On Thursday 26 June, Cabinet members will consider a proposal not to progress the £7.6m Ramsgate Pathfinder Port Infrastructure project and separately to reallocate this funding to other existing projects within the Pathfinder Programme1.
Thanet District Council conducted a procurement exercise to attract an operator to run a substantial part of the port under concession, including 17.8 acres of port land and the two roll-on roll-off ferry berths.
Despite a strong business case and credible market interest, prior to and during the procurement process, in January 2025 it was announced that the search for a concession operator had been unsuccessful.
Since then, the council has been exploring other options to support the concession contract route, including seeking additional funding from the government to increase the value of the grant. The grant contribution towards the concession element of the project is currently £4.5m. Costs for a new concession operator to get the port ready are anticipated to be in the region of £14.8m.
Despite positive conversations across government departments, and the Port of Dover formally noting the strategic importance of the Port of Ramsgate and its future potential, additional funding has not yet been secured. Given the significant time constraints imposed as part of the funding requirements (with delivery of the Pathfinder projects originally due by March 2026) the report concludes that to progress this project within the existing funding programme is not viable.
Council Leader, Cllr Rick Everitt said: “Identifying a long term sustainable future for Ramsgate Port remains a key objective for the council. Although the timescales associated with the Pathfinder Programme mean we can’t continue to progress the project within this funding stream, there remains a strong strategic case for the Port of Ramsgate. There has been, and continues to be wider interest in the future potential. The challenge is that as a small district council we can’t deliver the infrastructure required. It’s too big for the council alone. If we don’t intervene then the opportunity will be lost not only for Thanet, but also for the country.
“There is no ‘do-nothing’ option and in my view this means we must now look at alternative uses for the site, alongside other potential ways of renewing the port infrastructure. But we can’t risk losing £7.6m of funding for Ramsgate, so we have to take the concession project off the table.
“Should the proposals be agreed by Cabinet, officers will work up detailed options for the potential next steps with a further report to come to Cabinet later this year.”
The council has asked the government for a 12 month extension to deliver the remainder of the Pathfinder programme. Following detailed discussion, it is anticipated that this request will be approved, which would move the deadline for projects to March 2027. This is an issue that other Local Authorities are also facing. Work on a number of projects will start on site this year, alongside the Newington Community Centre extension and refurbishment which has already commenced.
Should the proposals for the port be agreed, Cabinet members will then be asked, at the same meeting, to approve the reallocation of the £7.6m funding to other existing projects within the Pathfinder programme.
Although the Pathfinder programme provides the council with some flexibility in the way in which the funding can be allocated, this does not include starting new projects. The process for this involves completing a Green Book compliant business case, which must be approved by the government. The specific timescales for this are unknown, but could take up to six months.
On the basis that the funding is required to support the delivery of the remaining schemes, the report recommends that this is the route taken.
The proposed reallocation of funding is as follows:
Project | Additional Funding Allocation |
Green Campus | £2,000,000 |
Clock House | £1,700,000 |
Harbour Placemaking | £2,000,000 |
Broad Street | £585,000 |
Fishing Facilities | £100,000 |
Contingency | £1,247,603 |
Total | £7,632,603 |
The report sets out the existing funding allocations.
The additional funding would ensure the ongoing viability of the projects given the backdrop of significant inflationary increases since it was awarded. A contingency budget is also proposed to support deliverability of the programme.
Cllr Everitt continued: “Since responding to the government’s call out for projects as part of the Future High Street Fund in 2019, Thanet has been successfully awarded over £50m in regeneration funding. This is an exceptional achievement and it is critical we deliver this programme. This has proven particularly challenging in Ramsgate due to the very short timescale the council was given to design new projects for the funding bid in 2021, as well as the difficult economic environment since the award was confirmed. However, the need to consider reallocating the £7.6m provides an important opportunity to ensure that the valuable benefits of these projects for the town and the wider community in terms of jobs and growth can be delivered to the maximum extent possible.”
The reports will be reviewed by the Overview and Scrutiny Panel on Tuesday 17 June 2025, prior to the Cabinet meeting.
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1 The council is part of the Simplification Pathfinder Pilot programme which supports the council’s management of the central government’s capital funding programmes – Future High Street Fund, Town Deal and Levelling Up Fund.