A £100m scheme for 500 homes and a swimming pool in London has been put under review, according to Croydon council.

The council said that Hyde Housing Association had withdrawn from the Waddon Pool scheme saying it was “no longer willing to proceed in the current uncertain economic climate”.

The development, on council land, was also to have included a community cafe, youth centre, sports centre and gym.

The council has an agreement with the housing association for an alternative scheme with a much smaller leisure centre, no swimming pool and fewer homes.

Jon Rouse, Croydon’s chief executive, said the council was deciding whether to try to proceed with the earlier development.

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