A multi-million-pound investment in Harrogate Convention Centre has been announced, with plans to enhance the venue’s facilities and boost the local economy.
The proposed £7 million investment will focus on transforming Studio Two, adding larger breakout rooms to accommodate up to 1,300 delegates. The aim is to strengthen the centre’s position in the competitive conference market and generate an additional £1.5 million in annual income.
Members of North Yorkshire Council’s executive will meet on December 17 to discuss the details of the investment, which is part of a broader strategy to introduce a more commercial operating model for the venue. This approach aims to reduce the financial subsidy from the council and attract future investment.
Cllr Gareth Dadd, deputy leader of North Yorkshire Council, said: “The Harrogate Convention Centre promotes the town and Yorkshire on a national stage, bringing in visitors from across the country. It is critical that we retain the benefits of the convention centre while at the same time finding opportunities to reduce our subsidy, improve the facilities, and align the centre with our long-term vision for Harrogate.”
The centre, opened in 1982, boasts one of the UK’s largest purpose-built auditoriums. However, a lack of larger breakout spaces has limited its ability to host bigger conferences, affecting its economic impact on Harrogate and the wider region. Last year, the council provided a £1.9 million subsidy to the centre, down from £2.6 million in the previous year due to increased revenue from in-house catering and venue lettings.
Cllr Mark Crane, North Yorkshire Council’s executive member for open to business, said: “The Harrogate Convention Centre plays a vital role in Yorkshire’s economy, contributing more than £45 million each year through retail and hospitality industries. The proposals under consideration will ensure the venue remains at the forefront of the economy for both Harrogate and the wider Yorkshire region.”
A 2019/20 business strategy has already resulted in a 21% increase in income from lettings at the centre, with future bookings suggesting a potential growth of more than £4 million annually.
The proposed £7 million investment in Studio Two aims to generate an additional £1.5 million in yearly income, which would help reduce the annual operating subsidy to around £1 million. A full business case will be needed before the investment is approved.
Paula Lorimer, director of Harrogate Convention Centre, said: “The proposals for Studio Two are very welcome and would significantly improve revenue opportunities for the Harrogate Convention Centre. This venue is integral to the visitor economy of Harrogate, and its conferences, exhibitions, and events create jobs and support local businesses.”
The investment proposal follows a market review by consultancy firm 31Ten, which recommended focusing on the development of Studio Two and adopting a more commercial operating model. The centre is also exploring potential partnerships with universities, colleges, and local authorities to unlock additional funding opportunities and widen its appeal.
The Harrogate Convention Centre, located in the heart of Harrogate, offers a 2,000-seat auditorium and 13,000 square metres of exhibition space, and it plays a key role in the town’s economy.
