It does seem contradictory I agree. However, when the "appeasement papers" were being waved to the press, BH provided many more services than now. Since that day of "good news", BH has relentlessly had its services stripped away in order to make final closure easier.
The arguments for keeping BH where it is seem to be based on PCT funding being taken away if we don't toe the line. For my money that's not reason enough to accept the status quo. BH is in a bad location for a District facility, that much should be obvious to everyone. The inappropriateness of the site will be exacerbated by the growth in population that we are expecting.
It also seems to me the local PCT doesn't really want BH and all this investment, if it happens, is just a sop to get us off their backs. Once everything quietens down the final dagger will be inserted on cost, location and needs basis, and BH will be no more. I suppose it could be turned into another eco-house site.
Worryingly, generations to come will blame us for getting this wrong and not standing up for what is really needed.