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Sheppey has been given £20m from the government's levelling-up fund to help revamp Sheerness seafront.
The cash will go towards transforming the area with a new cafe and adventure golf course to freshen up the town.
Swale council says the money will be spent on improving health, education, leisure and employment opportunities.
Council leader Mike Baldock said: “This is fantastic news for Sheerness and the whole Island.
"I am immensely proud that all the hard work that has been put in by the local community and our officers has paid off."
He added: “When the criteria for the Levelling Up funding was announced, we knew we had to try to get some much-needed investment in Sheerness. MP Gordon Henderson has given us nothing but his full support throughout the process, for which we are immensely grateful.
"We spent a considerable amount of time and effort listening to the community to put together the best bid possible for the budget allowed. Without that support, I don’t think we would be where we are now.
"This is the largest amount of funding we have ever received. I am confident it will make a real and lasting difference to people’s lives and opportunities."
He said it was a "major step" towards the revival of Sheerness and would have benefits across the whole Island.
Sittingbourne and Sheppey MP Gordon Henderson said: "I am delighted to have supported this bid by Swale council. It will make a great difference to people in and around Sheerness."
He added: "I have been lobbying the government hard since the bid was submitted, emphasising how much my constituency needs this added investment, so I am pleased and grateful that ministers have listened to my pleas."
He said he looked forward to finding more ways of continuing to improve the Island.
The scheme will expand the existing Healthy Living Centre off Royal Road with new activities such as soft play, adventure golf, TAG active, a new café and outdoor gym at Beachfields.
Sheppey College in Bridge Road will offer new courses for 14 to 18-year-olds. The conversion of former council offices Master’s House in Trinity Road into studios for creatives is also included in the bid.
The funding will also deliver improvements from the railway station to the leisure complex and better connections between the seafront and high street to encourage visitors to explore more of the town.
The bid has not been without controversy.
After a public meeting at Sheerness East Working Men's Club in February last year – when councillors suggested the town might get a new indoor swimming pool – many expressed anger when that was later ditched from plans.
Requests to have a tidal paddling pool on the beach or improvements made to the promenade to make it accessible for bicycles, buggies and mobility scooters also bit the dust and Cllr Bill Tatton said adventure golf would be a waste of money.
But Sheerness town councillor Dolley White said: "I'm so pleased for Sheerness. We have been ignored for decades. This is the right direction for everyone. Levelling-up can't fix everything but I am so proud that we went into bat for our residents."
However, resident Ben Pointing complained: "Major updates to the swimming facilities are well overdue. But the money is going to a privately-owned college to expand and a soft play area and adventure golf which are likely to be underused."
Swale's former council leader Roger Truelove replied: "The bid had clear criteria. Had we applied for funding for a pool, which we own, we would have got zilch. You're right about the pool. The council will need to seek other capital resources."
Phil Crowder, who chairs the Sheerness Town Team, said: "This is great news for Sheerness. Well done to all those who worked so hard to achieve this. Now the town can start to rebuild itself."
The news was announced by Levelling Up Secretary Michael Gove today (Thursday) as part of 10 projects across the South East. Six were in Kent, of which the Sheppey bid was one of the biggest.
Mr Gove said: "We are firing the starting gun on more than 100 transformational projects in every corner of the UK that will revitalise communities that have historically been overlooked but are bursting with potential.
“This new funding will create jobs, drive economic growth, and help to restore local pride."
Details of the other projects include £19.9m to reopen Canterbury Castle, £19.7m to overhaul Folkestone town centre, £18m for a training campus for digital industries at Dover and £45m to ease post-Brexit traffic at the docks with more border control points and a new exit route.
The investment follows £1.7 billion in 105 projects from the first round taking the total to £3.8 billion.