Thank you for your interest in this story
To continue reading this article, subscribe to the Stray Ferret for as little as £1 a week
Already a subscriber? Log in here.
30
Jul
Loss-making Brierley Homes plans to remove Kirkby Malzeard community payment ‘completely’
A new housing estate in Kirkby Malzeard is in a “loss-making position” and would still be unviable despite the removal of community payments, a council officer has said.
Brierley Homes, which is owned by North Yorkshire Council, was granted planning permission for the 33-house Laverton Oaks development in Kirkby Malzeard on the condition that it contributed £113,000 towards sports facilities, community areas and the village hall.
However, the council said it was no longer viable for the company to pay the full amount and that it planned to submit a planning application to amend the contribution, which is known as “commuted sums”.
The move has led to claims from Kirkby Malzeard, Laverton and Dallowgill Parish Council that the authority is “sitting on both sides of the negotiating table” on the matter.
Mr Battersby speaking at the chamber meeting.
Now, Karl Battersby, corporate director for environment of North Yorkshire Council, has confirmed it is the company’s intention to apply to remove the contribution completely.
In an email to councillors, which has been seen by the Stray Ferret, Mr Battersby said:
[it would be] removed completely, as the site is in a loss-making position, even with the removal of the commuted sum.
Mr Battersby confirmed that the application would go before a council planning committee at a later date.
Cllr Pippa Manson, chair of Kirkby Malzeard, Laverton and Dallowgill Parish Council, wrote to Cllr Carl Les, leader of North Yorkshire Council, on the matter this month.
Cllr Manson urged Cllr Les to reassure the parish council that it would receive the community contributions that it was expecting.
She said:
We are most concerned that North Yorkshire Council is effectively sitting on both sides of the negotiating table. North Yorkshire Council owns Brierley Homes and it acts as the planning authority responsible for making sure that planning obligations are delivered.
Can we be reassured that Kirkby Malzeard will fairly receive the Section 106 funding it is expecting?
However, speaking to the Local Democracy Reporting Service this week, Cllr Les that the trigger point in which Brierley Homes had to pay the community funding had not yet been reached so the company did not yet owe anything.
He said:
Brierley Homes has found that the site conditions and other matters are more expensive than was first anticipated so that is having an impact on the project costs.
Like any other developer, one of their options is to ask the council if it would alter the terms of the conditions, and that’s what it’s done, but it would then have to go to a planning committee for them to agree it.
Brierley Homes was established in 2017 to make money to fund council services.
But is currently propped up by a £27 million taxpayer loan.
The company has been criticised on multiple occasions by councillors for being reliant on council loans to help its cashflow issues.
The 33-home Laverton Oaks site in Kirkby Malzeard is among its current developments.
0