Request by East Sussex County Council for additional funding for Bexhill Hastings Link Road

Andrea Needham made this Freedom of Information request to Department for Transport

This request has been closed to new correspondence from the public body. Contact us if you think it ought be re-opened.

The request was successful.

Dear Department for Transport,

In a recent EIR release from the DfT to Andrew Jones about a request by Norfolk CC for additional funding for the Norwich Northern Distributor Road (see below), the DfT stated (see no.10 below) that ' We have rejected similar claims for additional funding in the past. Examples include E Sussex asking for an additional £30m for the Bexhill-Hastings scheme'

I would like to see the request from East Sussex County Council to the DfT for £30m additional funding for the Bexhill Hastings Link Road.

thank you
Andrea Needham

Norwich Northern Distributor Road – Cost Increase
Issue
1. Whether to agree to provide additional funding (up to £15.8m) to Norfolk C.C. to
cover the increased cost of the Norwich Northern Distributor Road.
Recommendation
2. That you note the options at paragraph 7 and provide a steer on your preferred
option
Timing
3. Routine - however Norfolk cannot submit the final approval bid for the scheme
until they can confirm that all the funding is available and have asked for an early
response so as to keep up the momentum.
Clearance
4. This submission has been cleared by Finance and Press Office.
Background
5. Norwich Northern Distributor Route (NNDR) is a 20km dual carriageway road
planned to run from the A47 at Postwick, round Norwich, to the A1067 (see
Annex A for further background and also the attached map). Norfolk is now ready
to submit a final business case for approval but has asked for an additional
government contribution of £15.8m towards a £30m cost increase caused by
construction inflation and additional requirements placed on the scheme by
Natural England and the Environment Agency.
6. This would bring the Department’s total contribution (excluding Postwick
Junction) to £83.3m from the current £67.5m and the total cost from £87m to
£106m. Norfolk would pay half of the additional cost, increasing their contribution
to £35m. The remaining funding (£40m) is coming from district councils through
the Community Infrastructure Levy.
Consideration
Options
7. There are two main options for dealing with this request.
a) Stick to the long standing policy of not providing additional funding leaving
Norfolk to find the additional funding through:
i. additional local contributions;
ii. advising Norfolk to seek the additional funding from the New Anglia
Local Enterprise Partnership; or
iii. offering to provide advance payment of the various agreed formulaic
funding to be provided to Norfolk for maintenance and general
transport (IT Block and maintenance block);
b) Provide the extra funding or negotiate a smaller DfT contribution than £15.8
million - say £10 million.
Cons
8. The Government’s policy has for many years been that it will not provide
additional funding for such schemes from that agreed at programme entry. This
puts the emphasis on scheme promoters to manage their costs efficiently, to
reassign funds from local schemes to deal with cost increases, or to seek
additional funding from the Local Enterprise Partnership.
9. A change in policy would set a precedent which we would find difficult to argue
against in future. Scheme promoters for large schemes in the pipeline such as
the Leeds NGT (£250m) and the Lincoln Eastern Bypass (£89m) have factored
in the current policy to their funding profiles, but will almost certainly argue that
they should also benefit from any changes.
10. We have rejected similar claims for additional funding in the past. Examples
include E Sussex asking for an additional £30m for the Bexhill-Hastings scheme

Yours faithfully,

Andrea Needham

Department for Transport

Dear Ms Needham,

I am writing to acknowledge receipt of your request for information which
has been allocated reference number P0012981.

A response will be issued to you in due course.

Regards,

Department for Transport
FOI Advice Team
Information & Security Division
Zone D/04
Ashdown House
Sedlescombe Road North
St Leonards on Sea
East Sussex
TN37 7GA

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RobertS Fox, Department for Transport

1 Attachment

Dear Andrea Needham,

 

Please see the attached response to your request.

 

Yours sincerely,

 

Robert S Fox

 

RobertS Fox  | Major Schemes Casework Officer & Section 31 Grant Manager,
Local Infrastructure, Department for Transport

 

 

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