Councillors have approved an additional £1.3 million in emergency funds for the struggling Torfaen Leisure Trust.
The report required the council's support as the trust voiced concerns about a shortage of funds to reach the end of the financial year.
The extra cash injection, however, comes with the condition that the trust’s current management agreement be terminated this year, with a new procurement process initiated.
At a council meeting, Executive Member for Communities and former trustee Cllr Fiona Cross said: "There is no one in this room who wants this to happen less than myself, but it is an option we have to maturely explore in order to be responsible with the funds we have, and the impact it might have on the choices we then have to make if we don't explore having a different contractor."
Ms Cross acknowledged the widespread impact of Covid-19 on numerous trusts, emphasising the behavioural adaptations smaller organisations have made to leverage finance and resources.
The trust has been a recipient of annual payments from the council since 2013, with a forward-looking plan of becoming a self-sustaining commercial venture in the future.
The trust, which oversees the Bowden Centre, Cwmbran Stadium leisure facility, Pontypool Active Living Centre and ski slope, and Fairwater Leisure Centre, showed commendable progress towards this goal from 2013 to 2019.
Previous financial support towards Torfaen Leisure Trust in 2023/2024 included £1.3m, in addition to a further £500,000 to support its recovery from the impact of the Covid pandemic.
However, by December 2023, it was apparent the trust remained struggling with financial problems post-pandemic prompting the council to make several payments to aid its financial stability.
The trust later revealed in February 2024 that it would be unable to draft a balanced budget for 2024/2025 without more financial support.
Meanwhile, council members have also raised discussions on the practicability of reintegrating leisure services back under council control in conjunction with initiating the procurement process.
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