Looking to the future and learning from the i360

One year on from the sale of the Brighton i360, the council is focused on the future of the seafront and how value can be returned to the city.

As part of agreeing the sale of the attraction and releasing the associated debt last year, the council put in place a new revenue sharing arrangement and commissioned an independent report to review the circumstances surrounding the original loan decision.

Under the revenue sharing agreement, the council will receive 1% of Brighton i360 tower revenue each year, creating the potential for future investment in improving seafront infrastructure.

The independent report from the Chartered Institute of Public Finance and Accountancy examined the lessons learnt from the council’s decision to approve a loan to fund the construction of the Brighton i360. Its purpose was to understand the information and where decisions could have been better, and to ensure lessons are applied to future investment decisions involving public money.

The report, which will be discussed at the council’s Audit, Standards and General Purposes meeting on 21 April, identifies shortfalls in the evidence and assumptions used at the time.

It makes a number of recommendations to help reduce similar risks in the future, including the need for more robust and realistic financial modelling, improved benchmarking against comparable local markets, independent market validation and clearer governance and assurance arrangements.

It highlights the importance of stress testing and scenario planning, early market engagement and pilot testing, and having clear post‑decision review mechanisms in place to identify and address any underperformance at an early stage.

The council will now carefully consider the findings and incorporate the lessons into its future commercial and investment decision making processes.

Councillor Jacob Taylor, Deputy Leader and Cabinet member for Finance and City Regeneration, said: “We’re really pleased to see the Brighton i360 doing well over the past year under Nightcap’s ownership, helping to draw residents and visitors to that part of the seafront.

“This marks a new chapter for the attraction, and it’s in everyone’s interests for it to succeed.

“The council’s original investment came at considerable cost to the public, which is why we commissioned this independent report to ensure mistake of this scale is not repeated.

“While it looks back at decisions made at the time, what’s most important is that we learn from it and use those lessons to inform future commercial and investment decisions involving public money.”

The Brighton i360 went into administration in December 2024 after a prolonged period of financial difficulty.

Read the full lessons learnt report from the Chartered Institute of Public Finance and Accountancy: Brighton i360 - Lessons Learnt.