Government cuts cause delays to local projects

Funding earmarked for the building of new homes across Cambridgeshire has been cut by the Government 

Following the announcement from Government at the end of last year that Cambridgeshire’s Housing Growth Fund allocation will be cut by almost £6 million, the local authorities and Horizons have been working hard to create a revised funding programme.

In July, Communities and Local Government (CLG) ministers announced their intentions to reduce the 2010/11 Housing Growth Fund (HGF) capital allocation for Cambridgeshire by £6 million. Then on Tuesday, 15 December, following a short Government consultation, confirmation was received that the full £6 million cut will be made. Across the country, all Housing Growth Fund allocations have received the same level of funding cuts.

However, despite the funding reductions Cambridgeshire will still benefit from £21.5 million worth of Housing Growth Funding in 2009 to 2011, which will support over 20 different schemes.

These projects range from providing a new Country Park in Ely and eco-friendly homes in Huntingdon through to improvements to the Cambridge Station area and regenerating the Wisbech Nene Waterfront area. These schemes will help to support the delivery of thousands of much needed new homes, and associated services and facilities, across the County over the coming years.

Due to the 43 per cent cut by Government, difficult decisions have had to be made by the Horizons Partnership and some projects have had to be deferred to a future year, or scaled back to some extent. The projects that have been affected are as follows, although alternative funding is being investigated for all of them.

• March Housing & Regeneration (deferred)
• Huntingdon town centre extension and development (reduced scope)
• Ely Feasibility and Options Study (reduced scope)
• Green Infrastructure Projects (reduced funding)
• Northstowe Countryside Access project (reduced funding and projects on hold from April 1, 2010)
• Flexible Fund for major developments (reduced funding)

Sir David Trippier, Chairman of Cambridgeshire Horizons, added: “Whilst the cuts have undoubtedly posed us with many challenges, we believe that the partnership has found the best possible way forward to ensure as many of these vital projects can be delivered in the future. By scaling back project funding, or deferring start dates to future years, we can deliver the best possible results for the county during this challenging financial time.

“The partnership has managed to deal with this difficult and unwelcome reduction in funding both quickly and efficiently, so allowing a greater certainty and ability to progress the schemes that remain with the HGF programme. The good news is that many projects will still be going ahead as planned during the next financial year, including the Cambridge Gateway scheme in the City, money towards the Wisbech Nene Waterfront project, Huntingdon town centre development, significant Green Infrastructure and funding for Ely Country Park.”

Councillor, Jill Tuck, Chairman of Cambridgeshire Together and Leader of Cambridgeshire County Council, said: "Councils, organisations and projects across Cambridgeshire and indeed the country have been hit by the Government's decision to cut by half the funding which they had previously told us we would have. When this was reported to us, we, together with the City and District Council colleges had to make a decision, all be it reluctantly, on which projects would be delayed until the funding was available. Despite this Cambridgeshire Councils and organisations are committed to working together to take forward projects that will benefit existing and new communities, making the County a great place to live."

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