South Kesteven Council debates Market Place support funding, opting to boost footfall rather than fund businesses directly
Councillors have refused to create a £50k hardship fund to help businesses affected by a major scheme in Grantham.
South Kesteven District Council will instead focus on implementing additional events and marketing to boost footfall for local businesses facing difficulties over the coming months while work is carried out in the town centre.
At Thursday’s AGM, South Kesteven District Council, Coun Matt Bailey (Con) proposed a £50,000 fund to directly aid Grantham businesses facing reduced footfall during the Market Place works, backed by a petition and the stories of struggling businesses.
He described the roadworks as having a 'catastrophic' impact — and urged councillors to support local businesses by creating the fund.
“The last four years have been difficult with the covid crisis, cost of living crisis, and rising energy prices.
“The businesses of Market Place now face their next battle to survive the redevelopment.
“I’m strongly against the project and really struggle to see any of the benefits this will bring to Grantham. It's a total waste of public funds.”
He suggested money could have been better spent elsewhere.
He was backed by several members, including Coun Gareth Knight (Con), who said businesses were "really struggling right now".
However, council leader Councillor Ashley Baxter (Ind) instead proposed reallocating funds to enhance mitigation measures and promotional activities to attract more people to the area
Supporters said this would provide help without the risks of a one-off fund.
“Undoubtedly, roadworks cause congestion... there are roadworks elsewhere around the district,” said Coun Baxter
“It is not usual for people whose trade is suffering due to roadworks to be given compensation.”
“However, I hope that this option reassures the council that we are taking the footfall in the town centre very seriously.
“We are taking measures to improve the situation in the town centre during the works and, more importantly, after the works.”
Several councillors raised concerns about the £50k hardship fund proposal setting an undesirable precedent.
Coun Baxter said it could open the "floodgates for panic financial claims" from other businesses affected by roadworks or disruptions in future.
Coun Virginia Moran (Ind) argued they "cannot set a precedent", noting Red Lion Square in Stamford had undergone similar disruptions without compensation.
Coun Rhys Baker (Green) believed it could lead to: "Every business who has worked on fixing the broken water main outside their premises seeking further economic restitution."
However, Coun Mark Whittington (Con) said there was already precedent within the council for hardship funds, such as council tax and cost of living schemes.
Coun Lee Steptoe (Lab) said it seemed like a "quick fix" and the £50,000 amount was "an absolute drop in the ocean" — while Coun Philip Knowles (Ind) said that once the fund was spent it would be "nowhere near treating the businesses of Grantham properly".
Coun Tim Harrison (Ind), a business owner in the area himself, expressed sympathy for affected traders but doubted the £50,000 fund's meaningfulness.
He said: "As a business owner in Market Place, what's being put on the table there will by no means help anyway; it would have to be astronomically more than that to cover what some businesses are losing."
Business owners voiced their concerns over the redevelopment at the meeting.
John Sayer, from Grantham Appliance Centre, questioned the council's assurances that the new development would bring more trade, noting that similar promises made during the 2011 redevelopment were not fulfilled.
"What difference is levelling in Market Place going to make this time?" Sayer asked, expressing fears that the project could be the "final nail" in his business.
Coun Richard Cleaver (Ind) responded by highlighting the lessons learned from the 2011 project.
The council says the new works will create a more flexible space, enhancing its potential for events and activities and boosting footfall.
Broader efforts to rejuvenate Grantham Town Centre include refurbishing public toilets, redesignating car parks for short stays, and providing grants to improve shop fronts through the Heritage Action Zone funding.
Paul Adams, from Tap & Tonic, raised concerns about the practical aspects of the redevelopment, particularly regarding deliveries and antisocial behaviour.
Coun Cleaver responded by outlining measures to clearly delineate pedestrian and vehicle areas using contrasting materials and by improving CCTV coverage.
He said anti-social behaviour would be closely monitored, with a public space protection order as a potential enforcement tool if necessary.
James Meadows, from No95 Barbers, queried the decision to limit parking to one hour, fearing it would discourage longer customer stays and spending.
In response, Coun Cleaver detailed plans to introduce two-hour parking in Wharf Road car park and to redesignate Conduit Lane as a short-stay car park, aiming to increase turnover and footfall.
Rupert Stanton, from Prime Comfort, criticised the timing of the works during the area’s busiest period.
Coun Cleaver explained that timing was determined by funding deadlines and contractor availability.
He assured Mr Stanton that the project would stick to the planned timeline.
What do you think? Should they have created a hardship fund? Let us know your views in the comments below…
