INVERNESS — The Scottish and UK governments are standing by their investment in Inverness Castle, even though the attraction is expected to post a first-year loss of £1.6 million.
Castle opening backed despite shortfall
The castle has been transformed over four years from former court buildings into what backers have described as a “world-class” attraction. Both governments contributed millions of pounds to the project, which totalled £47 million.
At a Highland Council meeting on Thursday, August 27, councillors were told the attraction was not expected to break even until 2029. Steve Walsh, chief executive of High Life Highland, said footfall was currently at just 55 per cent of forecast levels, leading to the expected £1.6 million loss in the first year.
High Life Highland, which runs the castle, is an arm’s-length charity to Highland Council.
Funding and visitor hopes
The Scottish Government contributed £19.6 million to the renovation, while the UK government provided £7.5 million through the City-Region Deal.
A UK government spokesperson said: “The opening of the Inverness Castle Experience was a significant achievement for the Highland region.
“By supporting local jobs, attracting visitors to the region and providing a platform for Highland culture and producers, this attraction will be a driver for the regional economy.”
The reduced visitor numbers have also affected staffing. High Life Highland has moved to a “seasonal staffing” approach, reducing numbers from 89 full-time equivalent staff to 64.
Mr Walsh said this had been handled “humanely and incrementally, so there hasn’t been any reductions – this has been through natural attrition”.
Government response
A Scottish Government spokesperson said: “Inverness Castle is an iconic landmark at the heart of the Highlands which Scottish Government investment has helped transform into a star attraction.
“Opening just seven months ago, it is set to welcome thousands of visitors every year, generating millions of pounds for the Highlands’ economy.
“The benefits of this project extend far beyond the building itself; it is a long-term investment in the Highlands’ economy and its people.”