Aberdeen City Council new political administration is planning to pay off £26.2m in loans owed by the Aberdeen Exhibition and Conference Centre (AECC) to the local authority.
Labour leader councillor Barney Crockett said ridding the venue of its historic debt was a display of the council’s commitment to the economic future of the city and its events industry.
“This would be a momentous decision which would allow the AECC to plan more clearly for the future and go forward on a firmer financial footing as a major public exhibition space unencumbered by debt,” he said during a press conference on 29 May.
However, local media reports said the councillor was unable to specify where the money would come from or the timeline of the payment schedule.
AECC chairman Ed Gillespie welcomed the news and said the debt write-off would enable the venue to focus on its core business.
“This will allow AECC to continue to concentrate on attracting new conference and exhibition business to the city and maximising the economic impact of the venue to the region, which was over £100m last year,” he said.
MD Brian Horsburgh added the AECC continues to see its energy-related events continue to grow, including the recent All-Energy Event this month.