Derby’s £35m Market Hall running at forecast £338k loss

The Market Hall in Derby city centre. Image by LDRS.

Derby’s renovated Market Hall looks set to make a loss of £338,000, new documents have revealed.

The Derby City Council-owned venue, which reopened in 2025 after a major £35 million restoration project, is according to a financial report forecast to be in the red next year due to “a shortfall of trader income”.

The £338,000 shortfall was detailed in the Labour-led council’s Quarter One financial report for this municipal year (2026/27) and has sparked concern from some opposition officials on the city council.

However, bosses have played the figure down, insisting the £338,000 forecast loss “does not represent the full-year position for the Market Hall”.

Further financial forecasts are expected over the next 12 months, which could see its forecast change, they said.

An internal review is ongoing examining the market’s commercial activity following public criticism over its type of stalls and “lack” of footfall.

The council is looking to “enhance the overall offer”. A four-day beer festival is scheduled for October and a fashion festival – Cirque de la Mode – is to be held this weekend (August 8th and 9th).

A city council spokesperson said: “Quarter One figures are an early snapshot in the financial year and do not represent the full-year position for the Market Hall.

“We are actively working to attract new traders, support existing businesses and enhance the overall offer. This includes a growing programme of events – such as the farmers’ markets, seasonal festivals and workshops – designed to increase footfall and encourage more people to visit.

“We will continue to build on this programme and to monitor performance closely throughout the year, and we are confident that the actions underway will help strengthen the Market Hall.”

Council leader Nadine Peatfield said in April varied events “have all contributed to an average weekly footfall of 15,000 people”.

But opposition councillors fear the six-figure deficit projection represents a “serious warning sign”.

Chaddesden councillor John Wright from the Conservative group told a meeting the £338,000 forecast loss was “really concerning”.

Conservative group leader Councillor Steve Hassall said: “The Market Hall has had a huge amount of public money spent on it. Residents were promised a revived, vibrant destination that would help breathe life back into the city centre.

“Instead, we now have a Market Hall still struggling to attract enough traders, enough footfall and enough spending.

“The council needs to be honest about what has gone wrong and set out clearly how many units are empty, how many traders have left, what footfall was expected, what footfall is actually being achieved, and whether the current rent and turnover model is fit for purpose.”

Cllr Hassall called for the venue to return as a “proper market”, as was the case before its closure a few years ago.

But earlier this year Cllr Peatfield said having the venue as a traditional market again would not work.

She told a meeting: “I know that [making it a traditional market] is what people are saying. However, in reality it doesn’t play out because it was a traditional market before it closed and it wasn’t working”.