TORY leaders have been thwarted in a bid to divert £10million from the Seaway cinema and restaurants scheme on Southend seafront - and instead buy up the lease on Southend’s ailing Kursaal.

Conservatives launched a last-minute intervention on a budget debate and called for the £10million cash injection to underpin the Seaway project to be spent on the Kursaal instead.

The call was rejected by the Labour, Independent and Lib Dem administration.

However, Labour council leader, Ian Gilbert, also revealed the existence of a separate £10million fund which could be used for the Kursaal if a viable plan comes forward He said cash had been set aside for regeneration schemes such as the Kursaal on the seafront and underlined points made previously about a bid for Government cash for the Kursaal.

Mr Gilbert said: “Let’s be clear about this.

“Putting £10million into the budget subject to a viable business case will not help bring the Kursaal back in use one day earlier than it would otherwise have been.

“I am absolutely personally committed to bringing the Kursaal back into use.

“We are considering and hoping to make that the centrepiece of a Levelling Up Fund round two bid. The simple fact, without wanting to get into confidential commercially sensitive matters is that £10million is not enough to bring the Kursaal back into use.”

As well as the Levelling Up Fund plans, last year council bosses revealed that they had opened discussions with current leaseholders AEW UK to buy back the lease of the Grade II listed building.

Mr Gilbert added: “There is actually over £10million set aside in the budget for regeneration programmes which could be used should a viable proposal come forward.

“I’ve already given my assurance it will certainly not be an either/or choice between supporting Seaway or supporting the Kursaal. If both stack up, we can and should do both.”

Tony Cox, leader of the Conservative group, said: “We are proposing simple amendments which would mean a lot to the residents and businesses in Southend. We would like to have done more but there is much uncertainty in the 2023/2024 budget due to the administration having wasted millions on the waste contract debacle.”

Councillors approved the budget by 25 to 20. They voted against the Seaway amendment 24 to 22.