Coventry left with £4.25million debt after beating Sunderland to 2021 UK City of Culture

After topping a shortlist of five UK cities including Sunderland, there was jubilation in the West Midlands on December 7, 2017 when Coventry was announced as the winner.

Before the announcement, whichever city was successful was reportedly in line for an estimated £80million boost to its visitor economy, creating 400 sustainable jobs.

But the Coventry City of Culture Trust, responsible for overseeing legacy projects from the 2021 City of Culture events, entered administration in February. A report now says the trust is unlikely to be able to repay its £4.25million debts.

Creditors include West Midlands Police owed £505,000, Coventry City Council £1million and arts organisation Assembly Festival £1.5million. There are over 30 other creditors.

The council wants a Government review into the collapse of the trust. The National Audit Office and Charity Commission have confirmed they will be looking into its finances.

Coventry’s Conservative leader Cllr Gary Ridley has described the Labour authority’s loan as “a huge waste of taxpayers’ money”.

Although Sunderland’s bid was unsuccessful in 2017, the city’s bid received huge praise. Those behind the bid, who congratulated Coventry on its success, said at the time that there would be a legacy, regardless of which city won.

Since then there have been numerous cultural developments in the Sunderland, including the successful opening of the Fire Station auditorium in 2021, with the Culture House to open in early 2025 when it will house a library, creative, digital and community spaces and more.

One unforeseen circumstance which Coventry had to contend with was the pandemic and lockdowns.

Covid delayed the City of Culture 2021 programme by five months. It also resulted in additional safety measures, which bumped up the cost of events further and meant fewer people attending.

However, it is estimated that over a million people attended 700 Coventry events, online and in person, throughout the year.

UK City of Culture status is awarded every four years. In 2017 Hull held the title, which proved successful and economically beneficial for the East Yorkshire city.