Renewed hope for Melton's partial bypass
We reported in September that Leicestershire County Council’s worsening financial position had cast serious doubt on it being able to part-fund the North and East Melton Mowbray Distributor Road (NEMMDR) as previously agreed.
Council leader Nick Rushton confirmed that the road was one of the capital projects which may be axed to help County Hall balance its books for the coming financial year.
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Hide AdBut members of the council’s highways and transport overview and scrutiny committee said at their latest meeting that the council should still pursue building the road after a report stated it still represented value for money.
The committee considered three options for the scheme; to proceed with it, to cancel it or to pause the scheme.
Members voted to carry on with it and their decision will go before the cabinet at its meeting on December 16 when a definitive resolution will be taken.
They noted the contents of a report which stated: “Despite the increase in costs, work carried out to date demonstrates that the scheme will still represent value for money.
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Hide Ad“Given the council’s current financial challenges and cost escalations on the scheme it is faced with a difficult decision. “Proceeding is likely to have significant financial consequences, including potentially reducing other services the council provides or, alternatively, withdrawing from the scheme, which is also likely to have far reaching consequences for council services, Melton Borough Council and Leicestershire’s strategic planning approach.”
The committee was told that the initial £63.5million cost of the road, which would connect the A606 Nottingham Road to the north with the A606 Burton Road to the south, has now risen to around £127.7million due to inflation and other cost increases.
The government has agreed to pay £49.5million towards the scheme but County Hall’s forward funding of the remainder has now escalated to £51million, compared to £23million just over a year ago.
Council leader Nick Rushton has indicated that it would be difficult to go ahead unless the government pledges to pay more towards it.
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Hide AdScrutiny members felt the benefits of going ahead with it still outweighed the negatives.
It will enable 4,500 new homes to be built around the town, with millions paid back to the county council through developer contributions, and 30 hectares of new employment land will become available.
It would also facilitate the building of two new primary schools.
The risk is that increased council investment in the scheme will add to financial pressures on the council and threaten other major road projects in the county.
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Hide AdThe report also states that pulling the NE MMDR would still be costly for the council because of the money already invested and it would have a huge impact on the infrastructure of Melton with thousands of new homes already being given planning permission because of the road being built.