Housing estate with no affordable homes approved

Plans for 626 new homes without any affordable housing have been approved in south-west London.

Mitcham Gasworks redevelopment in south-west London was signed off by Merton Council last month. Councillors acknowledged the decision was "regrettable" given the need for affordable housing east of the borough.

Developer St William said the promised 35% affordable housing was no longer deliverable as it had been unable to secure the necessary grant funding.

Tony Burton, secretary of the local civic society Mitcham Cricket Green Community and Heritage, said: "It is unconscionable that the largest new housing development in Mitcham for a generation should provide no affordable homes."

It was the third time the plans were submitted with changes made.

The approved scheme also reduced the height of buildings facing Hay Drive and Portland Road, and increased the total number of homes from 579 to 626, with a higher proportion of smaller private units.

Mr Lewis told the development and planning committee on 27 November that their original plans had fallen through due to viability concerns, after it became impossible to secure the necessary funding.

He said this was because "some of the homes would have fallen outside the timescales for which the grant was available".

The developer also said the complexities of the former gasworks site, which was demolished in 2021, and rising construction costs had created additional difficulties.

St William said they were in discussions with Merton Council and the Greater London Authority (GLA) to secure grant funding for at least 146 homes at social rent.

This will not be confirmed until at least April 2026, when the next round of GLA funding becomes available.

"We understand no one wants to see a scheme of this size with no affordable housing. We believe the best way to avoid this is to secure the necessary grant," Mr Lewis said.

The developer is awaiting a decision on this before construction can begin.

Mr Burton said he was sceptical of the developer's argument that affordable housing is not financially feasible, but that neither St William nor Merton Council had published their full assessment.

At the meeting, independent councillor Edward Foley said that although he "hopes it doesn't happen again", he believed the scheme would still be beneficial for Mitcham.

Meanwhile, councillor Gill Manly, whose ward includes the development site, criticised the developer, saying, "I am shocked that at this point we are still arguing about viability."

A spokesperson for the London Borough of Merton said: "After considering the officer's report, relevant submissions, and the relevant planning framework, the independent planning committee, made up of councillors from all parties, voted to approve the planning application, subject to a legal agreement that reasonable endeavours will be used to secure affordable housing."

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