TWO Trowbridge town councillors have today called for an extraordinary meeting to debate cancelling the £7.5 million artificial turf pitch project at Doric Park.

Councillors Antonio Piazza and Edward Kirk fear inflation will make a £3.9m loan requirement more expensive to repay if interest rates continue to rise.

A dramatic increase in construction costs fuelled by inflation could also escalate the cost of the proposed development, which is already a month behind schedule.

Cllr Piazza claims he and another unnamed councillor - who is believed to be Cllr Kirk - have been excluded from recent Doric Park Working Group decisions on the project.

He and Cllr Kirk want the Liberal Democrat-controlled council to consider cancelling the scheme and attempt to recoup any funds already invested.

Cllr Piazza said: “My reason for this derives from the constant rise in construction inflation and PWLB interest rate that will make this project undeliverable.

“The repayment figure depends on the interest rate at the time. The interest rate is now 3.95 per cent, meaning the total repayment is £8,971,609.00 (closer to £9m).

“With inflation increasing, this will only rise until inflation nationally gets under control. The repayment each year is now £179,432.18.

“This means the project will in no uncertain terms make a loss. This changes the business plan significantly.

“This interest rate will most likely increase even further because of rising inflation. Goldman Sachs today said inflation could top 22 per cent.

“It simply is not the right time to be investing in a project such as this and we need to put an end to this. We owe it to the residents of Trowbridge.”

His call is being backed by Trowbridge MP, Dr Andrew Murrison, who said: “Cllr Piazza is correct to table and Cllr Kirk is right to second this.

“Inflation, likely to get even worse, is shifting the calculus on many business decisions right now and should mean closure on this one.

“I do appreciate all the hard work and passion that has gone into the project but, in my view, circumstances now mean it’s time to draw it to a close.”

The council has yet to receive confirmation from The Department for Levelling Up that the £3.9m loan has been approved by the Public Works Loan Board.

Cllr Piazza says the council has already signed a Letter of Intent to appoint Beard Construction as the ‘main contractor’ to build a new pavilion and associated works without waiting for the government’s approval for its loan application.

Under the terms of the Letter of Intent, the council would make an upfront payment of £150,000 + VAT to Beard Construction, while hoping for loan approval to come through.

“They are effectively utilising council resources before the loan has been approved and risking it by putting £150,000 + VAT on the table on the assumption that the loan will be approved by government”, Cllr Piazza said.

“They are gambling really because, if the loan is not approved, that money is wasted on a dead project, because you cannot get that £150,000 Letter of Intent money back.

“Instead, the council's plan is to draw from its own funds for now and the Letter of Intent expenditure will be accounted for at the end of the year.”

In the Letter of Intent contract, the council states the project has a target date of possession on October 13 2022 and a new target date of completion for October 6 2023.

Cllr Piazza added: “I predict that this date will not be met, mainly because there are too many variables at play (legal and fiscal) that will delay the project further.”