South Ayrshire councillors approve £590k safety net for air show
Councillors have agreed to allow up to £590,000 in South Ayrshire Council's cash reserves to ensure September's International Ayr Show goes ahead.
That means that the council can draw down up to that amount from council reserves should the current budget, plus income from the show, fail to cover the cost of running the event.
Officials said that it is highly unlikely to need the full amount, but the commitment still represents up to double the current £595k budget, with the cost of 2024's show at £1.18m.
After calculating the income from the 2024 event, the shortfall ended up at £227k.
An economic impact study put visitor spend at £7.9 million, with the level of Gross Value Added impact calculated at £2.9m. This is essentially the amount of additional wages and business profits kept in South Ayrshire.
Around 80 per cent of accommodation providers reporting increased takings and 44 per cent of food and drink outlets seeing an increase.
However, just 33 per cent of businesses recorded higher takings.
Around a quarter reported a heavier footfall, largely in Ayr town centre.
And less than half (44 per cent) said that overall impact on the area was positive, leaving a majority who saw little or no upturn.
However, there were major concerns raised by both of the opposition parties around the sustainability of the event.
SNP group leader Julie Dettbarn said that her group could not back the move.
Cllr Dettbarn said: 'The sticking point for me is that we set the budget for the year in this very room at the end of February.
'Why was this event not properly budget for then? All the facts that were known now must have been known then.
'To come back so soon after the budget had been set, with a request for a substantial amount of money, much, much more than what is in the budget line for that event.
'The cost of the airshow must have been known then, so why wasn't it properly budgeted for?'
Labour councillors had similar misgivings about the sustainability of the event, given the likelihood of ongoing costs, but agreed to back the request providing councillors were given the chance to review the finances and airshow arrangements for the 2026 event early in the new year.
Labour group leader, councillor Duncan Townson said that he wanted the event to continue to be held in years to come, but pointed out that, when the council backed the plans for the first event, they were told there would be an initial shortfall.
He added: 'We were told that, in the second year, we would be closer to reaching parity.
'We are in the third year now and we are looking at the £590,000 maximum to cover a shortfall.
'When will we get to the point of the airshow paying for itself and being sustainable?
'I want to make sure this is the best value. It certainly is best value for South Ayrshire, but how do we make sure it is best value for South Ayrshire Council. '
Director of Communities and Transformation, Jane Bradley, replied by pointing to the increases in costs.
One example was the marquee hire than rose from £33k to more than £60k in a year. She said that officers were doing the best they can to minimise the impact of cost rises, but added that there were restrictions around procurement rules.
She added: 'That makes it more challenging for the council to deliver than it would be for a private organiser.'
Tourism spokesperson, councillor Alec Clark, said that there were enough positives to merit agreeing the commitment to further funds.
He said: 'My view is that priorities are always best value for the public pound.
'This is a major event, is a huge boost for tourism, education and aspiration for youngsters, the aerospace investment into the Prestwick apron and the partnership we have with Ayrshire College and RAF Benevolent Fund.'
The council voted to accept the commitment, along with the amendment to review the budget in 2026.
The Local Democracy Reporting Service later asked South Ayrshire Council why the amount of money secured from sponsorship had not been used to reduce the £590k draw down.
A South Ayrshire Council spokesperson said: 'Currently, we know that the funding gap is a maximum of £590,000.
'The exact amount of sponsorship income and general income from the event will not become clear until after the event takes place. £590,000 is not budget that has been added to the airshow, it is a commitment of up to that amount.
'The actual amount to be drawn down will be determined once we subtract income from sponsorship and income from the event itself.'
They also insisted that the leeway granted by having a large pot of available funding would impact on efforts to minimise costs.
The spokesperson said: 'While there are some costs which are fixed and therefore cannot be reduced, officers are committed to doing all they can to minimise the costs for the airshow.
'We know that the best way to build a sustainable model is to generate additional income and additional sponsorship and the Council is actively looking at ways to do this.'
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