Rising costs may slow progress of major Calderdale re-development projects, senior councillor warns

Calderdale Council’s Deputy Leader, Coun Jane Scullion, was asked what impact rising costs might have on schemes, including major highway works.

Coun Steven Leigh (Con, Ryburn) said many councillors had seen a West Yorkshire Combined Authority minute from a meeting in July which outlined that, in view of financial pressures, WYCA was having to review some projects, looking at “amending the ambitions that we had for them, in view of the rising costs.”

Coun Leigh, leader of the council’s Conservative group, asked Coun Scullion if there was anything she was aware of at this stage which would affect the council in terms of cancellations or deferment of projects.

“Some of which have absolute critical importance to the borough – and the A641, mentioned in your report, is certainly a critical project,” he said.

The A641 project aims to better link Bradford with Kirklees through Calderdale via Brighouse.

Coun Scullion (Lab, Luddenden Foot) insisted Calderdale was “absolutely committed to fighting for every inch” and ambitions would not be changed.

“But we might have to pause or defer some projects because of the shocking state of the economy and the way in which our funds are restricted by inflation, by construction inflation and indeed in the wider world economy energy costs.

“The way in which we get there might have to be a bit slower, it might be damaged in some way by the current desperate state of the economy, but there is no amending of the ambitions, the ambition and vision stays,” she said.

Coun Scullion reported to full Calderdale Council that the full business case for the A641 project is being prepared.

She also reported WYCA’s concern about rising costs – over 12 per cent on average and with individual cost spikes, for example a 93 per cent increase in steel.

“Given most capital budgets for external projects were set before inflationary pressure was priced in, it is proving extremely challenging to deliver the projects within their current allocated funding limits,” she said.