Members were informed that theGrays South Project, whichseeks to create public squares and an underpass to replace the pedestrian level crossing in Grays High Street together with the development of modern retail and residential units, has been a long standing priority for the Council.

The Council has been working with Network Rail to develop the proposals for the underpass over the past four years. To date, the actions required for delivery had been divided between the partners with Network Rail leading design and construction and the Council leading land acquisition, urban design and the ultimate development of plots around the completed underpass.

It was anticipated that Network Rail would provide up to £4million of funding, with circa £3 million from the Department for transport Access for All Fund. However, Network Rail has changed the status of the project to a ‘Third Party scheme’ and, following a change in its classification to a ‘public body’, has had to take a much more aggressive view of its ability to fund projects where there is a risk that they cannot be completed within the relevant spend period . As a result of these changes, Network Rail have withdrawn the Access for All monies and are exploring the opportunity to add lifts to link the platforms within the station. Their funding to the underpass would therefore be limited to a maximum the £700,000 that they have spent to date developing the designs. In order to progress, the Council would have to meet the costs of the project and a funding strategy had been developed drawing upon the existing commitments within the MTFS, available s106 funds and anticipated receipts from future developments matched against an application to the Local Growth Fund through SELEP.  

Councillor Gerrish was disappointed that the funding from network rail had been reduced, but stated that the regeneration team must remain enthusiastic in relation to the project. The Head of Regeneration & Assets informed committee members that there was now a £6 million gap in the funding which was proposed to be filled through development receipts. It was confirmed that the existing and anticipated Council  funding committed to the scheme was specifically set aside for the project and was not being taken away from other priorities.

Councillor Piccolo questioned if the funding was not resourced within the next few months, what was the next line of action. The Head of Regeneration & Assets explained this depended on the application which had been submitted to the Local Growth Fund through SELEP, Members were informed that they would be informed of the feedback from SELEP once received by the council.

Members recognised the change in responsibility for funding the scheme, and the significant delays which have been encountered to date in the work led by Network Rail, and considered the potential benefits of the Council taking on leadership of the delivery of the scheme.

RESOLVED:

Planning Transport and Regeneration Overview and Scrutiny Committee commented on the approach to managing the delivery of the underpass, public squares and development plots described in this report and to provide their view of the best way in which to progress the future management and delivery of the pedestrian underpass.