Somerset Council is currently owed nearly £318,000 in unpaid Section 106 contributions from five housing development projects across the region. These funds, intended to support local community services such as affordable housing, public open spaces, and school places, remain outstanding despite legal agreements linked to development approvals.
Section 106 agreements require developers to make financial contributions triggered when certain milestones, such as completion of a specified number of homes, are reached. However, payment delays often occur due to factors like changes in site ownership or development viability challenges.
A Freedom of Information request by the Local Democracy Reporting Service disclosed that the council’s outstanding debt totals £317,774.50, with some obligations dating back to 2015. The largest portion, nearly 60% of the total, concerns the Lake View Quarry estate in Keinton Mandeville, near Somerton.
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Initially approved by South Somerset District Council in July 2015 for 42 homes and commercial space, the Lake View Quarry site later changed hands to Galion Homes. The current developer secured detailed planning permission in January 2017 and commenced construction in 2018. Somerset Council is owed £188,419.83 for contributions toward community facilities including a community hall, changing rooms, children’s play area, and other infrastructure. Legal action has been taken, resulting in payments being made through an agreed installment plan.
Other significant debts include £54,531.84 from 41 Esplanade in Burnham-on-Sea, where Domo Developments Ltd. is converting a guesthouse into 13 flats. This sum relates to affordable housing and is being monitored amid recent site ownership changes.
Wyatt Homes owes £41,130 associated with a 54-home development and sports facilities north of Thorne Lane in Yeovil, approved in March 2023. The council is reviewing older permissions for this site to clarify the outstanding amount.
The Acorn Property Group is responsible for £29,768.09 linked to an eight-home development at Cross Farm Green, Wedmore, approved in June 2022. This contribution also supports affordable housing, with discussions ongoing about payment triggers.
Finally, Axeus Group Ltd. owes £3,929.74 relating to the redevelopment of Morgan House in Bridgwater into 33 flats, mainly covering improvements to public open space. The principal has been paid, with only late payment interest outstanding.
The council highlights that outstanding payments can result from timing issues related to development progress, site ownership changes, or the need for legal action to enforce payments. Somerset Council continues to monitor and pursue these financial obligations to support local community infrastructure.