Thurrock
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Council set to pull plug on controversial social housing scheme

Local History by Nub News Reporter 12 minutes ago  
Despite concerns, Labour's leadership ploughed ahead with the scheme last year.
Despite concerns, Labour's leadership ploughed ahead with the scheme last year.
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THURROCK Council is set to pull out of a scheme to build new social housing in the borough, which included four homes for Afghan refugees.

The council's cabinet will discuss the project at its meeting next week (Wednesday, 18 November) when its closure is being recommended.

The project involved building 14 new modular homes, four of which would go to Afghan families now living in the UK after being forced to leave their native country because of their support for the British during the war in Afghanistan.

The homes would be funded by an £1.8million grant obtained under the Local Authority Housing Fund from the Ministry for Housing, Communities, and Local Government, with the council putting in an equal amount.

The grant, which has to be match-funded by the council, will provide homes for those currently in temporary accommodation and four homes for Afghan refugees under the Government's resettlement scheme.

The homes were to be built off site before being assembled in Thurrock.

The decision to close the scheme and repay the government will mean writing off £395,013.62 that has already been spent on the project which was first announced by the then Labour-run council in 2024. Some of that loss will be covered by the government.

Labour leaders rubber-stamped the project in June last year – when it was immediately damned by the opposition Reform group.

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So, it is not surprising, having swept to a massive majority on the council in May this year, that Reform is now abandoning the project, which has been mired in controversy since it started when the council was successful in acquiring the grant of £1.8million in March 2024.

The council was damned at the time for rushing into the project without sufficient scrutiny, but it brushed aside protests and a call for caution from independent councillors.

That same concern about a lack of due diligence is now echoed in Commissioners' comments in the paper before cabinet next week.

They say: "This outcome highlights the need for critical lessons to be identified and embedded across the organisation.

"To strengthen the management of significant financial and delivery risks, the Council should implement more rigorous bid appraisal and challenge processes, including formal optimism bias assessments, enhanced project and programme governance arrangements, and clearly defined stage-gate reviews with identified exit strategies before entering into high-value contractual commitments.

"Rebuilding confidence in the Council's ability to deliver externally funded programmes will be essential, and appropriate measures should be put in place to minimise the risk of similar outcomes arising in the future."

Thurrock Reform Group Leader Cllr Alex Anderson said: "The council wants to borrow a seven figure sum to part-fund the purchase of 14 modular homes in Thurrock, 30% of which are specifically earmarked for Afghan resettlement.

"Many of those I represent in Stanford and Corringham will either be, or know families that have been sitting on the Council's housing list for years and years.

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"It's not in their interest for their council to earmark some properties as reserved for only a particular community. I think it makes a mockery of the system.

"Whether through sky-high groceries, costly energy prices or historically high rents, working-class people are suffering, it's time we made tackling this the priority."

While Reform was keen to make their point, many Thurrock residents expressed their support for offering a home in the borough to those fleeing Afghanistan and their families, typified by this comment: "Afghanis are ones that supported and aided the British Army and government during the Afghan War.

"These people and their families are at extreme risk of torture and murder by the Taliban because of this. From translators to drivers, these people helped British soldiers stay safer in a highly volatile conflict. It is not charity, we are repaying a debt owed by the bravery of these Afghans."

However, despite the best of intentions in its concept, time is now about to be called on what has been another litany of poor management and planning by senior council officers.

The recommendation to scrap the scheme before cabinet members next week is based on the following:

The Council has exhausted all reasonable avenues for delivering the approved programme.

The combination of:

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  • Significant cost inflation
  • Affordability constraints
  • Time required for a new Cabinet decision
  • Programme delivery risks, and
  • MHCLG timescale requirements resulted in the conclusion that continued pursuit of the scheme would not represent value for money and could not provide sufficient certainty of delivery within the available funding and MHCLG requirements.

The report says: "The decision not to proceed with the self-delivery option was reached collectively following discussions involving the Chief Executive/MDC, Section 151 Officer, Portfolio Holder, Leader and Executive Director of Place.

"Formal closure of the programme remains subject to Cabinet approval.

MHCLG has confirmed that, subject to formal closure, the Council may retain £277,799.63 of the grant against expenditure incurred and should return the remaining grant.

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