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Compromise following bid to remove all affordable homes and £1m payment from 900 dwelling development

A developer has been told to meet some of its agreed contributions to the community for the 900 homes it’s building in Holbeach.

Ashwood Homes had asked South Holland District Council if it could not build any affordable homes at its Holbeach Meadows site and go back on an agreed £1m to Lincolnshire County County’s Highways department which built the nearby Peppermint Junction.

It had previously been successful in its bid to drop its obligation for affordable housing in the first 330 homes built at the site.

For the final 570 homes it was due to build 142 affordables but submitted another viability study claiming the company wouldn’t make enough profit if it did include them.

However planning officers commissioned their own independent survey and argued a compromise of 140 affordable homes be built and a £900,000 payment to the county council which SHDC’s Planning Committee ratified last night (Thursday).

Coun Sophie Hutchinson motioned for the application to be refused at the meeting stating the figure for the overall development had gone down from the original 297 affordable homes.

“There’s already been a significant reduction of affordable housing, 50 per cent already,” she said. “I personally feel that is unacceptable.

“I’m pleased officers are not giving the full reductions, but one study states the developer will still see a profit of £31m or 15.15 per cent.

“Section 106 agreements (the agreements of what developers should pay to the community) are about need and not affordability. Holbeach needs these now.

“The decision is between letting the developer have an extra million pounds profit, or ensuring the contributions are delivered to meet the needs of our communities.”

Coun Brewis added that the developer not providing the full £1m towards Peppermint Junction meant £100,000 would have to be paid for by council tax payers, something he described as ‘a disgrace’.

 “If the developer can’t pay for the site then they shouldn’t build them, but we’re stuck with these national laws and regulations,” he said, also remarking that he wondered when Holbeach would apply for city status. “I hate this viability thing, though I have to congratulate the officers on getting a long way to what was originally wanted.”

The vote to approve the application was voted through first after councillors were told refusing it was going against independent advice.

Coun Jack Tyrrell said: “Let’s be honest, the developer is chucking his cards in, saying I don’t want to pay anything and hope for the best and he’s got some knocked off. He’s got away with it.

“If Lincolnshire County Council say it’s willing to lose £100,000 how can we go against it?”

Planning officers also allowed Ashwood to renovate Manor Farm at a later time than they previously needed to.

As part of a separate planning application they also gave the go-ahead for changes with the meeting having been told work on the site had ‘virtually stopped’ without  the permissions.

Head of planning Phil Norman said: “We’re working with the applicant to simplify this and get it as close to the plans as it was at the start.

“There’s further conversations to be had. I understand members’ concerns but be rest assured this is firmly on our radar to address this and it’s the first stage of that.”

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