SOUTHEND council has fiercely backed plans for a £50million leisure park near the seafront, saying the proposal will pay dividends in the long run.

The defence came as Paul Thompson, chairman of the Southend Seafront Traders’ Association, claimed that over the next ten years, the council could lose out on £1.5million in parking revenue at the Seaway car park.

That’s where the complex - featuring 11 screen Empire cinema with iMax screen, ten restaurants, a hotel, and a leisure centre - will be built off Lucy Road.

Mr Thompson, 43, said: “ One of the justifications officers have used in selecting Seaway for development was that parking income was falling.

“The rental income will be fixed at £282,000 per annum. Once inflation has been considered, in real terms the value of this rental will slowly decrease each year.

“In contrast, parking income from Seaway since 2011 has increased by 67 per cent.

“At this current rate of growth, parking revenue would increase to £1.5million in ten years time.”

Andrew Moring, councillor for corporate and community support services, told Mr Thompson the council made the decision to “stabilise” the amount of money made long term by taking funding from rent and business rates on the new development.

He said: “This is a long-term scheme and the council will benefit in the long term from a more stable income linked to property rents as well as parking income, rather than the less predictable parking income alone.

“Save for some staff time, all the council’s costs will also be reduced as this new development, including the car park, will be privately managed.

“The council will also receive very significant business rates from the development, which will far exceed the current figures.”

The council also stated the land for the new development was leased to Turnstone Estates, who were brought in to handle the planned Seaway complex.

A Southend Council spokesman said: “We have not sold the land to Turnstone for £1, this is a notional premium on the grant of the lease.

“The value of the site will be delivered to the council through long-term revenue income, not through a one-off capital receipt (selling the land).

“The principle is to deliver long-term sustainable and steady income that will rise over time.

“That’s the plan, this is quite usual practice.”