Proposals to alter a controversial bus gate system could have a £160 million Sword of Damocles hanging over them, council chiefs have claimed.
The measures, installed last August along Guild Street, Market Street and Bridge Street, have been a source of mounting frustration for Aberdeen city centre traders.
These bus gates have been blamed for flatlining footfall, with at least 500,000 fewer visitors since they were put in.
But, despite a campaign backed by about 11,000 people, councillors have voted to keep them in place – with only some small glimmer of hope for businesses.
During a stormy meeting this month, they agreed to temporarily lift the restriction at The Adelphi, allowing access turning left down Market Street from Union Street.
Officials have also been tasked with looking into whether the Bridge Street bus gate can be abandoned, and if a ban on right turns from Union Terrace could be removed.
However, these investigations will be carried out with dire warnings ringing in the ears of both city officials and elected members…
Would bus gate axe really dash hopes of £150m windfall?
But now threats have emerged that a possible £150m in grants for a separate scheme may be at risk if the measures are scrapped.
The council is hopeful of netting the staggering sum to cover the costs of a long-planned Aberdeen Rapid Transit system.
This would cover a fleet of specialised vehicles, similar to normal buses but much larger, along with stops and other infrastructure.
Bosses have already planned the route for the futuristic vehicles.
One of the two, which will run between Westhill and Blackdog, would use Bridge Street, Guild Street and Market Street as it passes through Aberdeen.
This, it is claimed, hinges on bus gates being in place to decrease through traffic.
Debate over £150m risk
It has now emerged that council chiefs are wary the money for this major project could be at risk if motorists are allowed back on these roads.
The SNP’s Michael Hutchison, pilloried for comments made about the Common Sense Compromise campaign during the same recent talks, asked “how the route for the rapid transit network would sit alongside the bus priority measures”.
He said: “What sort of ballpark would that be in, that we might not be able to apply for, if we don’t make sure we have the foundations for it?”
Planning chief David Dunne confirmed that the city had already spent about £2m on the plans.
And he said that “anywhere between £50m and £150m” would be at stake in future funding, with hopes to net these huge sums in grants.
However, Labour’s Jennifer Bonsell pointed out that it was possible for the “currently preferred routes” to be altered.
Mr Dunne said: “Absolutely. The whole process is to develop the business case.
“I will say though, anything we do in the city centre that changes the transport plan will have a knock-on impact.”
£150m threat emerges amid existing row over millions
Meanwhile, as these new warnings were issued, council finance chief Jonathan Belford produced a copy of the grant letter sent when the authority scooped the £8m South College Street bonanza.
He said he “thought it would be helpful” as councillors mulled the bus gate debate.
Mr Belford then quoted a section stating that Scottish ministers “may re-assess, vary, make a deduction from, withhold or require immediate repayment of the grant”.
This would be possible in the event of “any change or departure from the purpose for which the grant was awarded”.
He stressed: “They make it clear they have means for that to be recovered.”
Mr Dunne added: “The award letter is very clear. There was no expectation we would take out capital works we had just put in.”
But could council just take the hit to get rid of problem bus gates?
Opposition councillors probed the issue, asking if the council would be in a position to simply stump up the £8m if those warnings came true.
Mr Belford answered that the council “has a degree of resilience”.
He added: “We have reserves, most of which are set aside for specific things.
“But we have uncommitted balances in case of financial shock or unexpected changes.
“So in some respects the council is prepared to experience a change… However, that wouldn’t necessarily be the course of action I would hope for.”
Read more of the fallout from last week’s meeting here:
David Knight: Aberdeen councillors’ bus gate behaviour is embarrassing
City centre traders ‘face going bust’ as Aberdeen bus gates ‘chokehold’ to STAY
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