Council calls for Government review into collapse of Coventry City of Culture Trust
Coventry City Council has called for a government review into the collapse of Coventry City of Culture Trust, which entered administration in February.
The trust was responsible for delivering legacy projects after Coventry's year as “City of Culture” in 2021, but these will not be delivered.
The city council said: “The circumstances that resulted in the City of Culture Trust entering administration must be understood. That’s the view of leading Coventry councillors who say they welcome and support the ongoing scrutiny process to get to the bottom of what has happened.”
According to the BBC, the council has been told its £1m loan to the trust is “unlikely to be repaid”.
A new meeting has been scheduled for 29 March where council officers will share the information they have on the finances of the Trust and “address the circumstances of the £1 million loan that was given in October last year”.
50 people lost their jobs when the trust went into administration.
Cllr David Welsh, Cabinet Member for Housing and Communities which covers arts and culture said: “I am disappointed that the Scrutiny Board asked the Trust to come and explain the situation and they did not show. It further confirms my view that there needs to be a review into what has happened.
“We need answers and I know the Charity Commission is looking into this as are the Trust’s administrator, but any outstanding questions should be picked up by a government review.”
The Charity Commission said it has an “ongoing compliance case” into Coventry City of Culture Trust, adding that it has made “no finding of wrongdoing” and cannot comment further at this time.
A Charity Commission spokesperson said: “We understand the concern that the administration of the charity is causing people in Coventry and Warwickshire. The Charity Commission’s compliance case into the charity remains ongoing, and we are liaising with the charity and other stakeholders as we consider our next steps.”
