-owned leisure facilities – Wentworth Leisure Centre and swimming pool in Hexham, along with Prudhoe Waterworld – in October 2014.

But the not-for-profit company has already run into financial problems. A new board has discovered “a number of issues”, including historic governance of the organisation and a significant financial deficit incurred within this financial year, resulting in a £1m hole in its coffers.

In a letter to Northumberland County Council, chairman of Active Northumberland David Hall, has asked for a non-refundable grant of up to £1m to support the charity this financial year.

He said: “Since joining the board it has become very clear there are a number of issues which we have inherited within Active Northumberland and which need to be resolved.

“The senior management team are working hard to resolve these issues; including working on the business strategy and its budget.

“The new Active Northumberland board will be reviewing these shortly, but in the meantime we have asked the council for support of up to £1m to assist us this year.

“There is no doubt the organisation will undergo a number of changes as a result of its new business strategy and budget issues. However, I firmly believe that these issues can be addressed to ensure the future success of the charity.”

In response, the council has indicated that it will provide an unspecified amount of additional funding to safeguard the future of the trust, provided it is able to produce a credible business plan which will deliver the financial targets for the coming years.

This includes savings of £2m in the next financial year and a further £1.5m the following year.

County council leader Coun. Grant Davey said: “We are aware of the situation with regards to Active Northumberland and have agreed to provide financial support to safeguard the future of the charity.

“We will look at all the options available and want to ensure that there is a credible recovery strategy and programme in place to put the organisation firmly back on its own two feet.

“However, I would urge residents to use their services, especially the leisure centres and facilities. They are a vital part of their local communities, but due to the significant budget cuts imposed on us by central Government such services are under threat – they must be financially viable.

“The more residents who use them the more likely they are to be protected in the future.”

Built by the former Tynedale Council, the facilities were developed and operated for decades by Hexham-based North Country Leisure.

However, Northumberland County Council decided to bring all council-owned leisure facilities in the county under one banner, with the creation of Active Northumberland.

This was made up of staff from North Country Leisure, Blyth Valley Arts and Leisure, Sport Northumberland and the county council itself.

NCL staff who work at the Hexham and Prudhoe sites were transferred to the new charity.