Concerns build over costs at new Lancashire housing development
A row has broken out over increasing costs at a new housing development in Lancashire.
The development - a Pendle Council joint venture - has faced a host of challenges including disputed highways advice, worries over possible underground mine shafts and potential extra costs of up to £95,000.
Pendle Council is in disagreement with Lancashire County Council over county highways advice about the embankment at Further Clough Head, near Nelson. The site is owned by the borough and bosses want to develop new homes through one of their joint ventures - PEARL Together.
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The issues were raised at Pendle Council's latest executive meeting. Top councillors were initially asked in a report to agree an extra £95,500 from the council's capital budget towards completing the scheme - but were then presented with a lower estimate of £38,000.
A report for the meeting stated: "Pendle Council obtained outline planning permission in 2017 for 200 houses at Further Clough Head. The scheme received reserved matters planning approval for the first phase of 98 houses and expected to start work during 2021-22.
"Following further investigation and design work, it became apparent that 200 units would not be viable on such an undulating site and with increased building costs. It is now anticipated that a reduced number of 129 properties will be developed with more open space. There will still be a minimum of 20 per cent affordable homes. The planned mix is 103 private and 26 affordable homes."
Pendle Council received funding from the UK Homes England agency to construct the access road. However, progress has been hampered by various challenges.
There was a need to relocate a badger sett, carry out bore holes to identify historic mine-works and any re-mediation work, as well as embankment works to the new access road. A first round of boreholes identified a potential mine shaft around 30 metres below. This needs further investigation and mitigation, to ensure that there is no impact on the access road.
If a mineshaft is found, grouting will have to be done and a verification report produced. If this is not done, the access road will not be adopted by Lancashire County Council. The angle of the embankment also needs to be decreased for the county to agree to adopt it, requiring filling materials.
Regarding the county council's role, the Pendle report adds "The original geo-technical engineer from Lancashire County Council who initially approved the design has left the county council. The new engineer is insistent that the embankment complies with highways design standards for the road to be adopted, despite the initial approval given previously.
"The issue of fees paid to the county and supervision and guidance from highway engineers has been raised too. This formal query will determine whether there is eligibility for Pendle Council to recover extra costs with the access road. Once the road has been adopted, this will allow the transfer of the land to PEARL Together to start work in early 2025."
In September this year, one estimated cost of extra works was £65,925. Then came a revised estimated of £95,500. However, if no mineshaft is identified, there would be a saving of around £50,000.
Coun David Whipp raised concerns, supported by others. He said the county council should be fully responsible the embankment works costs, according to council minutes. Rose Rouse, Pendle's chief executive, has twice raised the matter with the interim chief executive at Lancashire County Council.
The executive agreed to an additional financial commitment from the capital budget, towards completing the scheme and that officers continue talks with a view to the county accepting responsibility for and meeting the full cost of the embankment work, estimated at £38,000.