Jersey's Infrastructure Minister has gone back on his decision to award First Point the lease to manage the outdoor bathing pool at Havre des Pas.
It follows an independent report on the Expressions of Interest (EOI) process by Jurat Anthony Olsen.
The report identified 'shortcomings' in the second part of the process and concluded it was not as fair as it should have been.
READ: Public meeting called on future of Havre des Pas Lido
Central to his findings is the wording used to describe the community group Love Our Lido, which was the preferred bidder, failing to agree on terms in the later stages of the bidding.
READ: 'Shame on you': Havre Des Pas Lido protesters take to the Royal Square
Infrastructure Minister Constable Andy Jehan has accepted the findings and apologised to the States Assembly:
He says it is 'clear' that mistakes have been made.
"I apologise again for the occasions where erroneous statements have occurred.
"I emphasise that those mistakes have been genuine and not deliberate."
READ: Government attempts to reframe Havre des Pas Lido proposal ahead of debate
Jersey's Infrastructure Minister, Constable Andy Jehan
The Infrastructure Minister went on to reassure politicians that there is no evidence of any conflicts of interest, and the report found large parts of the process to have been 'fair and fairly administered'.
"There are, however, aspects where we have fallen short.
"In hindsight, I believe that independent oversight should have been maintained throughout.
"I intend that my actions to rectify the process will now enable us to bring it to a properly administered conclusion."
Havre des Pas
Those actions are to withdraw the Ministerial Decision to award the lease to the private management company First Point and to restart the second phase of the process, with negotiations recommencing with Love Our Lido.
READ: Government appoints new Havre Des Pas Lido operator
The government will be taking vacant possession of the site by 25 December 2025 to 'allow' the process to be 'properly concluded' before the new lease is awarded.
The Infrastructure Minister is hoping to agree a lease by the end of January 2026, with the successful party receiving £60,000 per year to help cover the costs of running and maintaining the pool.
Islanders will be able to use the Lido, changing rooms, and toilets.

Alleged road rage assault on Christmas Eve
Jersey's first Christmas Tractor Run raises more than £10k
Finish line looms for school's Advent Challenge
£1 million into Jersey sport in 2026
Channel Islands could technically have a White Christmas
Cocaine importer jailed for six years 9 months
Details announced of free childcare for two and three year olds
18-year-olds to have access to Jersey social housing