Agenda item

In accordance with Regulation 10(1)(a) of the Local Authorities (Executive Arrangements) (Meetings and Access to Information) (England) Regulations 2012, the proper officer has informed Councillor Noordad Aziz, Chair of the Resources Overview and Scrutiny Committee, that it is intended that the following key decision will be made by Cabinet on 18^th March 2026, under the General Exception provisions, on the grounds that the decision is urgent and cannot reasonably be deferred.

 

Report attached.

In accordance with Regulation 10(1)(a) of the Local Authorities (Executive Arrangements) (Meetings and Access to Information) (England) Regulations 2012, the proper officer had informed Councillor Noordad Aziz, Chair of the Resources Overview and Scrutiny Committee, that it was intended that the following key decision would be made by Cabinet on 18^th March 2026, under the General Exception provisions, on the grounds that the decision was urgent and could not reasonably be deferred.

 

Members considered a report of Councillor Melissa Fisher, Deputy Leader and Portfolio Holder for Housing and Regeneration, providing Cabinet with an update on the Huncoat Garden Village Project, including an update on the progress to date with the acquisition of land interests in connection with the proposed residential relief road and seeking authority to the making of a Compulsory Purchase Order (CPO) for the purchase of that land where agreement could not be reached, as well as agreeing delegations to officers to agree compensation and acquisition payments.

 

Councillor Fisher provided a brief introduction to the report, highlighting the good progress being made on the project and the proposed approach to the purchase of the land required for the relief road.  She also reported that the relevant planning consent for the road had been given at the Planning Committee meeting held on 11^th March 2026.  She thanked Mark Hoyle, Head of Regeneration and Housing, for his on-going work on this important project.

 

Councillor Pritchard spoke in favour of this matter.  Councillor Zak Khan also expressed support and asked about how the delegated powers in relation to making a CPO would be applied.  The Leader commented that use of the CPO would be a last resort as the Council hoped to reach agreement with land owners through negotiation.

 

Approval of the report was deemed a key decision.

 

Reasons for Decision

 

HGV formed a key part of Hyndburn Borough Council’s growth plans.  It was a residential-led, housing development project with the potential to transform the housing market within Hyndburn.  HGV would bring back into use the site of the former Huncoat Power Station, and the site of the former Huncoat Colliery, to create an extension to the existing Huncoat village using new garden community principles.  It would deliver circa 1,800 new homes of mixed tenure (including affordable and social housing), over a circa 15-year period, alongside a new local centre meeting amenity needs, an expanded primary school, 24 hectares of strategic and functional open space, including a safeguarded area of ecological importance, new woodland and networked open space, and infrastructure in the form of the Scheme, car parking provision at Huncoat Railway Station and localised road junction upgrades as required.

 

The Council had successfully secured circa £29.90 million from the Government’s Brownfield, Infrastructure and Land Fund (“BIL Funding”) which was managed by Homes England.  The secured funding covered the cost of land acquisition and delivery of the Scheme.  Money within the BIL Funding was also allocated for remediation works to the two largest sites within HGV at the former Huncoat Power Station and the former Huncoat Colliery as well as improvement works at Junction 8 of the M65 to the north of Huncoat which is at capacity.

 

The Council continued to make good progress on the HGV project, including:

 

• In July 2025, the Council had notified Homes England that some agreed milestones within the project would not be met and as such an extension to the funding availability period would be required.  A revised programme, expenditure forecast, updated milestones and supporting narrative had been submitted to Homes England with a request for an extension of the funding period to 31^st March 2029, to be approved by way of an Assurance Review.

 

• The Assurance Review had assessed the revised programme to ensure it fitted with Homes England’s corporate governance, managed financial risks effectively, and complied with government standard.

 

• The Council received written confirmation from Homes England on the 6^th of March 2026 that the Assurance Review process had approved the revised programme milestones and extension of the funding availability period to 31^st March 2029, subject to satisfaction of the following conditions:

 

 

 

 

 

The Council was already in the process of complying with these additional conditions and was confident that they would be satisfied in a timely manner.

 

• The planning application for the Scheme was expected to be considered by Hyndburn Planning Committee on the 11^th March 2026.

