Funding cut for £1.9bn of affordable housing

Grant Prior 14 years ago
Share

Affordable housing schemes across the country worth £1.9bn were axed yesterday in the wake of Government spending cuts.

The Department for Communities and Local Government and the Homes and Communities Agency confirmed that 13 planned schemes in the pipeline via the Private Finance Initiative will not go ahead.

But the agency said another 13 housing schemes currently in procurement and worth over £1.2bn will continue to be supported through PFI during the next spending review period.

Another 25 housing schemes under contract will also continue to be supported.

The decision follows a review of housing PFI that could have seen support for all non-contractually committed schemes withdrawn.

HCA chief executive Pat Ritchie said: “I am pleased that despite having to make some tough decisions following the Spending Review, DCLG is able to commit support for these housing PFI schemes which have the potential to make a real difference to local communities.

“At the HCA we will now concentrate on helping Local Authorities maximise the impact of available funding, through our expertise on procurement and other technical services.

“We will also work with those councils which have received disappointing news today, to look at any ways in which their objectives might be supported through a non-PFI route.”

The 13 schemes currently in procurement will now be subject to a further rigorous review of value for money, with the outcome expected in December.

The full list of schemes in procurement which are continuing and the pipeline projects which have been axed:

    Pipeline projects axed

    Local Authority Project
    Birmingham City Council Lyndhurst Estate
    Cheshire East Council and Cheshire West and Chester Council Extra-Care Housing
    Camden London Borough Council Gospel Oak Regeneration
    Cornwall County Council Extra-Care and General Needs
    Hull City Council Orchard Park Estate
    Leeds City Council Lifetime Neighbourhoods
    Manchester City Council Collyhurst Estate
    Northampton Borough Council Eastfields and Thorplands
    Nottingham City Council Meadows Estate
    Portsmouth City Council Somerstown Estate
    Shropshire County Council Extra-Care Housing
    Southwark London Borough Council Aylesbury Estate
    Stoke-on-Trent City Council Suburban Estate

    Projects in procurement under fresh cost review

    Local Authority Project
    Derby City Council Social Rented Housing
    Kent County Council Excellent Homes for All
    Kirklees Metropolitan Borough Council Excellent Homes for Life
    Lambeth London Borough Council Myatts Field North
    Leeds City Council Little London
    Leeds City Council Beeston Hill & Holbeck
    Manchester City Council Brunswick Estate
    North Tyneside Metropolitan Borough Council Older People Homes for the Future
    Oldham Metropolitan Borough Council Gateways to Oldham
    Salford City Council Pendleton Estate
    Stoke-on-Trent City Council Extra-Care Housing
    Wiltshire County Council Social Rented Housing
    Woking Borough Council Priority Homes

Latest news

Morgan Sindall to build former Willmott Dixon leisure job

New contractor appointed on
11 hours ago

Graham consortium wins £400m Manchester job

Equitix consortium to now work up DBFO plans for University of Manchester’s Fallowfield Campus
8 hours ago

Keltbray looking to sell infrastructure business

£378m turnover rail, energy and highways business up for sale
18 hours ago

Innovative viaduct building method used for first time in UK

HS2 contractors will build nine viaducts in Delta Junction using special cantilevered process
19 hours ago

Unite buys London site to fast-track 444-bed student scheme

£800m to be spent on London development pipeline in next five years
19 hours ago

CITB awards £2.5m of contracts to management consultant

Three outsourced deals in the last year for "project leadership and management consultancy"
19 hours ago

Village centre approved for 6,000-home new town plan

Hampshire's Welborne Garden Village plan has been in the pipeline for two decades.
18 hours ago

£3m fine after cherry picker demolition death

Court rules after tragedy during decommissioning of gas rig
19 hours ago

BAM plans wave of job cuts at UK Construction arm

Co-op Live arena plunges Bam Construction to £19.5m first-half loss
2 days ago

Robot tunnel builder goes into administration

Hypertunnel was hoping to revolutionise how underground structures are built
2 days ago

Wates to build £86m Guildford Council housing scheme

40% of the 248 homes will become council homes under partnership deal
2 days ago

“Scrap CITB” say three quarters of construction firms

Payroll giant Hudson Contract calls for CITB to be absorbed into new Skills England training body
2 days ago

£100m Prestwich Village revival approved

Vinci and Willmott Dixon in chase for Muse-led regeneration scheme
2 days ago

Carbon negative asphalt aggregate trialled on M11

Skanska and Tarmac test CO2 absorbing aggregate material on stretch of Essex motorway
2 days ago

Father and son sentenced over covid construction loan fraud

Bristol builders given suspended jail sentences over bogus Bounce Back Loans
2 days ago

Beck Interiors files administration notice

Supply chain has suffered delayed payments from £139m-turnover luxury fit out specialist
3 days ago

Green light for York Central civil service office hub

£60m office project accelerates York Central goods yard redevelopment
3 days ago

Blenheim House Construction enters administration

Administrators looking at options on present projects
3 days ago

Profits rise at Esh Group with more to come

Contractor confident about year ahead as market conditions move in right direction
3 days ago

Piling specialist Van Elle sees housing orders rise 30%

Mark Cutler says firm on course to deliver 10% annual sales growth
3 days ago

HS2 to spend £100m shutting sites where work never started

Remediation of sites no longer needed for cancelled Phase 2 will take three years
3 days ago

Willmott Dixon wins £61m deal for new Army dog unit

Contractor to revamp Kendrew Barracks in Rutland
3 days ago

Stockport advances 4,000-home Town Centre East plan

Council seeks consultants to steer plan for 280-acre area in the city
3 days ago

ISG sale imminent as buyers set-up UK holding company

South African nutrition entrepreneur and Australian partner primed to take over
4 days ago

CR Construction wins £210m Manchester towers

Construction to start next year on four blocks ranging from nine to 34-storeys
4 days ago

Southern Housing to rationalise supply chain following merger

Firms put on alert for £1.7bn construction framework renewal
4 days ago

Decision delayed on 52-storey Isle of Dogs tower

Hong Kong developer plans 460 flats block next to Millwall Inner Dock
4 days ago

Go-ahead for £850m North London estate rebuild

Flagship Edmonton housing estate redevelopment will deliver 2,000 new homes
4 days ago

Mace lands £184m Oxford Science Park contract

Contractor to build trio of laboratory and office buildings
5 days ago

Worker paralysed in 30ft fall during electricity pylon demolition

Specialist firm fined £240,000 after court hears linesman attached lanyard to a loosened steel section
4 days ago

Contractor services