Mayor calls in Southwark housing schemes rejected by council

Mayor of London Sadiq Khan will now determine the future of two large housing developments in Southwark after Southwark Council rejected revised proposals from developer Berkeley Homes. The council's Planning Committee refused both the Borough Triangle scheme in Elephant and Castle and the Bermondsey Place scheme on the Old Kent Road, citing a significant reduction in the percentage of affordable housing.

Affordable housing reductions trigger refusal

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Berkeley Homes had submitted revised plans for both sites, which had previously received planning permission. The developer cited viability concerns for the changes. For the 892-home Borough Triangle development, the revised proposal sought to reduce on-site affordable homes from 35 per cent to 10 per cent. This would have resulted in a decrease from 230 affordable homes to 60. The Bermondsey Place scheme, intended to deliver just over 1,000 homes across its final two phases, saw revised plans proposing to drop affordable housing from 40 per cent to 12 per cent. This would have meant 81 affordable homes out of 1,060.

Southwark Council's Planning Committee rejected both applications, stating they would fail to meet the significant local need for social rented and intermediate homes. More than 22,000 households are on Southwark's housing waiting list, with over 4,200 households currently in temporary accommodation, according to council figures.

Mayor's call-in powers invoked

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Mayor Sadiq Khan called in the Borough Triangle application on 5 October and the Bermondsey Place application on 26 October. This action means the Mayor of London will now act as the local planning authority to determine these applications directly. The Greater London Authority (GLA) stated that both schemes have the potential to make a significant contribution towards meeting Southwark's housing targets and London's strategic targets for net housing completions.

Councillor Victor Chamberlain, Deputy Leader of Southwark Council, expressed disappointment with the Mayor's decision. He stated that new developments in Southwark must provide what local people need, particularly affordable housing, and that both applications sought to reduce this provision. He indicated he would write to the Mayor urging him to uphold the council's decisions.

Jerry Flynn of the 35% Campaign told the Local Democracy Reporting Service that developments like these are relied upon for affordable housing and that the council's decisions should be upheld. He referenced a previous instance where the Mayor allowed a reduction in affordable housing for a different Southwark application, which he described as a "dreadful decision".

Jed Holloway, Planning Solicitor at Southwark Law Centre, commented that economic pressures do not justify developments that fail to meet local needs. He also raised concerns about the potential for such developments in low-income areas like the Old Kent Road to exacerbate gentrification and increase local rents.

Justin Tibalidi, Managing Director at Berkeley Homes, stated his disappointment that the committee overruled planning officers' recommendations. He expressed concern that the committee did not engage with the council's analysis of the site's viability challenges. Joe Warde-Aldam, Head of Development at Berkeley Homes, had previously told councillors that the delivery of the originally consented 35 per cent affordable housing at Borough Triangle was contingent on improved economic outlook and grant funding.

What happens next

No hearing date has yet been set for either of the Mayor's call-in decisions. Residents and interested parties will be able to make representations as part of the Mayor's decision-making process.