- BY Kevin Barry BSc(Hons) MRICS
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Following the Ards and North Down Borough Council’s recent decision to maintain a hybrid operating model for leisure services (rejecting full outsourcing or privatization), balancing the books will require a mix of revenue enhancement, cost efficiencies, and strategic planning. This approach aligns with the council’s 2025/26 budget, which already incorporates £1.7 million in efficiencies and savings while addressing cost pressures like a declining non-domestic rate base.
The hybrid model keeps some facilities outsourced (e.g., Bangor Aurora and Queens Leisure Complex) and others in-house, aiming to preserve service quality without the full cost shifts of privatization.
Full in-house management was estimated to add around £1 million annually to ratepayer costs compared to the current setup, underscoring the need for targeted measures.
Here are key high-level strategies to consider, focused on leisure services but extendable council-wide, drawing from common practices in Northern Ireland local government:
| Strategy | Description | Potential Benefits |
|---|---|---|
| Revenue Generation via User Fees and Charges | Introduce or adjust flexible pricing for leisure facilities, such as tiered memberships, peak/off-peak rates, or fees for premium classes, while keeping core access affordable to maintain usage. Explore commercial sponsorships for events or naming rights. | Boosts income without broad tax hikes; could offset subsidies currently provided by ratepayers. |
| Operational Efficiencies | Invest in energy-efficient upgrades (e.g., LED lighting, solar panels) and digital tools for booking/scheduling to reduce utility and admin costs. Optimize staffing through training and multi-skilling rather than reductions. | Lowers running costs; aligns with the council’s ongoing scrutiny of spending and office rationalization efforts. |
| External Funding and Partnerships | Apply for grants from NI Executive, UK government, or EU sources for leisure improvements (e.g., under health or community initiatives). Form non-privatizing collaborations with schools, health trusts, or neighboring councils for shared facilities or programs. | Reduces reliance on local rates; supports the new Leisure Strategy’s focus on expanded schemes and maintenance. Pooled budgeting with partners could enhance this. |
| Marketing and Usage Promotion | Run campaigns to increase participation in leisure activities, targeting underused times or demographics, to drive higher attendance and self-generated revenue. | Improves financial sustainability by maximizing existing assets without new builds. |
| Broader Council Savings | Redirect savings from other areas (e.g., asset sales, reduced borrowing, or service reviews) to support leisure subsidies. Maintain or dip into reserves strategically while lobbying for increased central funding. | Ensures overall fiscal health; NI councils can use flexible capital financing under certain rules to balance day-to-day budgets. |
These steps prioritize public service delivery over profit-driven models, as emphasized by unions and campaigners opposing privatization due to risks of staff cuts, service reductions, and price increases.
2 sources Implementation should involve stakeholder consultations to avoid backlash, with monitoring through the council’s workshops and procurement processes.
For specifics, reviewing the full 2025/26 budget documents or consulting financial advisors would be advisable.
Potential Effects on Rates Bases
The Strangford Lough Crossing (SLC) project remains in the proposal stage as of September 2025, with no confirmed construction timelines, funding, or detailed economic impact assessments available.
Any effects on the domestic (residential property valuations) and non-domestic (commercial property valuations) rates bases in Ards and North Down Borough would be long-term and indirect, stemming from enhanced connectivity, economic uplift, and regional development. In Northern Ireland, rates revenue is derived from the capital value of properties, so growth in property numbers, values, or business activity could expand the bases and increase council income without raising rates percentages.
However, these impacts are speculative, as the project aligns with broader strategies like the Department for Economy’s Sub-Regional Economic Plan but lacks specific projections for rates.
Below, I outline the likely positive effects, potential risks, and contextual data.Positive Effects on Non-Domestic Rates Base
- Business Development and Economic Activity: The SLC could stimulate commercial growth by reducing the 75km detour around Strangford Lough, improving access to markets, suppliers, and customers for businesses on the Ards Peninsula.
This might lead to new enterprises, expansions, or relocations, increasing the number and value of non-domestic properties. For instance, the area’s current employment rate of 73% and low median wages (£450.10 weekly) suggest untapped potential; better connectivity could address hindered development linked to the existing ferry service, potentially reversing the recent reduction in the non-domestic rates base noted in council agendas.
- Tourism Boost: As a scenic multi-modal route with cycling/walking lanes and marina links, the crossing could enhance tourism, supporting hospitality, retail, and leisure businesses. This might elevate commercial property values and rates revenue, similar to how infrastructure projects elsewhere have driven economic value (e.g., the review of ferry alternatives highlights the need to evaluate £650m bridge costs against broader benefits).
- Overall Impact: In a region where non-domestic rates already face pressures (e.g., a 3.65% rise for 2025/26 to balance budgets), SLC could provide a net positive by expanding the base through sustainable development, potentially adding millions in annual revenue if business activity grows comparably to NI-wide trends.
Positive Effects on Domestic Rates Base
- Population Growth and Attractiveness: Improved 24/7 access to education, healthcare, and jobs could attract more residents to the Ards Peninsula, especially for an aging population, increasing demand for housing and thus property values or new builds.
- Wage and Job Improvements: By fostering employment opportunities (potentially thousands during construction, drawing analogies from similar projects like the Strait of Messina),
- Overall Impact: With domestic rates also rising 3.65% for 2025/26 (about £1.75 monthly for average households), an expanded base from population influx could ease future pressures, supporting council services like leisure without hikes.
Potential Risks or Neutral Effects
- Short-Term Costs: The estimated £650m price tag could strain public finances if not fully externally funded (e.g., via NI Executive or UK grants), potentially leading to temporary rates pressures or deferred benefits. However, the proposal emphasizes alignment with infrastructure priorities to secure non-local funding.
- Environmental and Implementation Delays: As a marine-sensitive area, any impacts (e.g., from past turbine studies showing minor effects) could delay realization, muting near-term rates gains. Political factors, like strong DUP support in Strangford, might influence progress but not directly alter rates.
- Uncertainties: No dedicated studies quantify rates impacts, and broader NI property trends (e.g., outperforming UK averages) 2 sources are driven by factors like post-pandemic recovery, not SLC specifically.
In summary, the SLC could positively expand both rates bases over 10-20 years by driving economic and demographic growth, indirectly aiding budget balancing for services like leisure. For precise modeling, the council might commission a feasibility study.
Viewing the SLC proposal in a broader positive addition to the wider council area may have its longer terms benefits. And the Shared Island Initiative may be that life line !