Bid to offer NHS first refusal on County Hall plot collapses

A call to give an over-stretched hospital trust first refusal on a derelict former council headquarters has collapsed amid a row among councillors.

County Hall, the former home of Worcestershire County Council, closed in 2024 after safety fears and went on the market last month.

The Reform UK group had called on the council to hold talks with health chiefs over giving the NHS trust that runs the nearby Worcestershire Royal Hospital a preferential deal.

However, ahead of a full council meeting, councillors were told the tendering process was already under way, with the council saying it had a duty to secure the best deal for taxpayers.

Reform group leader Alan Amos called it a "one-off golden opportunity thrown away".

"What a savage indictment that two public authorities - one with a desperate need for expansion right next to the other, with a huge vacant site - have failed to work together to fulfil this wonderful opportunity," Amos said.

He said had the council acted earlier, before opening the tender process, it could have given Worcestershire Acute Hospitals trust first refusal on the site.

"This is a cruel and devastating blow, and a tragedy of historic proportions for the vast majority of the residents of Worcestershire, who wanted and expected the council to use this site to expand the hospital.

"[The hospital is] already overwhelmed by demand and working well beyond its capacity, with the county's rapidly growing population."

Under the law, councils can sell land to the NHS at below true market value, but if the difference between a sale price and its real valuation exceeds £2m it would need government approval.

However, with the 16.6-acre (6.7-hectare) site already on the market, the council said it had legal concerns around trying to influence the tendering process.

The bidding deadline for County Hall has now closed, having been marketed to potential investors since early October, with the NHS able to make an offer alongside any other potential buyers.

A spokesperson for Worcestershire Acute Hospitals said it continued "to have active and positive discussions with county council colleagues around the possibilities of developing additional healthcare facilities on both the County Hall and Shrub Hill sites".

The council, run by a coalition of Green, Liberal Democrat and Independent councillors, has described the land as "a prominent site" that has "significant future potential" for investors.

Speaking during a full council meeting, Hazel Best, the assistant director for legal, democracy and governance, said it would "not be appropriate" to debate the issue and "give apparent preference" to a potential buyer.

"As with any disposal of a public asset, the council has a duty to secure best consideration for taxpayers, and to show that the process is conducted fairly, transparently and in a way that delivers the best outcome for the county," she said.

"The marketing exercise is an opportunity for all interested parties to come forward with proposals for the future of the site.

"Any debate on a particular proposal by a particular purchaser, could be seen to be biased and not following a due process."

Worcester's Labour MP Tom Collins had also been backing attempts to offer County Hall to the NHS on a first-refusal basis, with a petition on his website attracting 600 signatures.

"We don't need more housing on that site, we need the infrastructure that supports the housing we've got," he said.

The council is facing a £98m budget shortfall, and speaking after the debate, Adam Kent, the deputy leader, said the authority wanted to secure "best possible value for taxpayers".

"The process for the future of County Hall has been well publicised, transparent and open to all interested parties," he added.

"And that includes the NHS. At no point has the door been closed to the NHS purchasing the site, and any suggestion otherwise is simply misleading."

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