Councillors back borrowing for MoD Donnington bid

The borrowing would only be used if the Council’s bid is successful and it will be used to finance new warehousing and offices on the Donnington site.

The Council would then recoup the borrowing costs as part of the contract and create a considerable surplus to fund key Council services such as care for vulnerable adults and children.

Councillor Bill McClements, cabinet member for Finance and Enterprise, said: “This is the biggest and single most important issue to come to cabinet in recent years.

“If successful, this scheme would generate up to £60 million in and add considerable momentum to the local economy, building on the results our business winning approach is already yielding.

“It would protect 1,000 jobs at Donnington and create around 700 more at the base and in the supply chain here.

“Putting this funding in place ensures that our scheme, including if required a design and build option, is ready to go. It is essential to our bid’s success.

“It is a clear statement of intent from Telford and Wrekin to the MoD – we are presenting Donnington’s full offer and we believe that we can deliver the best and most cost effective solution for logistics.”

The borrowing requirement will go to the Council for final approval later this month, with the MoD expected to announce a decision in December.

If the bid is successful it would be worth £60 million a year to the local economy, protect 1,000 jobs at the base and create up to 700 new jobs.