‘This is in accordance with planning policy!’ Developer which cannot afford to pay healthcare, transport and education contributions on 434-home Spalding site responds to ‘pushed to the limit’ claims
A developer which argues it cannot afford to pay its full community contributions on a proposed 434-home site says it is committed to helping the area meet its targeted housing supply.
Seagate Homes came under fire from Lincolnshire’s Deputy Mayor after plans to transform land off Spalding’s Monk’s House Lane were revealed.
Coun Ingrid Sheard - who also represents the area on Lincolnshire County and South Holland District Council - said local services are being ‘pushed to the limit’ by the influx of new developments in the area.
Responding to questions from LincsOnline, Seagate Homes say it is providing ‘much needed’ housing to meet national and local targets.
Community contributions - known as Section 106 payments - are financial levies imposed on developers of large projects, with the money set aside to ease the pressures additional residents would put on education, highways and healthcare services.
However, paperwork accompanying the planning application to develop off Monks House Lane - land currently set aside for housing - states Seagate would not be able to pay its full amount of S106 cash or deliver the target of 25% affordable housing.
“We have had an independent assessor look at it and It is now for SHDC to have theirs do the same, so as of yet nothing is confirmed,” a Seagate spokesperson said.
“This is in accordance with the planning policy.
“We are looking to develop a currently allocated site which is within South Holland’s local plan and is required to meet their five-year housing supply.
“We are supplying much needed housing. You will have seen that from national news and Government reports that there is a huge housing target to hit which has been targeted by the Government.”
Section 106 payments made by developments in this area of Spalding are supposed to be contributing towards the costs of Spalding Western Relief Road - which has been put on hold mid-construction due to funding issues.
Seagate were originally told to pay more than £1 million in contributions from the nearby former Ivanda Nursery development, which the company appealed to have the fugure reduced by more than three-quartersl
“We are committed to pay £225,000 on the Ivanda project,” the spokesperson added.
“Please also note that the whole of the Ivanda project is now a fully affordable scheme and is split between rented and shared ownership.”
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When asked whether a developer which cannot afford to pay S106 cash could really afford to build, Seagate responded by saying: “Once the viability assessment has been cross referenced and checked by SHDC and their own independent assessor then I believe all those reports are made public.”
The spokesperson added: “It would be worth noting all the previous projects that we have over delivered on affordable housing and the number of schemes that we have done as fully affordable sites.
“This site has been allocated since 2019 to deliver much needed housing and that’s what we are aiming to fulfil.”
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