The government has admitted to a £50m underspend in its flagship housing growth area in the Thames Gateway

Giving evidence on Tuesday to a select committee hearing into the ODPM’s annual accounts, housing minister Keith Hill said: “There has been a £50m underspend but this money will be spent before the end of the financial year on support funds.”

Hill was unable to comment on exactly where and how the remaining money would be spent. He also reassured the committee that the 2012 London Olympic bid would not impact on regeneration in the Thames Gateway.

In response to the news, Frank Vickery, assistant chief executive of East Thames Group, said: “I’m aware that an ODPM Thames Gateway review is taking place to find out where and how money should be spent in the region.

“The most likely areas where the underspend will be, and should be spent, are the London Urban Development Corporation, such as the Stratford Lower Lea, which encompass Newham and Tower Hamlets, and in Barking.

An ODPM announcement on where and when the £50m will be spent is due next week. So far it has spent £446m on the Thames Gateway programme through the Communities Plan.

It has spent £40m in the year 2003/2004 and more than 40 projects are underway.

Source

Housing Today