'Backers must keep promises' over Pavilion revamp

That was the message from Rother councillors on Monday.

They are worried the two organisations are about to withdraw funding for the multi-million pound scheme - meaning the project could have to be scaled-down and leaving Rother with a bill of close to 1m.

It's one of a series of complex financial blows for the scheme as reported in last week's Observer, which include:

* Spiralling costs for the full project from 7.14 last year to 8.8m now

* Construction tenders received well over the initial forecast of 6.1m

SEEDA had invited an application for a grant of 1.9m while English Heritage said it had already 'ring-fenced' 50,000 with an option of 200,000.

Added to 6m in grants already secured by the Arts Council of England (ACE) and the Heritage Lottery Fund (HLF), the De La Warr Trust would have needed to find an additional 500,000 to reach the 8.8m total.

But English Heritage now says it may not be able to find any cash this financial year due to budget pressures.

SEEDA says the De La Warr project in its current form does not offer value for money as a regeneration scheme in terms of creating jobs and boosting the local economy.

In informal discussions SEEDA has said it will only consider providing funds in conjunction with other regeneration projects such as the planned 60-bedroom, four-star hotel.

De La Warr project manager Nick Cragg has drawn up a 7.2m reduced-scale project in case they do pull out, but Rother would still need to take the gamble of underwriting the 985,000 shortfall or risk losing even the ACE and HLF grants.

Elements of the project which could be 'deferred' are the planned new community room and improvements to the terrace and car park.

At Rother's District Services Committee meeting at Bexhill Town Hall, councillors were left in no doubt as to the scale of the financial dilemma following a presentation by Mr Cragg.

The problems could see the pavilion's re-opening put back to Spring 2005.

He said: "Although SEEDA has not categorically said no, no hard response has been forthcoming and they are certainly not thinking in our time frame.

"If they decide in eight or 10 months to give us the money it may be too late."