Is the cost of hiring out the Villa-Gaiety for events too high?

Questions about the pricing structure were raised in the House of Keys by Middle MHK Bill Shimmins who also queried whether civil servants should be running bars and soft play areas.

He said: ’There are concerns that the high cost of hiring the venues restricts the provision of entertainment. What action will the Minister take to review the cost structure to drive the desired social and economic benefits a truly vibrant arts entertainment complex will provide?’

Economic Development Minister Laurence Skelly said the pricing structure was being reviewed as part of wider move to improve commercial performance and efficiency.

This came after a tendering exercise was withdrawn when it failed to find a commercial operator to run the venues.

Mr Skelly explained there is currently a two-tiered pricing structure, with a commercial rate and also a charitable rate which has been used by various different third sector organisations in the island.

He said: ’We are going to review that to see if that is attractive enough, particularly for our local artists and cultural performers, that we can provide a varied and flexible programme.’

Mr Shimmins asked the DED Minister to explain why he felt civil servants are ’best placed to run bars, entertainment venues, a cinema and a children’s soft play area’.

Mr Skelly replied that commercial partners are still being sought for parts of the Villa-Gaiety operation.

He said: ’We have conducted a review to look at options of outsourcing the venue. We have concluded that body of work and it will actually remain in government, due to the lack of interest.

’We are now seeking new, local partners where we can expand the commercial opportunities for the venues to try and maximise that opportunity.’

Mr Skelly said the department has already taken steps to strengthen the team in the short term and bring a period of stability. It is committed to working with staff to identify areas where efficiencies can be made while at the same time ’seeking opportunities to improve commercial performance’, he added.

The Minister said there are fixed costs of more than £1m to operate the venue. Mr Shimmins said he welcomed more flexibility in pricing.