 

• The Design Code for the project was approved by the Council’s Cabinet on the 18^th June 2025.

 

• The Council’s publication Draft Local Plan had been subject to public examination in September 2025.  At its meeting on the 15^th January 2026, the Council had approved the consultation on the main modifications to the draft Plan which the appointed independent inspector had identified as necessary for the Plan to be found sound and legally compliant.  Policy SP2 within the draft Plan set out HGV as a strategic location for housing growth, and the main modifications continued to support HGV policy which included site allocation and the Scheme.

 

• Eric Wright Civil Engineering had been selected as the preferred bidder to construct the proposed Scheme.  Stage 2 was being progressed which included the road design to RIBA Stage 4.

 

• The owners of the former colliery site had selected a preferred house builder partner.

 

• The former power station site owner and their house builder partner had finalised their remediation plan for the site.

 

• The Council was progressing contract terms with the landowners of the former colliery site and former power station site to grant fund site remediation works.

 

• The Council was in discussions and negotiations with landowners on the route of the Scheme.

 

The Scheme was a circa 1.1km proposed residential relief road with access to the north via Altham Lane and from the south via A697 Burnley Road / A56 Accrington Bypass roundabout to the south.  The primary objective of the Scheme was to enable the delivery of HGV, unlocking significant social, economic and environmental wellbeing benefits to the area.

 

The Council’s Cabinet was being asked to resolve to make a compulsory purchase order (“CPO”) in order to facilitate the Scheme, which formed a critical path to delivering HGV and its substantial benefits.  Given the funding and development programme for the Scheme (and wider delivery of HGV), it was considered that the use of compulsory purchase powers was necessary to effect the delivery of the proposed Scheme, enable the Council to materialise the Scheme in a timely fashion and to deliver the wider benefits of HGV.  It remained the Council’s preference and intention to secure interests by negotiated agreement rather than the use of CPO powers and it was hoped that negotiations could conclude prior to making the Order.

 

The report included further detailed information in relation to the following topics:

 

• The Need for the Proposed Residential Relief Road (Huncoat Lane);
• Attempts to Acquire Interests by Agreement;
• Land Assembly and Obtaining Clean Title to the Land;
• Description of the Order Land
• Description of Interests in the Order Land
• The Need for a compulsory Purchase Order (CPO), including a summary of the Statement of Reasons

 

Alternative Options considered and Reasons for Rejection

 

In light of the multiple ownerships within the Order Land and the efforts already made to date (unsuccessfully) to acquire all relevant interests, it was considered that the only certain way of securing development of the Scheme within a reasonable time and in accordance with the relevant policies, was for a compulsory purchase order to be made.  This approach was supported by the planning policy framework of the area, the potential to deliver the regeneration well-being benefits, and the fact that alternatives that were not comprehensive would not deliver the range of regeneration benefits that were required.

 

In addition to the above, the Council’s grant funding agreement (GFA) with Homes England’s currently only made grant available until the 31^st March 2028 (the grant availability period).  The GFA therefore included key milestones to help to ensure that the road was constructed within the grant availability period.  The milestones include legal contracts with the landowners, acquisition of all necessary rights / interests in the land for the construction of the road, start on site for the construction of the Scheme, and completion of the construction of the Scheme.  In the circumstances there was a need to proceed with a CPO as soon as possible to ensure that the programme and milestones were achieved and that the Scheme was completed within the grant availability period. 

 

Given the extent of development required and the comprehensive design approach adopted across the Order Land, it was not possible for individual owners to achieve appropriate development of the Order Land (or parts of it).

 

Single ownership and control of the Order Land was necessary to enable the Scheme to proceed.  Given the third-party interests identified in the Schedule to the Order it was unlikely that the Council would be able to acquire all of the necessary interests by agreement within a reasonable timescale.  Officers were of the opinion that the Council therefore needed to make the Order to ensure that the significant benefits of the Scheme (and the facilitation of HGV) could be brought forward in a reasonable timescale.  Whilst negotiations to acquire all interests by agreement, wherever possible, would continue, given the fragmented nature of the ownership of Order Land, the Order was required to achieve vacant possession of the land where necessary.

