A floating restaurant could be raided by bailiffs over an unpaid rates demand.

Brighton and Hove Council has ordered the owners of The Pagoda Chinese restaurant, moored at Brighton Marina, to pay more than £10,000 over the next three months.

But Derek Greenwood, 66, a partner in the business, said he did not have the money after poor takings during a storm-lashed winter.

The council wants Mr Greenwood and partner Frank Lee to pay the cash in three installments of £3,460 each, starting this month.

But Mr Greenwood said he was currently awaiting the outcome of an appeal and said the council's bailiffs threat was heavy-handed.

He now faces the prospect of the restaurant, a former Yorkshire grain barge, being raided with chairs, tables and cooking equipment sold off to meet the outstanding bill.

Mr Greenwood said he initially received a business rates demand for £30,000, covering the past 18 months and the forthcoming year. He said he negotiated it down to £21,000, and paid off £11,500.

Mr Greenwood is currently appealing to a tribunal, arguing the restaurant isn't rateable because it is a registered ship However, the council says while the appeal is pending, it is legally bound to collect rates for the business.

A council spokesman said: "We've had several meetings with Mr Greenwood. Liability for non-domestic rates is automatic if the business is entered in the Local Ratings List provided by the District Valuer's office, which is part of the Inland Revenue."

Mr Greenwood said: "I'm amazed. We've had five months of storms and our takings are 15 per cent down on last year. We run below break-even point in the winter and can't afford to pay more than £3,000 a month. Everything hangs on this tribunal decision."

Meanwhile, Brighton and Hove Cricket Club is dismayed after receiving a rates demand for £1,125.

The club, based at Nevill Sports Ground, Eridge Road, Hove, provides sports facilities for scores of adults and youngsters. When the council last tried to charge the club in 1998, there was uproar and the council dropped its demand.

Dick Roberts, spokesman for the club, said: "This renewed demand can only damage the reputation of the council."

Councillor Geoffrey Theobald, a vice-president of the club, accused the council of kicking the club in the teeth.

He said: "We had the same argument last time round and the council agreed to waive the rates. This is a club that puts an enormous emphasis on the coaching of youngsters."

The council spokesman said: "There has been a change in council policy concerning rates relief, which is based on giving highest priority to organisations that are aimed at raising skills and tackling poverty and social exclusion.

"The cricket club met the new criteria sufficiently for 25 per cent relief to be granted. The budget for financing rates relief is limited and comes from council taxpayers' money."