THE possibility of Launceston Town Council contributing £10,000 to a new ‘Launceston Development Trust’ will be discussed next month.

It is after councillors overturned their finance committee’s recommendation, which was not to approve expenditure for the new trust, with one councillor saying the council ‘needs to look to the future of the town’, and another saying the trust’s proposed projects could have ‘huge potential’.

The Launceston Development Trust hopes to look into the feasibility of two projects. One project is the community buying and running the Eagle House as a hotel.

Cornwall Council recently approved a planning application for the use of the hotel to change to residential. The other project would be developing a piece of land near Polson to provide affordable housing for local people.

Daniel Brewer, the managing director of a business based in Launceston called ‘Resonance’, first approached the town council in July with his proposals for a town community trust. At the time, as reported in the Post, the town councillors voted unanimously to support the concept of the projects.

Mr Brewer attended the recent meeting of the town council, and addressed councillors, referring to the minutes of the town council’s finance and general purposes committee meeting, which took place on September 7.

It was decided then by the committee that ‘the town council did not approve expenditure for the initial work proposed by the Launceston Development Trust’.

The recent meeting heard the town council was asked to contribute £5,000 for each of the two projects to enable feasibility studies to be carried out.

Mr Brewer said he understood the council committee though the trust was a ‘private commercial operation and not an appropriate use of council money’, but added: “We are proposing a community social enterprise trust.

“Any council funding would be provided as equity not a grant. If the projects go ahead that funding would be recoverable.

“It would be there to pay for external consultancy reports to try and bring certainty to the project.”

Mr Brewer said if the council put forward the money and the projects did not go ahead, the money would be ‘written off’, but said ‘ultimately this is the risk of finance’.

He added: “But that’s part of the exercise to find out if this is something the community can do together.”

Joan Heaton, a member of the public who lives near Eagle House Hotel, also addressed councillors regarding the trust, and in support of Mr Brewer.

She said: “I read about this project in the newspaper and it sounded like such a wonderful idea.”

Expressing concern that Eagle House has planning permission to change to residential use, Mrs Heaton added: “It would be a great loss to the community.”

Deputy mayor Margaret Young told fellow councillors: “We did actually at the full council make an agreement that we would support this project.”

Cllr John Conway, in support of the town council putting forward funding to the trust, said: “We know how beloved the Eagle House is. It’s a great asset to the town.

“This council needs to look to the future of the town and if we can’t put a couple of quid down I think it’s a bad job.”

Cllr Jane Nancarrow said: “I actually believe we need Eagle House in Launceston. Eagle House is a gem in our town.”

Cllr Roger Creagh-Osborne said Mr Brewer’s proposed affordable housing project would look at ‘producing housing that is genuinely affordable’, adding: “This is exactly the sort of thing this council should be promoting and doing.”

But Cllr Brian Keighley expressed concern: “You realise you are using public money to finance this?”

Addressing the councillors in support, he added: “If you put in £5,000 of your own money problem solved.”

Cllr Leighton Penhale said: “Don’t forget we have a perfectly good function room here in the town hall.”

On the affordable housing project he added: “Yes I’m fully in agreement with affordable housing, self build, whatever it is, but look at the land — it’s steep and that to me says expensive development.”

Cllr Paul O’Brien, in support of the town council contributing the money to the trust, said: “Quite honestly, if you hope to win the lottery you have gotta buy the ticket and I regard this as buying our ticket — a stake in this project. It’s got huge potential for us.

“If we fail at this first hurdle… we might as well all pack up and go home.”

Cllr Dave Gordon said: “I don’t feel we should have the right to be gambling with public money and I don’t think the people of Launceston would thank us for it.

“I think we would all love to see Eagle House up and running again but we have got to ask ourselves is that the right use of the public money?”

Cllr Rob Tremain said: “I have worries on both the developments but if we don’t do anything we don’t move further forward at all. £10,000 is a lot of money but if it gets off the ground it would be a great advantage to the town.”

The town clerk, Christopher Drake, said as the council did not wish to adopt the recommendation of the finance committee, it should be brought back to council as an agenda item to be considered at next month’s meeting, although Cllr O’Brien asked that the council took the vote there and then.

It will be discussed further at the next full town council meeting, which takes place on October 18, at 7pm, in the Guildhall.