First Minister throws £20m lifeline to new Edinburgh concert hall as work due to begin 'in weeks'
The cost of the Dunard Centre has now risen to £162m
First Minister John Swinney has pledged an extra £20m for the first new concert hall for Edinburgh in 100 years - as the cost of the project more than triples original estimates.
Mr Swinney announced the further funding in principle for the Dunard Centre, to be built off St Andrew Square, as the total bill rises to £162m.
The total Scottish Government contribution now stands at £30m.
Construction has yet to begin on the 1,000-seater auditorium, which will provide a permanent home for the Scottish Chamber Orchestra, on land next to RBS’s Dundas House.
The centre, which will host concerts across different styles of music, was granted planning permission in 2021 but has been hit with several delays and rising costs.
Now, work will begin on site “within weeks” after Mr Swinney’s extra £20m for the project was matched by another £20m from American philanthropist Dr Carol Colburn Grigor, a former concert pianist and long-term funder of the arts in Scotland.
The Dunard Fund, which she founded, drove the creation of the new concert hall with an initial £35m donation. More than £100m in private funding has now been secured in total, including 1m US dollars from the Carnegie Foundation.
With the funding gap now bridged, the Dunard Centre has reached a turning point and a contract was signed with Balfour Beatty on Wednesday to complete the job by 2029.
Mr Swinney said: “I greatly welcome the signing of this contract as the next step towards the establishment of an exciting new cultural venue in the heart of Scotland’s capital.
“The Scottish Government is proud to support the Dunard Centre in recognition of its potential to significantly boost Edinburgh’s cultural offering and provide a new home to the Scottish Chamber Orchestra.
“I am therefore delighted to pledge a further £20 million in Scottish Government funding to secure the Dunard Centre’s future, subject to our funding conditions being met, which has been very generously matched pound-for-pound by Dr Carol Colburn Grigor.”
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The Scottish Government originally committed £10m to the project alongside the UK Government as part of the 2022 Edinburgh City Deal, with City of Edinburgh Council pledging £5m.
Mr Swinney said the Scottish Government would continue to “work closely” with IMPACT Scotland, the charity set up to deliver the project on the ground, and the Dunard Centre going forward.”
He added the funding was subject to conditions, and an ongoing due diligence process which must be concluded before any grant award could be confirmed.
The budget requirements for the project will be factored into the upcoming spending review.
The project, originally due to be built by 2025, was delayed for several years due to factors including a dispute with the developer of the neighbouring St James Quarter, a downsized design and rising costs in the construction industry.
Initial estimates for the cost of the Dunard Centre sat at £45m, with the figure rising to £75m in 2021 and then £114m in 2023.
In March last year, it was “mutually concluded” the main contractor, Sir Robert McAlpine, who cleared the site, was no longer the right strategic partner for the main construction phase.
Following the signing of the new contract with Balfour Beatty, work is now due to begin “within weeks” on the venue, which represents the largest ever capital spend on a cultural project in Scotland.
THe V&A in Dundee cost around £80.1m to complete.
Designed by architects David Chipperfield with Reiach and Hall, the Dunard Centre will be the first venue in the UK to have its sound designed by Japanese firm Nagata Acoustics, which has worked on projects such as the Walt Disney Concert Hall in Los Angeles to the Elbphilharmonie in Hamburg.
Jo Buckley, Chief Executive of the Dunard Centre, said: “This is a huge milestone for the Dunard Centre, and an historic moment for the city, which has looked forward to this new venue for many years.
“With a contract signed, we can now get to work on building Edinburgh’s first new concert hall for more than a century.
“We are delighted to be working in partnership with Balfour Beatty, who will lead the construction of this bespoke, world-class building and bring David Chipperfield and Nagata’s visionary design to life.
“IMPACT owes so much to the belief and tenacity of many individuals and organisations, whose support from the earliest stages through to today has brought this project to fruition.
“We are particularly grateful for the strong partnership between government and private supporters, who together have shown how public funding can be used as a catalyst for exceptional philanthropic giving — a record, indeed, for Scotland.
“Today’s announcement would not have been possible without the extraordinary additional pledge from Scottish Government, and the match funding it has unlocked, in recognition of the long-lasting impact this project will have on the people of Scotland.
“As a living, breathing community centre with a concert hall at its heart, the benefits of this landmark investment will be felt daily by countless individuals and communities for generations to come.”
The venue is set to be open “all day every day”, with the aim to increase access to the arts for “people of all backgrounds, ages and stages of life,” Ms Buckley added.
Earlier this year, social and economic impact assessments carried out by the Dunard Centre said the venue would generate £266.9 million in Gross Value Added (GVA) over its construction and first 20 years of operation.
It is estimated it will attract 200,000 visitors a year and support 300 jobs annually.
According to the report, it is projected to increase spend in Edinburgh and the surrounding region by £8.6 million a year.
Around 17,000 people are expected to take part in the centre’s engagement programme, which will focus on skills development, apprenticeships and lifelong learning delivered in partnership with schools, cultural and third sector organisations.
Balfour Beatty said it would create five new apprenticeship positions with around 200 people expected to work on the construction at its peak.
Kirsty McNeill, Scotland Office Minister, said the UK Government recognised “the significance of the Dunard Centre to Edinburgh’s cultural landscape” and welcomed progress towards delivery.
“That's why we invested £10 million in the project as part of our £300 million commitment to the Edinburgh and South East Scotland City Region Deal. We continue to engage with project partners to facilitate its successful development,” she added.
City of Edinburgh Council leader Jane Meagher said: “I’m pleased that the main construction contract for the Dunard Centre has now been signed, signalling the start of work on this outstanding venue.
“Once complete it will not only provide a stunning, world-class concert hall, but will help open up the arts to people from all backgrounds. As a major venue for the Edinburgh International Festival it will play a part in the world’s greatest annual celebration of the arts too.
“This key moment is a product of strong partnerships, between local and national government, private benefactors and the third sector, and demonstrates the strength of support for the project. I can’t wait to see the centre take shape and I’m sure people across Edinburgh will share in my excitement.”
Nick Rowan, managing director of Balfour Beatty’s business in Scotland, said: “We are proud to be entrusted with delivering what will become a nationally significant cultural venue in the heart of Edinburgh and have worked meticulously to plan every stage of this complex build, from construction logistics in a tightly constrained site, to the precision needed to achieve world-class acoustic performance.
“Our focus now is on safe, efficient and high-quality delivery, working closely with our local supply chain while creating meaningful jobs, apprenticeships and skills opportunities throughout the programme.”
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