In these tough economic times, and with talk of public sector budget cuts, many local authorities are choosing to form Public Private Partnerships (PPPs) to outsource the management of their leisure centres.

Gosport Borough Council recently joined forces with DC Leisure through a PPP contract to create the new Gosport Leisure Park.

This particular partnership is unique in many ways, as the local authority invited tenders not only for the redevelopment of the old leisure centre but also for the build of a Leisure Park, which would include a hotel and pub with restaurant facilities.

After a competitive tendering process, DC Leisure was selected by Gosport Borough Council to design, develop and operate the new Gosport Leisure Park and Leisure Centre and a 15-year management contract was signed.

The first phase was the build of an all new £7.8m Gosport Leisure Centre, which opened its doors on 31st December 2012, replacing the old and outdated Holbrook Recreation Centre, with the aim of revitalising the leisure facilities on offer for everyone in the local community.

The second phase commenced at the beginning of February and the new 60 bed Premier Inn and Marston’s pub – restaurant will be completed in August this year.

There are two clear benefits of PPPs – major revenue savings and dramatic increases in participation. We have witnessed these impressive results in a number of local authority sites across the country.

Local authorities provide clear direction from the beginning of the tender process as regards the project’s output specification and contractual requirements for the delivery of new facilities by the PPP contractor. This results in a clear understanding of expectations when it comes to service delivery, core facilities to be provided in any new facility and the performance of that building when completed.

The leisure management contractor will take on all financial and programming risks, because in a PPP agreement, they are responsible for the design and delivery of the new facilities in partnership with a design team and construction partner. Research shows that over 80% of PPPs are delivered on time and budget in stark contrast to the traditional procurement route.

The leisure operator will also utilise their own experience in procurement and project management and will take full risk on market fluctuations and income levels. Gosport Borough Council, for example, will be able to take advantage of DC Leisure’s strong relationship with National Governing Bodies (NGBs) to help introduce exciting new sport and fitness schemes into local leisure centres.

Last year DC Leisure teamed up with Sport England to hold a series of road shows across the UK, inviting local authorities to visit some of the most successful leisure centres to witness firsthand the benefits of PPPs. For example, the Elmbridge Xcel Leisure Complex has seen participation levels in sport and exercise increase by 300% across the Borough since it opened in August 2006. This shows the positive way local authorities and private operators can work together to improve sport and fitness facilities.

Visitors can now enjoy a range of sport and leisure facilities at Gosport Leisure Centre including a 25m swimming pool, smaller learner pool, sauna and steam room, along with a 70 station health and fitness studio and dance studio. There is also a sports hall suitable for badminton, basketball, volleyball, netball and a range of community activities. Outside there are eight 5-a-side and one 7-a-side synthetic football pitches adjacent to the centre with two grass mini-soccer pitches to the west, all run and managed by Play Football.

Now that the leisure facilities have been completed, the next phase of the development will be the construction of a new pub/restaurant by Marston’s with a 60 bed Premier Inn hotel which is due to open this summer. DC Leisure was instrumental in attracting both Whitbread and Marston’s to the site, which has ultimately helped to fund part of the leisure development.

In the first month of opening, all targets have been exceeded, with 2,000 gym memberships and 400 swim memberships sold, as well as 74 five a side football teams signing up to use the facility.

Peter Kirkham, development director at DC Leisure, said: 'With ‘pay and play’ options - and low cost gym memberships from just £18.99 a month, the new Gosport Leisure Centre will ensure that high quality sport and leisure facilities are affordable and accessible for everyone.

'The new centre is well positioned to welcome those who are looking to adopt healthier, more active lifestyles, especially after all the buzz and excitement around last summer’s Olympic and Paralympic Games. The positive public response to the project sees us well on track to meet our ambitious target of 500,000 visits in year one. This impressive 200% increase, when compared to the old centre, proves that these schemes can be delivered on budget, on time and at an affordable price to local communities.'