Main contractor pulls out of £44m York Stadium

MAJOR delays on the £44m York Community Stadium have forced main contractor ISG to pull out. 

In July 2016, the council, which is spearheading the 8,000-seat development, said that delays to signing contracts would push the completion date into 2017. The City of York council has insisted that it is still committed to the stadium and leisure development.

ISG and its subcontractors were supposed to start work in August 2016 and complete the job in 62 weeks but now it appears they will not begin work at all.

A spokesperson for ISG said that delays relating to a judicial review and increasing cost pressures have forced them to back out of the development, which is being led by leisure operator GLL.

Cinema chain Vue launched a legal challenge against the stadium in October 2016 over plans for a 13-screen cinema which will be part of the development. The Vue has a 12-screen cinema down the road at Clifton Moor.

Seven months earlier a review forced York City Council into sinking a further £7m into the initial £37m project.

An ISG spokesperson commented: “We’ve worked for over two years, alongside our consortium partners, to realise the vision for a new community stadium at York, and successfully delivered the enabling package for the scheme in late 2015.

“Our commitment to the stadium has never been in question and we have worked diligently to explore every opportunity to bring the scheme to site, however with further delays caused by the Judicial Review and increasing cost pressures, we’ve been unable to reach a consensus for the next phase of the project. We will continue to support our partners as they seek an alternative contractor.”

A spokeswoman for City of York Council said: “We are fully committed to delivering the Community Stadium and Leisure Facility project, which will provide a wide-range of facilities.

“We are continuing to work with our longstanding partners including the consortium lead and leisure operator GLL to build the best leisure, sport and health offer for the city.

“We have been clear to the consortium for some time that any further costs on the project can only be accepted once demonstrated that it provides best value in the current market place.

“Whilst the council has had no direct relationship with ISG, we are disappointed that they have withdrawn from the project and GLL will now seek to secure an alternative contractor through a competitive process to bring forward a scheme within budget.”

The York Community Stadium will be home to the city’s professional football team York City FC and rugby club the York City Knights.

 

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