![\"Bootle](\"https:\/\/www.europesays.com\/uk\/wp-content\/uploads\/2025\/12\/0_Bootle-Town-HallPic-Andrew-Teebay.jpg\")
Bootle Town Hall(Image: Andrew Teebay\/Liverpool Echo)<\/p>\nCouncil is adamant Sefton Hospitality Operations Ltd (SHOL) will eventually return a profit and said losses are consistent with documented ‘sectoral challenges’Bootle Town Hall(Image: Andrew Teebay\/Liverpool Echo)<\/p>\n
Sefton Council\u2019s privately owned hospitality firm has posted more losses, which now total more than \u00a31.9m, according to figures published earlier today (December 23).<\/p>\n
The balance sheet for Sefton<\/a> Hospitality Operations Limited (SHOL) have been published on Companies House, including profit and loss figures for the financial year 2024\/25. The previous year\u2019s balance sheet showed SHOL had made a loss of \u00a31.4m, but this has now increased by more than half a million pounds, with total losses now reaching \u00a31,945,533, since being incorporated in June 2021.<\/p>\n The majority of losses amount to loans from Sefton Council<\/a>. When the Liverpool ECHO<\/a> asked when the loan repayments would start to be paid back to Sefton Council, the local authority confirmed the information is in the business plan and would commence 2026-27.<\/p>\n SHOL is wholly owned by Sefton Council and was formed in June 2021 to run the Crosby<\/a> Lakeside Adventure Centre in Waterloo<\/a>, with an expectation the business would eventually deliver a dividend to the council. One of the key objectives for SHOL, outlined in a March report into the council\u2019s wholly owned companies, is to \u2018drive revenue and profit growth\u2019.<\/p>\n This report also includes a section which details the \u2018key areas of risk\u2019 for the council in its management of SHOL, and cites factors such as \u2018external market pressures\u2019 and the trading environment for the UK\u2019s hospitality sector.<\/p>\n The report states: \u201cIt has been well documented that the hospitality sector has and is facing challenges, in areas such as cost of utilities and consumables, with both having a direct impact on the market, and both affecting SHOL\u2019s venues and the Council\u2019s other assets in the sector.\u201d<\/p>\n \u201cThe challenges of opening a new hospitality venue at any time are exacerbated by increasing cost pressures affecting sector-wide profitability, with venues such as the Lake House, and Southport<\/a> Market, seeing more than 100% increases in energy bills during the business plan period.\u201d<\/p>\n Sefton\u2019s local authority confirmed SHOL\u2019s financial performance was \u2018below Business Plan expectations\u2019, attributing this to market conditions and increased utility costs at the venues.<\/p>\n The report continued: \u201cThe external factors outlined in this document will continue to affect the business in the current and the subsequent financial year as well, albeit with some decreases in utility costs anticipated. The forecast for 2024-25 is also therefore below the levels previously anticipated in the original business plan.<\/p>\n \u201cHowever, the company and the Council remain committed to the long-term future of SHOL and its workforce and continues to identify opportunities to enhance revenues and profitability of the business.\u201d<\/p>\n The council said its previous business plan expected SHOL would deliver profits in the financial year 2025-26, and confirmed that remains the target for the business and its Board. In response to the balance sheet published today, a local authority spokesperson told the ECHO<\/a>: \u201cThe annual report and accounts filed are consistent in reflection of the sectoral challenges reported to Cabinet in January 2025.<\/p>\n \u201cHowever, the Lake House has been an economic success by every measure for the area, having created more than 50 new and quality jobs, attracting an estimated 56,000 new visitors to this area of our beautiful coast each year, and adding circa \u00a32.7m per annum to the local economy.\u201d<\/p>\n For the latest news and breaking news visit liverpoolecho.co.uk\/news<\/a><\/p>\n Get all the big headlines, pictures, analysis, opinion and video on the stories that matter to you.<\/p>\n Follow us on Twitter<\/a> @LivECHONews<\/a> – the official Liverpool ECHO Twitter account – real news in real time.<\/p>\n