Ashburton's Santa parade has been rescued by the community after a wave of donations and new sponsors reversed its cancellation within 48 hours.

Organiser Carol Johns announced on Monday the parade would not go ahead after failing to secure a major sponsor and receiving only half the council grant she requested.

By Wednesday, more than $3500 had been donated, and new sponsors had come forward, allowing planning for the December 5 parade to resume.

Initially, Johns hadn’t been able to secure a major sponsor, which usually accounts for $5000 towards the event, because of the economic climate.

Ashburton District Council also granted the parade only $2000, rather than the $4000 Johns requested.

The council grant helps to cover the traffic management plan costs.

Rather than the ratepayer-funded council grant, the money has now come directly from the community, which raised over $3500 in 24 hours.

“The parade will now go ahead,” Johns said.

“The support from the community has been out of this world.

“I just have to get on with organising it now”.

The road closure is the highest cost for the parade, around $3500, as well as the event permit and public liability insurance, Johns said.

Council chief executive Hamish Riach explained that the community grant was oversubscribed.

“Eight applications were received, with total funding requests about $35,000, while the available funding pool was about $24,000,” he said.

“It is not uncommon for applicants to receive less than the amount requested, particularly when total funding requests exceed the budget available”

Riach said the parade is an important part of Christmas in the district.

"We’ve worked alongside the Santa Parade organiser for many years, and we recognise the time and effort that has gone into making it a special event for our community.

"We'd like to see it continue, and we're ready to discuss practical ways we can help."

Johns said she doesn’t feel she has the support of the council, and is baffled that the council can spend $30,000 on its Christmas tree lighting event, but can’t stump up $3500 for the Santa parade.

“I’m grateful they have done it previously, but I don’t think it’s too much to ask,” Johns said.

Complicating matters is the 2025 event permit was for the Santa parade and Christmas market day.

The council deemed the market to be a commercial event, rather than a community event, requiring a $ 2050 event permit.

The fee for the Santa Parade was waived.

Johns contested it was a community event, as the market day proceeds were being used to pay off the around $10,000 rebuild of the kiddie train – used in the Santa parade.

“I consider it a community asset.”

Johns met with Mayor Liz McMillan to explain the situation and show the money coming in and going out of her accounts.

The council determination remained, and Johns did not pay and has been taken to debt collection for $2050.

She said she is considering having to sell the kiddie train to square the debt.

Having run the Santa parade event for over a decade, Johns said she will give it a long think before deciding whether to run it again next year.

“I think it needs to have a committee or non-profit organisation to take over and keep it going.

“That’s the way it’s got to go to survive.”

By Jonathan Leask