The purchase of a run down building in Haverfordwest has been described as “bonkers”, “fundamentally flawed” and “folly” at a council meeting today (Friday).

Councillors had called in a decision of cabinet to buy the former Ocky White building for £460,000 and accept a Welsh Government grant of £2million while carrying out further work on what the final use for the site will be.

Cllr Jacob Williams said the plan was not “value for taxpayers’ money.”

This was backed by a number of other councillors and an extraordinary services scrutiny committee met to debate the proposals.

The building – which could see a food emporium and offices at the Bridge Street site – backs on to the river and is said to be “key” to a wider plan for regeneration the town centre and “river corridor.”

On Friday Cllr Williams said the council would be “rewarding a property owner of a not particularly attractive building with a large amount of council tax payer money.”

He said there was public opinion that “something smells” about the purchase.

Cabinet member overseeing the plan, Cllr Paul Miller, said the fact that there was no market interest in the building was why the local authority needed to step in and be a “catalyst” for economic development.

He added that more work was to be done on what the building could be used for and it could even be demolished to open up the area –  an idea which garnered support from a number of councillors.

“It’s not an asset, it’s a liability,” said Cllr Mike Stoddart.

The committee heard that there had been concerns at the July meeting of the strategic asset management committee about the figures involved and the end value of around £750,000.

Ongoing revenue costs could be incurred if space was not rented, maintenance was needed and uncosted “fitting and inducements” for businesses to start up in the building.

Cllr Bob Kilmister, cabinet member for finance, said: “As a one off investment it doesn’t stack up but if we are going to change that environment we have to make some actions that are going to bring that about.”

A decision was needed was to meet a Welsh Government deadline to take up a grant for refurbishment, even if, down the line, it was decided to take a different route.

Cllr Williams said that the owner of the building “thinks he has the council over a barrel” and more should be done to negotiate the price.

Councillors voted in favour of a motion put by Cllr Jamie Adams that the committee does not support the cabinet decision due to “inevitable ongoing revenue funding risks” and that the purchase prices was poor value.

This will go back to cabinet for discussion, although cabinet is not bound to change its mind.