i360 Brighton: Popular UK tourist attraction in seaside town faces being torn down as it files for insolvency over £51m debt

The i360 viewing pod in Brighton has filed for administration after remaining £51m in debt to Brighton & Hove City Council, according to the authority. Julia Barfield, chair of Brighton i360 Ltd, said the decision was a direct result of escalating costs, unfavourable summer weather conditions and the cost-of-living crisis.

It will remain fully operational while it explores all potential avenues for restructuring, Ms Barfield added. The council said it expected Brighton i360 Ltd to enter administration in the near future.

Administrators will then review their options, including, if financially viable and sufficient visitor demand exists, to keep the attraction open for the short to medium-term, while the administrators attempt to find a buyer, the authority added. Deputy council leader Jacob Taylor said: “This leaves a large unpaid amount to the city council, which will have an impact on the overall budget.

“I think it is important that the council and the city reflects on the decisions that have led us to this point – and learn lessons for the future.” The authority's Green Party convenor, Steve Davis, urged for the best positive outcome from the situation being in the interests of the council and city residents. He said the i360's history spanned nearly two decades across both Green and Labour administrations.

In 2014, the council agreed to lend £36.2m to Brighton i360 Ltd to fund the 531ft (162m) tower - money which came from the government's Public Works Loan Board. In December last year, council leader Bella Sankey said the company had paid £250,000 towards that year's debt, but the annual total should have been £1.49m, with payments due each June and December.

In January this year, the i360 had repaid £5.8m. However, under its original repayment schedule, it had been due to pay almost £18m by September 2023. The council said the £51m debt consisted of the council loan at a commercially agreed interest rate, and the £4m Coast to Capital loan. The last payment to the council was made in June 2023.

According to The Argus, if a buyer is not found, the i360 could close permanently at the end of the year. Brighton and Hove City Council leader Bella Sankey called the news a “sad day for Brighton and Hove” and took a swipe at the Green Party for their role in the financing of the failed attraction.

She said: “Today is a day of shame for the Green Party and a sad day for Brighton and Hove. Their calamitous decision to loan a vast sum of public money to this failed business venture has left the residents of Brighton and Hove £51 million out of pocket. This will be their enduring legacy to the city – a huge debt that will be left to generations of residents to repay.”