Collapsed developer owes cash for Blackpool road improvements
Blackpool Council has been forced to write off almost £43,000 worth of debt owed to it.
The vast majority of more than £35,000 is owed by Hollinwood Homes which went into administration last year.
The company was around halfway through building the Foxhall Village development, a council-led regeneration project in South Shore, when it collapsed.
It has now emerged Hollinwood Homes owes the council £35,286 for footpath, kerbside and resurfacing work at Blundell Street and Princess Street.
A council report says: “The company went into administration in September 2019.
“The debt has been lodged with the administrators, but the company owes millions to a number of creditors.”
The council, which assembled the land for development, is working with a number of partners to restart building work on the site once the administration process has been completed.
When work came to a halt, 200 of the proposed total of 410 houses had been built.
The second debt written off is for £7,590 in relation to overpayment of foster care payments for three children after the debtor left the area and could not be traced.
Council debts are only written off when there is no chance of recouping the money.