Gov pledge £120M to housing plans in Newcastle
Brownfield land next to the Arena could be transformed into over 1000 homes
A flagship regeneration project on the banks of the Tyne has been handed a huge boost, with the Government committing more than £120 million to get it off the ground.
Ministers have confirmed a massive cash injection for the Quayside West development in Newcastle, which could see 1,100 homes built on derelict wasteland next to the Utilita Arena.
A funding package worth £121.8 million will pay for land remediation and groundworks at the old Calders leadworks site, as well as the building of essential infrastructure around the riverside plot, in the hope of making it a more attractive proposition for a private developer to come on board.
Quayside West has been described as the last major undeveloped brownfield site in Newcastle and is the biggest parcel of land within the wider Forth Yards area, the regeneration of which has been high on city leaders’ agenda for years.
A £250 million vision from builder Newby to put more than 1,000 homes on the site to the west of Newcastle city centre was approved back in 2020, but never went ahead.
The land was later purchased by Homes England, the Government’s housing and regeneration agency, in an effort to put it back on track for redevelopment.
North East mayor Kim McGuinness said: “This derelict land is in a great location on the banks of the Tyne yet has stood mostly unused for 20 years, which is a huge waste of potential. That’s why we promised to transform areas like this and now that’s exactly what we’re doing.
“We’ve secured funding so we can get the last brownfield site in Newcastle city centre ready to start building the homes that local people need. This won’t be a vast estate, where people can’t access the services they need, but a thriving community with great transport links, green spaces and shops.
“We’re driving the transformation our region needs – from brownfield to beautiful – and today we’re announcing a huge step towards achieving that here at Forth Yards.”
Housing and planning minister Matthew Pennycook added that Labour “want to see previously used land prioritised wherever possible” in its push to get 1.5 million new homes built by 2029.
He added: “We are acting to make it easier to build homes on abandoned, disused and neglected urban brownfield sites across the country – boosting housing supply, regenerating communities, and delivering economic growth.”
Newcastle City Council leader Karen Kilgour said the funding agreement would “act as catalyst for development, allowing us to bring forward infrastructure improvements that will open up the site to attract much-needed private sector investment”.
She predicted: “In about 15 years it will have created a whole new part of the city to the west and provided a new community for our residents while adding significantly to our economy.”
A procurement process to find a private sector partner for the development is now due to start “in the coming months”.
Pat Ritchie, the council’s former chief executive and now the chair of Homes England, said: “This significant investment in Forth Yards demonstrates the Agency’s commitment to transforming previously undeveloped brownfield sites into thriving communities. By working in partnership with Newcastle City Council, the North East Combined Authority and Network Rail, we’re addressing the complex challenges that have held back this strategically important site for decades.
“The new funding package will unlock the potential for thousands of new homes right in the heart of Newcastle, supporting the government’s mission of building 1.5 million homes this parliament.”
News of the funding deal comes just weeks after the nearby Forth Goods Yard, which is owned by Network Rail, was named as one of four priority building sites for a new Government development company seeking to build homes on surplus railway land.
In total, up to 2,500 houses could be built across the entire 50-acre Forth Yards area.