Select Committee on Transport Minutes of Evidence


APPENDIX 14

Memorandum submitted by Tees Valley Joint Stategy Unit

THE IMPACT OF THE HIGHWAYS AGENCY OPERATION OF DEVELOPMENT CONTROL POLICIES IN THE TEES VALLEY ON ECONOMIC DEVELOPMENT

THE TEES VALLEY JOINT STRATEGY UNIT

  The Tees Valley Joint Strategy Unit is an organisation set up by Darlington, Hartlepool, Middlesbrough, Redcar and Cleveland and Stockton on Tees Borough Councils to carry out strategic planning, economic strategy and transport strategy development in the Tees Valley. The Unit has to deal with the Highways Agency in carrying out its functions.

THE PROBLEM

  The Department of Transport requires local authorities to refer to the Highways Agency any application where there is a material increase in road traffic on a trunk road. Our concern is that it is taking over a year to deal with these applications and is also delaying projects by asking applicants to carry out unnecessary work. One recent application has taken over a year to resolve and another is taking even longer. Both are major development projects in the Tees Valley and the delays in obtaining approval from the Highways Agency delays projects and discourages private sector investment in one of the poorest economically performing areas of the UK.

THE STATUTORY BACKGROUND

  Local authorities are required to refer to the Highways Agency any application where there is a material increase in road traffic on a trunk road ie an increase in turning movements at a junction in the order of 5% or an increase of 5% in traffic using any link of the junction.

  In cases where there is an increase in traffic on trunk roads the developer has to provide a transport assessment. These assessments have to assess the impact of both development related traffic and background related traffic will have on the trunk road network, at opening year and 15 years after opening when applying the appropriate growth rate, traffic conditions are predicted to be at their worst. Where the assessed traffic flows exceed the capacity of the trunk roads concerned at any time within that 15 year period the Agency will normally direct that a condition be attached to any planning permission that may be granted specifying the improvements to the highway required. These works will be of a sufficient standard to accommodate all traffic 15 years after the development opens.

  The circular specifies four examples where the improvements to achieve the required standard will not be appropriate. They are:

    —  Where the scale of the improvement would be out of balance with the capacity provided on adjacent sections of the trunk road network;

    —  Cases in which the improvements would be more extensive than the Agency itself would promote given local circumstances;

    —  Cases where improvements affect lower standard and in particular all purpose trunk roads;

    —  Cases which fall within areas granted Objective 1 status and which contribute to objective 1 aims.

THE EXAMPLES

  Two key development sites in the Tees Valley are Victoria Harbour Hartlepool and Durham Tees Valley Airport. Approval of planning applications for these two major projects has been significantly delayed because of lack of progress with the Highways Agency.

Example 1:  Victoria Harbour Hartlepool

  The Victoria Harbour project in Hartlepool is a major regional regeneration project promoted by an urban regeneration company, Tees Valley Regeneration and a major landowner PD Ports to regenerate a large area of Hartlepool to achieve over 20 years up to 3,500 residential units, 60,000 sq metres of commercial and mixed use accommodation, 20,000 sq metres of retail including speciality retail, retail warehousing, and convenience retail, 34,000 sq metres of community space including a new primary school and 6,000 sq metres of commercial use. An outline planning application was submitted to Hartlepool Borough Council in June 2004. Between January 2005 and December 2005, Tees Valley Regeneration were in lengthy discussions with the Highways Agency due to their concerns over the impact of the development on the trunk road network, in particular the A179/A19 junction and the A689/A19 junction (both of which are five miles away from the site). Whilst progress was initially very slow, in December a package of improvements costing £2 million has been agreed and Hartlepool Borough Council were able to approve the outline planning application for this important scheme subject to a Section 106 Agreement on 19 December.

  The concern is the 18 months it takes to negotiate a solution with the Highways Agency. This length of time is unacceptable and creates major programming problems with public sector funders and frustrations for private sector funders.

Example 2:  Durham Tees Valley Airport

  Durham Tees Valley Airport submitted two applications in December 2004 to Darlington Borough Council for a new airport terminal and for a business park. The Highways Agency did not make any request for studies or further information until June 2005. The applicants have tried to accommodate the Agency's requests but have been asked for information which they considered to be unreasonable. For example:

  (a)  despite the fact that development will begin in 2007-08, the Highways Agency have insisted that the traffic projections commence from 2015 when all development would be completed for a further 15 years to 2030. Normally the 15 year period would be 2007 to 2022.

  (b)  despite a ministerial announcement that the Long Newton Interchange on the A66 is to be put out to tender for construction to commence in 2006, the Highways Agency want the applicants to undertake an exercise to show the traffic impact without the Long Newton Interchange being built. The applicants consider this work to be unnecessary given the committed nature of the scheme.

  Consequently one year on from the planning application being submitted the applicant has no prospect of an early decision from the Highways Agency. As a result the much needed expansion of the airport through private sector investment of £56 million and the creation of 1,800 jobs are in danger of being lost.

THE ISSUE

  The problem in the Tees Valley is that the trunk road network ie the A66 and A19 is at or close to capacity and therefore the Highways Agency are asking for expensive detailed studies which take a great deal of time or money. As a result of the lack of public sector resources for trunk road improvements, the Agency wants either:

  (a)  the developer to pay for major road improvements instead of the public sector to improve the capacity of the trunk road network to serve major developments; or

  (b)  the developer to pay for improvements to the local road network or traffic management solutions to control flows to the trunk road network.

  Part of the problem is the lack of resources available from the Department for Transport to invest in the trunk road network and hence the need to find other resources to carry out the improvements. Whilst in the long term the Regional Funding Allocation process may result in greater priority being given to trunk road projects, the Agency tries to find someone else to pay. Most of the schemes in the Tees Valley are being promoted by the public sector through Tees Valley Regeneration, One NorthEast or local authority support. In a poorly economic performing area like the Tees Valley, there is not enough added development value in a scheme to pay for major off site infrastructure works to the trunk road network such as grade separated junctions or extra lanes. The delays in consideration of projects means that developers are put off investing in major schemes in the NE of England and could therefore transfer much needed investment elsewhere because of these difficulties.

  It is Government policy to reduce regional disparities between the north and the south. The Tees Valley has a low GDP and is accepted as being in need of regeneration. The DfT development control policy as operated by the Highways Agency is making it difficult for the area to fulfil its full economic potential and is effectively putting off development by requiring over elaborate transport models and delaying developments which the local community and the rest of Government (Treasury, ODPM, DTI) are trying to tackle. It shows a lack of joined up Government. It also sends negative feedback to those private sector developers interested in developing in the area.

  I should add this problem is not unique to the Tees Valley. There are similar concerns around the A1 western bypass in Gateshead, the A63 in Hull, the M62 in Yorkshire/Lancashire and M6/M62/M56 in Warrington and Cheshire.

HOW SHOULD THE MATTER BE RESOLVED

  The key actions are:

  (a)  for more common sense to enter into the Highways Agency requests for information;

  (b)  the Department for Transport to review its criteria on development next to trunk roads;

  (c)  for each trunk road the Agency to develop a memorandum of understanding with the local authorities setting out what development can be allocated and the measures likely to be required. In addition a series of studies to be agreed to deal with potential problem areas. Studies should be paid for from Department for Transport resources;

  (d)  Regional Transport Boards be asked to prioritise improvements to trunk roads to enable major developments to go ahead when deciding on priorities; and

  (e)  the Agency to operate a more developer friendly approach which encourages development to take place, not to hinder it.

9 January 2006





 
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