 

Resolved                                    –   That Cabinet:

 

(1)   Notes the progress being made with the Huncoat Garden Village (HGV) project.

 

(2)   Having concluded that the acquisition of all interests in the Order Land will facilitate development of the land required for the construction of the proposed residential relief road (Huncoat Lane), (the “Scheme”), which is essential to unlock land for the HGV project, notes that the Scheme therefore is likely to contribute to the achievement of the following objectives:

 

·      The promotion or improvement of the economic well-being of the area

·      The promotion or improvement of the social well-being of the area

·      The promotion or improvement of the environmental well-being of the area.

 

(3)   Resolves to take all necessary steps to make and secure the confirmation and implementation of a Compulsory Purchase Order (the “Order”) pursuant to section 226 (1)(a) and 226(3)(a) of the Town and Country Planning Act 1990 (‘the 1990 Act’) to acquire compulsorily all or part of the land shown shaded pink and edged red on the plan (Order Land) attached to the report at Appendix B entitled “Map referred to in the Hyndburn Borough Council (Huncoat Lane) Compulsory Purchase Order 2026”, together with all rights and interests affecting the land (which may be extinguished or overridden), in order to enable the delivery of the proposed residential relief road, known as Huncoat Lane, forming part of the HGV project.  Those steps include the publication and service of all notices and the presentation of the Council’s case at any public inquiry if required.

 

(4)   That Cabinet resolves to delegate authority to the Head of Regeneration and Housing: To finalise the wording of the Order and the Statement of Reasons and to make any final adjustments as may be necessary to reduce the boundaries of the Order Map and take all steps necessary to make and confirm the Order:

 

·      To take all steps to seek to acquire any or all of the necessary interests in the Order Land by agreement or by implementing any confirmed compulsory acquisition powers;

 

·      To remove from the Order any plot (or interest therein) no longer required to be acquired compulsorily, to amend the interests scheduled in the Order (if so advised) and to request that the Secretary of State makes any changes to the Order prior to confirmation as may be appropriate;

 

·      To negotiate and agree the terms of such acquisitions, settle claims for compensation and enter into such agreements or deeds necessary for the acquisition of all or part of the Order Land;

 

·      That if the Secretary of State authorises the Council to do so, confirm any Order made.

 

(5)   Resolves to utilise, where appropriate, either the general vesting declaration procedure under the Compulsory Purchase (Vesting Declarations) Acts 1981 or the notice to treat procedure under Section 5 of the Compulsory Purchase Act 1965 in respect of the confirmed Order.

 

(6)   Agrees, under section 6(4) of the Acquisition of Land Act 1981 to dispense with individual service of notices in respect of land where the Council is satisfied that it has not been possible following the making of reasonable inquiry to establish ownership of the land in question and for the service of notices in the manner set out in section 6(4) of the Acquisition of Land Act 1981.

 

(7)   Confirms that, in agreeing to recommendations (1) to (6) above, Cabinet has considered the provisions of the Human Rights Act 1998 so far as they are applicable in deciding whether to make the Order and to exercise all other statutory powers that the Council seeks to exercise and resolve the following:

 

·      With regard to Article 1 Protocol 1, it is considered that the interference with the individual’s land is justified by the advantages accruing to the public by proceeding with the development of the proposed link road particularly taking into account the fact that there is a legal right to compensation for the property taken and any rights extinguished under the Order;

 

·      With regard to Article 8 of Protocol 1, it is considered that in balancing the rights of the individuals who are affected by the Order against the benefit to the community of proceeding with the Order, the making of the Order resulting in the interference with the individuals rights is justified in the interest of improving the economic, social and environmental wellbeing associated with the Scheme and wider HGV project.

 

(8)   Confirms that, in agreeing to recommendations (1) to (6) above, Cabinet has had due regard to the Equality Act 2010, including the public sector equality duty in section 149 of the latter.

      

(9)   Notes the overall cost estimates, including the estimated acquisition costs of those interests which are still to be acquired and the fees for making the Order will be met from existing Council budgets.