Bankrupt council to sell off flagship projects

A council in Surrey which declared itself effectively bankrupt is selling off its flagship regeneration projects.

Woking Borough Council is selling the town's new Hilton Hotel, Victoria Square and shopping centres to private investors, which one councillor described as the "sobering" reality of the bankruptcy.

The authority has debts of about £2.6bn.

Deputy council leader Dale Roberts said: "We're looking for some kind of resolution that will reduce debt and put us on a stronger footing for the future."

The council declared itself effectively bankrupt in June 2023.

As a result, its leadership has agreed to market Victoria Square, Wolsey Place, Alexander House and its Thames Wey energy company.

Victoria Square, including the Hilton Hotel, will be sold off. But the car parks will be split off and retained by the council.

Wolsey Place Shopping Centre, with Wolsey Walk residential units, Alexander House and Export House, and units owned by Victoria Square will be combined into another single entity to maximise value, according to the Local Democracy Reporting Service.

Roberts said: "We are looking at this point to sell the assets outright, but we may retain an interest if it's in the borough's best interest to do so.

"But this is a council that would shape its borough, shape its town centre, through policy and planning, not through ownership."

Councillor Ian Johnson, portfolio holder for housing, said: "My overwhelming feeling is that of disappointment.

"Finally, we will rid ourselves of something that has been a drain on our resources. It's fairly sobering isn't it, but it's the right thing to do."

Final approval of any deals will need the approval of full council.

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