City of Derry Airport is facing a £2.5m funding shortfall

City of Derry Airport is facing a £2.5 million shortfall because of the impasse at Stormont, Derry City and Strabane District Council has said.

The airport was promised the money to develop new routes in 2016, but this was not delivered after the collapse of devolved government.

The council's assurance, audit and risk committee was told this was a risk for the airport.

One councillor said ratepayers could be asked to pay.

A £7m funding package was agreed by the Northern Ireland Executive in 2016 to help attract new airlines and improve infrastructure.

Some £2.5m was to used for route development and a further £4.5m was to be used to invest in the airport's infrastructure.

But the collapse of the assembly and executive meant the funding was not handed over to the airport, which is owned by the council.

The council committee was told: "Council officers have completed all relevant tender documents to secure a new PSO [public service obligation] route and have passed all necessary documentation to departmental officials.

"Letters have been sent to the permanent secretary and secretary of state from the chief executive and the chairman of the board requesting an urgent release of the funding.

"Adequate budgetary provision has been made for 2017/18 and 2018/19."

Independent councillor Paul Gallagher said: "We do not have £2.5 million in the bank that we can call on to cover this.

"We are continually writing letters but all that ever happens is that we get a letter back saying that our correspondence has been noted over and over again.

"Will we still be sitting here in February in the same position and find that the only way that we can find this money is to go back to the ratepayers?

"I want to know what our MP is doing about this situation.

"If there are not direct actions on this, then there is no other option but to ask the ratepayers to pay."