A South London council's plans to expand an 'overcrowded' Travellers' site is set to cost hundreds of thousands more than initially anticipated. The Sutton Council-led project, first proposed over 10 years ago, could see its first phase completed in May this year.
The plans for the Pastures Traveller and Gypsy site were granted planning permission in March 2023 despite being in the pipeline since 2015. The project will see the creation of 23 new plots on the Carshalton site, with added amenity blocks, a community hall, and communal play area.
In its initial application, the council described the current site as 'significantly overcrowded', with multiple families sharing a single pitch. The development is under way, with the first phase set to finish by May 2025, allowing 10 families to move into new homes and clearing space for the redevelopment of old plots.
However, Sutton Council has now revealed that it plans to borrow an extra £691,000 for the project's full completion, due in May 2026. The increase from its initial budget of £8.134m will be funded by borrowing from the council's capital fund rather than the Greater London Authority (GLA) funding used for the rest of the project.
According to papers published ahead of next week's Housing, Economy and Business Committee, Sutton's development team did ask for additional funding from the GLA at current grant rates but was informed on February 3 that no further funds were available.
Why have costs risen so much?
The council has cited two main reasons for the increased cost of the project. The first is that it had not managed to save as much money from the project's original estimate as expected. Around £70,000 was saved by recycling excavated materials on site, redesigning electrical installations across the entire site, and directly appointing utility workers. However it had hoped to save around £18,600 more.
The council also cited 'unexpected costs', like the diversion of a previously unidentified fibre optic cable and drainage runs to the static caravans, as the other reason for the increase.
Sutton said that without the increase in funding, it would have to create six fewer plots, leaving a total of 17. They added that this could bring risks that may add up to an extra £145,000 in costs, requiring either further cuts to the project or increased borrowing by the council. To quote the council papers: "From the outset this project has been a challenging scheme to develop."
The proposal to extend the site near the popular Mayfield Lavender Farm on Carshalton Road has seen multiple changes in its lifetime. After initial attempts in 2022 to find a contractor for the site failed, Sutton selected Westridge Construction in January 2023 following an open tender.
The project was approved in March 2023, but by September, Westridge went into administration and could not complete the project. A new procurement process followed, and Selsdon Construction was chosen, with approval granted in January 2024.
Councillors will decide on the £691,000 budget increase at Tuesday's Housing, Economy and Business Committee meeting (March 11).
Don't miss out on the biggest South London news. Sign up to our MySouthLondon newsletter HERE for all the latest daily news and more.