Anger at £2.7m cut in developer homes cash

Coun Jim Grant Coun Jim Grant

AN argument has erupted over a cut in the money a developer has to pay for a site in West Swindon.

Swindon’s Labour leader Jim Grant has attacked a proposal to slash the amount of Section 106 money developers have to pay for the Moredon Bridge Development by £2.7m.

Section 106 money is money that developers of larger sites pay to the council to reduce the impact of the development, which is agreed when planning permission is granted.

The Moredon Bridge Develop-ment, which is within Wiltshire Council’s boundary, consists of 200 homes on the land adjoining Sparcells, which was granted permission on appeal in 2009.

Originally it had been agreed that the developers would pay £3.8m to help with local infrastructure, but as a result of a change in circumstances, the developer and Wiltshire Council have agreed that the best way forward is to renegotiate the package to just over £1m.

Swindon Council’s planning committee has the final say over whether to sanction the proposed reduction in S106 contributions at tonight’s planning committee meeting.

Councillor Grant said he was upset to see so much money which could have gone into local infrastructure lost.

He said: “I am utterly astonished that the council is proposing to let the housing developer get away with not paying what they agreed in what I assume is a legally binding agreement. This isn’t small change but £2.7m worth of money that Swindon will be losing out on that should be mitigating the effects of this housing development.

“Because the developers haven’t paid what they should have by now this development has already led to increased traffic on Swindon’s roads, including on roads in my own ward.The developers simply shouldn’t be getting away with this.

“It will send a message to other housing developers that it is okay for them to shirk from their responsibilities and not pay for the infrastructure that needs to accompany these developments.”

But council leader Rod Bluh rubbished the complaint and said that the council no longer need as much money to counter the effects of the development.

He said: “This issue is the responsibility of Wiltshire Council, because the development is in their area, and they negotiated the original S106 agreement which has since been disputed by the developer.

“To say that Swindon Borough Council is in some way at fault in any of what has happened is just nonsense.

“Elected members of Swindon’s cross-party planning committee will decide whether to ask Wiltshire Council to negotiate just over £1m for us in Swindon, to be spent in Swindon.

“There’s a simple explanation why this is less than the original £2.7m – circumstances have changed massively since the first agreement was negotiated and we don’t need as much money to mitigate the effects of the development.”

A Wiltshire Council spokesman said: “The government has advised councils to ensure section 106 payments must be fair and reasonable. Since the original agreement in 2009, the justification for a number of the contributions may have changed considerably.

“Because of this, we have been discussing the contributions with the developer for some time. Following these discussions, the developer requested we asked Swindon Council check the contributions are still appropriate based on the current situation. We are waiting for a decision from Swindon Council before we discuss further with the developer.”

Comments(18)

swindondad says...
10:10am Tue 9 Oct 12

As this reduction in section 106 money seems like a "done deal" lets hope that the developer will pass on the £14k per house saving onto the buyers.

LordAshOfTheBrake says...
11:12am Tue 9 Oct 12

Quote "Originally it had been agreed that the developers would pay £3.8m to help with local infrastructure, but as a result of a change in circumstances, the developer and Wiltshire Council have agreed that the best way forward is to renegotiate the package to just over £1m. "

What are the change in circumstances? What was originally budgeted for that is now considered unnecessary?

Given that Swindon's infrastructure is already at breaking point in the west and the north, this seems pretty strange; especially if the money is going to Wiltshire council.

Swindon council should look into simply blocking the roads (no through roads etc) from the development back into Swindon and push all the traffic round the edges where Wiltshire council are responsible for the infrastructure :)

1 2 Could B says...
11:52am Tue 9 Oct 12

Makes no sense.

There are so many glaring questions that this report has not covered. Such as what are the changes in circumstances?
Surely the reporter asked that question?

Rod Bluh says
“This issue is the responsibility of Wiltshire Council, because the development is in their area, and they negotiated the original S106 agreement which has since been disputed by the developer."

So why waste our council taxes on a SBC meeting?

Oh.....
It appears we have stacks of money to spare.

"council leader Rod Bluh rubbished the complaint and said that the council no longer need as much money to counter the effects of the development."

Equally, I doubt the Labour group will effectively oppose this decision.
Such seems to be the pointless use of SBC

Still it's nice to know that despite huge sums of money, wasted on vanity projects, that Swindon Borough Clownschool still has money to spare?

