St William, a prominent property developer, has received approval for a contentious housing project at the former Mitcham Gasworks site in Merton, London. Yet on November 27, their very own planning committee approved the construction of 626 new homes. While this decision is a huge victory, it’s disappointing to see that there are no plans included for affordable housing.
From the outset, St William had committed to delivering 35 per cent of the new homes as affordable housing. Yet even the company admitted this target was no longer realistic, citing insufficient grant funding as the reason. Currently, St William awaits a decision on grant funding that could allow for at least 146 homes to be offered at social rent. Negotiations are still continuing with Merton Council and the Greater London Authority (GLA) to provide this much-needed financial backing.
The planning process for this site has been particularly convoluted. St William ended up submitting its original plans three times, each time introducing a raft of changes. Overall, despite massive opposition, the scheme eventually approved includes 626 homes compared to the original proposal of 579. Notably, the developer has reduced the height of buildings facing Hay Drive and Portland Road to better fit the local context.
The burden of difficulty for St William goes much further than changes to plans. The challenges associated with redeveloping the heavily contaminated former gasworks site—which was demolished in 2021—have added years of delays and hardship. Beyond that, surging construction costs have made the project’s profitability even more problematic.
Mr Lewis speaking on behalf of developer St William protested at the lack of affordable housing included in the current plan.
“We understand no one wants to see a scheme of this size with no affordable housing. We believe the best way to avoid this is to secure the necessary grant.” – Mr. Lewis
Councillor Gill Manly voiced her frustration over the situation, stating:
“I am shocked that at this point we are still arguing about viability.”
Community activists have similarly pushed back against the development’s lack of affordable housing. Tony Burton, a local resident, remarked on the implications of this decision:
“It is unconscionable that the largest new housing development in Mitcham for a generation should provide no affordable homes.”
As St William continues to progress its plans, when funding becomes guaranteed is still unclear. The company has indicated that we won’t get a better picture until at least April 2026. After all, that’s when the next round of GLA funding will be available. The newly approved development will feature even more smaller privately owned units. These units can help all levels of the housing market.
