Housing scheme approved as developer contributions slashed

A housing project has been given the go-ahead despite frustration among councillors that financial contributions required from the developer were being slashed.

The council’s planning committee was recommended by officers to approve detailed plans for 16 houses off Heol Y Meinciau, Pontyates. As part of the recommendation the developer would need to contribute £20,000 for a traffic management scheme.

However, when outline planning approval had been granted in 2014, the previous applicants had been required to contribute £179,874 towards affordable housing in the area and £1,363 per house for open space and play facilities. The outline approval also included a planning condition to provide a traffic management scheme.

A report before the committee on February 12 said the council had asked the new applicants to pay £20,000 in lieu of the condition which would allow the authority to implement the traffic scheme. The report also raised wider developer viability concerns for the site.

Planning officer John Thomas told councillors it had become apparent that the cost of developing the land was considerable, partly because it was on a slope and partly because a new pumping station would need to be installed to connect the houses to a foul sewer.

Mr Thomas said the applicants had submitted information to substantiate their cost concerns and that the council’s valuer had checked them and agreed that the scheme would not be viable with the previously agreed contributions. In light of this the contributions requested were scaled back to only include the £20,000 for traffic management.

Developer contributions set out in planning agreements, known as Section 106 agreements, are common. They can include affordable housing contributions and other payments designed to mitigate a development’s impact on the local community.

Cllr Ken Howell said it seemed the message was that if developers complained enough, the council would discuss it with them and then change its mind. He said: “There is no consistency and that is what does worry me.”

Cllr Dorian Phillips said a couple building their first house in his ward were having to make a contribution to the council of around £10,000. “These big companies are getting away with it, and it’s not fair,” he said.

Cllr Mansel Charles said he agreed, adding that he knew of several people who were having to pay an “astronomical” financial contribution for an individual new house.

Mr Thomas said it was a valid point to raise but that it wasn’t the case the council would change its stance if developers complained enough. He said the applicants in this instance had provided facts to demonstrate it would not be profitable to develop the site if all the financial contributions were insisted on.

Planning officer Hugh Towns said the council had previously been taken to task by a planning inspector as it had “stuck with the top line” in terms of its financial ask from applicants who had provided evidence of abnormal costs.

Cllr Gareth Thomas said “not every inspector signs from the same page” and wondered if the committee could refuse the application on the grounds it didn’t think the financial contribution was enough. Mr Towns said it could in theory but would come unstuck at an appeal given the council valuer’s conclusion. “We would not have a leg to stand on in my opinion,” he said.

A majority of the committee went on to approve the officer’s recommendation of approval. The 16 properties will comprise 10 detached three-bedroom houses and six two-bed semi-detached ones.