The Real Librarian says...
12:41pm Tue 9 Oct 12

QUOTE
council leader Rod Bluh said
"there is a simple reason why this is less than the original £2.7m – circumstances have changed massively since the first agreement was negotiated and we don’t need as much money to mitigate the effects of the development.”
UNQUOTE

How can it have changed so much exactly?
I can imagine that you could lose 5 or 10 % here or there, but 75% is ridiculous. Either they were massively wrong then or massively wrong now.

Adver - can you kidnly do your job and ask how so much can have changed in three years.

I 2 Could B says...
1:45pm Tue 9 Oct 12


“There’s a simple explanation why this is less than the original £2.7m – circumstances have changed massively since the first agreement was negotiated and we don’t need as much money to mitigate the effects of the development.”

If it's a simple explanation, why not be specific about what has actually changed.

It never fails to amaze me how politicians continually dig their own graves. There really *could* be reasons as to why the additional £2.7m may have been required but is now not necessary, but unless we're told what those reasons are, people will automatically just assume the process has descended into farce.

RichardR1 says...
5:13pm Tue 9 Oct 12

The developers know they are in the driving seat most councils are desperate to build houses to avail themselves of twice the domestic rates/house for 6 years from the Government.

I'm Important says...
5:50pm Tue 9 Oct 12

The developers know they are in the driving seat most councils are desperate to build?

What driving seats do councils build?

Ian13 says...
7:49pm Tue 9 Oct 12

Please no more houses until the roads are sorted out. It takes 30 minutes to get from Haydon Wick to the M4 in the morning. I can get to M5 in not much more time.

batch says...
8:05pm Tue 9 Oct 12

Ian13 wrote:
Please no more houses until the roads are sorted out. It takes 30 minutes to get from Haydon Wick to the M4 in the morning. I can get to M5 in not much more time.
Here here. Thamesdown drive is a nightmare, then if you actually need to get to J16 in the morning its even worse.

But that doesn't stop more and more houses. If only we had £2.7M* more to make the roads better. Oh.

*yes, not enough I know...

Ian13 says...
8:32pm Tue 9 Oct 12

West Mead and Windmill / Blagrove roundabouts are the worst areas.

Blackmalkin says...
9:00pm Tue 9 Oct 12

Developers always do this. They'll promise the moon on a stick to get planning permission, then they knock up the usual identikit rubbish at maximum density, take the money and run. How many schools was north Swindon promised? How many did it actually get? They are one step below used car dealers in the trustworthy stakes.

timt1964 says...
9:14pm Tue 9 Oct 12

why do people in swindon always whinge about traffic? what do they expect,the areas they live in were fields once.people should stop buying pointless 4 x 4s for the school run or trip to the recycling bins.or worse still,hybrid cars.if you make more roads they just get full of more cars.forget swinetown,its whingetown.

VotingFloaterUK says...
9:37am Wed 10 Oct 12

Didn't David Cameron announce live on Channel 4 News yesterday that the government were "scrapping" Section 106 payments so that developers can 'go out and build'? And didn't Swindon North MP Justin Tomlinson campaign on the basis of making sure developers pay the contributions they've agreed to? Puts him in an interesting position if his own party are going against the issue he campaigned for parliament on!

RichardR1 says...
9:58am Wed 10 Oct 12

There must be many things Mr Tomlinson will be reflecting, not the least his leads duplicitous actions over the EU. Mr Tomlinson supports the call for an in/out referendum, and is against greater political integration.

Perhaps it is time he reviewed his allegiance, whether it's to the Swindon electorate or his party. Mind you that could be said of at least 100 other Tory MPs.

VotingFloaterUK says...
10:44am Wed 10 Oct 12

It's not just Tory MPs to be fair!

RichardR1 says...
12:38pm Wed 10 Oct 12

Fair comment VotingFloaterUK, which I guess is why there is never a free vote allowed over a referendum in the Commons.

LocalBob80 says...
10:50pm Wed 10 Oct 12

Mr Grant should find a better photo for use in these editorials

I 2 Could B says...
4:28pm Thu 11 Oct 12

LocalBob80 wrote:
Mr Grant should find a better photo for use in these editorials
I think it represents him very accurately.

click2find

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