§ Mrs. EllmanTo ask the Deputy Prime Minister (1) what arrangements he has entered into with the Walton Group to ensure that the agreement to recover Government grant in respect of Exchange Flags, Liverpool, will be implemented in full; [81098]
(2) whether the out of court settlement with the Walton Group in relation to Exchange Flags, Liverpool, included the payment of interest charges; and if he will make a statement; [81097]
(3) if he will ensure that the monies to be recovered from the Walton Group in respect of Exchange Flags, Liverpool, are invested in Liverpool City Centre. [81099]
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§ Mr. McNultyEnglish Partnerships, acting as agent for the Office of the Deputy Prime Minister, has secured a first legal charge over the Exchange Buildings, which is owned by the Walton Group. In the event that the Walton Group do not honour its commitment, EP will enforce the security.
The City Grant agreement made no provision for an automatic legal entitlement to interest. We believe that the settlement represents a satisfactory outcome, which avoided further legal costs. There is however, provision within the agreed settlement terms for interest to accrue under certain circumstances.
I am conscious that the original City Grant was provided to assist the regeneration of Liverpool City Centre. I am therefore looking at how this original intention can be best fulfilled.