Funding for future Battle of Flowers parades will be reduced after Jersey's government covered last year's debts.
An extra £120,000 of public money has been used to pay creditors left out of pocket last summer.
Exhibitors, marquee and security firms and the Parish of St Helier were among those owned money by the previous Battle Association after a six figure overspend in 2024.
It's understood this week's scaled down parades - organised by a breakaway Battle group - were at risk if the debts weren't settled.
Ministers have agreed to provide the cash, and also to not recoup a £90,000 top-up grant from last year.
However, they have asked that the sum be deducted from future grants for the annual August festival, describing it as an 'advance'.
Last year's Battle cost £745,000, and included a concert by Sam Ryder.
Read: Battle Board: 'Every penny is accounted for'
It emerged in the spring that the 2025 parade along Victoria Avenue would be cancelled because of the financial challenges. However, a group of exhibitors have taken over the organisation and are staging two smaller, free parades around town to ensure the long-standing community tradition continues.
- The Day Parade: Friday 8 August at 1 pm with fresh and paper flowered floats and entertainment.
- The Evening Parade: Saturday 9 August at 7.30 pm with illuminated floats and a firework finale.
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