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The Parliamentary Under-Secretary of State for Housing, Communities and Local Government (Rushanara Ali)
It is a pleasure to serve under your chairmanship, Mr Stringer. I thank the hon. Member for Harwich and North Essex (Sir Bernard Jenkin) for securing this important debate and for highlighting his concerns about this project, and I thank other hon. Members for their interventions. As someone who spent many years securing debates of this form to raise important issues affecting my constituency, I know how much these debates matter to constituency MPs.
The Government recognise that there are significant benefits to high-quality, large-scale developments that deliver much-needed housing. I am grateful that the hon. Member for Harwich and North Essex acknowledges the importance of housing in communities such as his and those up and down the country. We recognise that the right infrastructure must be put in place first, including the right transport infrastructure. Without that, facilities and transport become overstretched. One of the consequences is congestion and delays for existing residents and commercial traffic.
The housing infrastructure fund was established in 2017, primarily to provide up-front infrastructure funding to support the delivery of large-scale strategic housing developments. The £4.2 billion fund will unlock 260,000 homes, 30,000 of which have already been started, with a further 73,000 completions expected during this Parliament. That will make a significant contribution to the Government’s target of 1.5 million homes, which is a major commitment of this Government—previous Governments also had commitments around house building, recognising the need for housing in our country.
The hon. Member for Harwich and North Essex spoke about the Tendring Colchester Borders garden community project in his constituency. That project is expected to initially unlock 5,000 homes at the garden community, and that figure will increase over time to a total of 7,500. The hon. Member highlighted a number of points, and I will restate some of them. This Government are providing £99.9 million from the housing infrastructure fund for Essex county council to build a rapid transit system high-speed bus route. That will run from the north to the south of Colchester, connecting to the new community. I am pleased to note that that is under construction.
I appreciate the concerns that the hon. Member shared about the second item of infrastructure being funded: the A1331 link road, which will connect the A133 and A120. Over the past few years, infrastructure projects across the country have been affected by a number of unexpected factors, such as the pandemic, rising inflation, the shortage of skilled labour and other external events, and in a constrained fiscal environment the Government have had to make tough decisions.
Due to the escalation of the costs with the Tendring project, it is no longer possible to construct the entire link road with the funding available. Additionally, there continue to be delivery challenges with sections of the road, particularly in relation to land acquisition. In response to the request from Essex county council in 2023, the previous Government made the decision to use the available grant to only fund phase 1 of the link road. I appreciate the hon. Member’s concerns about that descoping of the project. I assure him that, together with the first phase of the link road, the existing local road network is sufficient to support 5,000 homes in the garden community. Moreover, I assure him that the intention to deliver the full link remains.
To that end, there is ongoing engagement between Homes England and local partners on the support that will enable the full link road to be delivered as soon as possible. That includes capacity funding to support planning, facilitation of joint working between public and private sector partners, and cross-Government brokerage support, which I hope addresses some of the points the hon. Member raised.
Both Essex county council and the housing developer, Latimer, have committed to use reasonable endeavours to procure delivery of phase 2. Additionally, to safeguard its delivery, there is a planning policy requirement for the developer to demonstrate that funding is in place for the full link road. My Department is also providing support through our new homes accelerator programme, which will help with the pre-planning process for the garden community.
Tendring Colchester Borders garden community is an important project in an area of high demand. The housing infrastructure fund grant is a catalyst for a wider £250 million private sector investment into infrastructure. The new community will include a new country park and significant green and blue infrastructure, promoting sustainable and active travel, a new 25-hectare sports and leisure park to be used in conjunction with the University of Essex, and a new 17-hectare business park for general employment, business and industrial purposes. The Government are committed to the full delivery of the infrastructure originally planned under the housing and infrastructure fund grant.
Sir Bernard Jenkin
The Minister is saying one or two interesting things. First, I have never heard anybody say—I wrote down what she said—that the “local road network is sufficient to support 5,000 homes”. I do not know who has told her that, but I promise her that she has been misinformed. On the point she just made about all the other desirable infrastructure for the development, that has to come out of the section 106 money, which will now, according to the MOU, be diverted to the road. Section 106 money is not unlimited. The possible £60 million for the development—to fund that road—is a very large sum. It is £8,000 per household. Why is she convinced that this is still a viable development?
Rushanara Ali
The hon. Member has set out his critique. What is important is that we get it right, and that requires close working, with him and other hon. Members, and my Department, and that is why the brokerage element of what we do is really important. He makes very important points; we can continue the conversation beyond this debate, as I appreciate that there are a number of complex issues that need to be worked through. However, we are determined to support the development and ensure that it is a success.
Sir Bernard Jenkin
I have little doubt that the delegated authority of the three combined authorities will be minded to give planning permission come what may. However, I reckon that the decision would be subject to judicial review if the road is not guaranteed at the time of planning permission being granted. It is a policy decision to ensure that the road is guaranteed, but what else is then taken away? That itself will be challengeable under judicial review, given that it will be so far from the original plan. I am grateful to hear from the Minister that she wants the conversation to continue. Long may it continue, and I hope that we can reach a satisfactory solution.
Rushanara Ali
I am grateful to the hon. Member, who is an extremely diligent Member of this House, with many years of experience, and a great campaigner. He makes important points about planning matters, which obviously I cannot go into, but I look forward to working with him.
I thank the hon. Member for securing this debate. This Government are committed to making sure we deliver on housing, but it is of course extremely important that we continue to work closely with hon. Members to make sure we address the issues that come up. I very much look forward to continuing the discussion with the hon. Member and to ensuring that my Department can do what it can to support a successful way through on this project.
Question put and agreed to.