
A developer has asked if it can remove the affordable homes aspect of a new housing estate in South Cumbria due to spiralling costs during construction.
Barker Developments is building up to 36 homes on land off Greystones Lane in Dalton-in-Furness and the scheme was approved, with the condition that four so-called ‘affordable’ units were part of the development.
But now, Barker Developments has asked Westmorland and Furness Council if it can remove the affordable homes aspect due to ‘abnormal costs’ relating to construction.
The developer said: “Since work commenced on site, it has become apparent that abnormal costs – particularly with regard to the adverse ground conditions including the need for retaining walls and removal of surplus material – and associated increase in construction costs, have significantly increased to the extent that the scheme is not providing sufficient incentive for the applicant to continue to carry out the development especially with the delivery of the affordable units.”
In October 2019 a planning application to build up to 36 homes on the site was approved by the then Barrow Borough Council.
The supporting statement added: “The proposal will benefit the local economy during the construction phase and because of increased spending from new residents; provide housing fulfilling the social role; and is of an approved design in compliance with the environmental role.
“On balance, it is considered that the adverse effects of allowing this application do not significantly and demonstrably outweigh the benefits of the proposal.”
Guidelines for what makes housing affordable are set by the Government under the National Planning Policy Network.
It aims to help people stay in their local area who could otherwise not afford to buy or rent on the open market.
It is aimed at people who meet a specific criteria and house and rent costs are based on local incomes and local house prices in the area.
Renters on lower incomes should be able to secure homes at rates below market value and for buyers, houses should be sold at a discount of at least 20 per cent below local market value.