Decision Maker: Cabinet

Outcome: Decision approved

Is Key Decision?: Yes

Is Callable In?: Yes

Date of Decision: September 16, 2025

Purpose: This report sets out the achievements of the councils’ Affordable Homes programme and lessons learned. It seeks to approve the alignment of the contingency budget to respond to cost increases on some schemed within the programme

Content: For the reasons set out in this report and its appendices, Cabinet RESOLVED to Agree:     i)  To note the update on homes that are completed, under construction or did not progress and the challenges, successes and lessons learned of the Affordable Homes for Newham programme in paragraphs 3.2 to 3.8 together with the overall programme cost in exempt appendices 1 and 2   ii)  The revised budget increases for each site contained in paragraphs 4.2 to a total cost of an additional £16.6m (Appendix 2) and a further contingency allowance of £6.3m (Appendix 1)   iii)  To delegate authority to the Corporate Director of Inclusive Economy, Housing and Culture in consultation with the Portfolio Lead for Inclusive Economy, Strategic Housing Delivery and Culture, Cabinet Member for Finance and Resources and the Cabinet member for Council Housing Improvements; and to then take the necessary steps to negotiate and agree contract variations with appointed suppliers as required to finalise delivery of the Affordable Homes for Newham programme.   Alternatives Considered   The Council could choose not to proceed with approving budget variations. This is likely to result in legal action from contractors resulting in additional legal fees and/or suspension of the schemes. As the amounts being requested have been checked by cost consultants and contract managers the risk of challenge is high and not recommended.