At today' sitting the Tynwalf The Hon Member for Michael, Mr Cannan, asked the Minister for Economic Development the following questions:

In respect of the Sefton loans –

(a) whether all creditors have now been paid; and
 
(b) how much is being spent in the refurbishment at the Palace Hotel?

The Minister for The Department of Economic Development responded as follows:

Whilst my officers do not have access to information sought in part A of the question, my Department has received confirmation from Treasury that the Sefton Group is up to date with its statutory payments. I have asked the Sefton Group for an update on non governmental creditors and the Department has been informed that creditors’  balances have been reducing since the financial restructure has taken place. 

Honourable members should be aware that this information has been provided by the Sefton Group PLC and has not been verified by my officers, this would not have been possible in the timescale involved.

The balance on the Government loan provided to the group in April 2012 is due to be paid by 31 July 2013 and i can confirm to Hon. Members that the balance has been reducing and now stands at ?52,000.

Turning to the second part of the question i also understand from information supplied by the Sefton Group that the Group is planning significant investment in upgraded services and facilities. As a result of reducing its debt by ?72 million over the last three years the group is now in a position to invest over ?1 million in capital expenditure during 2013-14. The majority of this will be spent at the Palace Hotel with the first project being a refit of the former Colours Bar and Night Club. Work on the new club (to be called ‘Mahiko’) is already underway with an opening timeframe of late July or early August.