DEVELOPERS building a major housing estate have been given permission to slash the number of affordable homes – from 40 per cent to zero.

Original outline planning permission for phase three of the Sowerby Gateway development, near Thirsk, set targets of 246 affordable homes out of 640 houses.

But Hambleton District Council's planning committee has now agreed in detailed permission that builders Taylor Wimpey can cut the amount to nil.

The company said the scheme would no longer be viable otherwise, because of rising costs of infrastructure, including a £7m junction off the main A168 road and contributions to a new school.

Council leader Mark Robson, who is also chairman of Sowerby Parish Council, said the authority was deeply disappointed and would do everything it could to find alternative funds for affordable housing.

But Sowerby councillor Steve Hoyland is calling for a rethink on the permission.

"I am appalled at what has happened. This is one of the issues, that developers are trying to get the numbers of affordable homes reduced and there are many instances where they have come in at the eleventh hour and done what they have done here.

“This has to be challenged. This is a national company, it makes huge profits in a booming housing market and they pay their directors and shareholders millions of pounds. When they say this scheme isn’t viable, they ought to be making some sacrifices, they entered into the agreement.

“The people who are being sacrificed are the people who won’t be able to buy or rent on the new development. I don’t think approval would have been given in the first place if we had known it was not going to be 40 per cent affordable homes. Alarm bells should be ringing here.”

Cllr Robson said: “The costs have risen to provide the A168 junction and to meet the education costs. Unfortunately we are where we are – in a difficult position.

“I am very confident of securing external funding that will allow the percentage of affordable housing to increase. It is very disappointing that it has come to phase three with this situation, but we need to deliver this scheme.

“The junction costs have risen from £1.9m to £7.4m. They have built 248 homes so far and the junction has to happen. There will still be 11 per cent affordable homes in the overall scheme.”

So far 249 houses have been built on the first two phases, with 40 per cent affordable homes.

A spokesman for Taylor Wimpey said they were proud to be involved in delivering the development at Sowerby Gateway which included significant infrastructure and substantial financial contributions. They added: “The Planning Application submitted by Taylor Wimpey was determined by Members taking into account all circumstances, including viability and the priorities of the Council. The Committee Report prepared by Officers is comprehensive, and we have nothing further to add to the content.

“We are aiming to release our first properties for sale towards the end of 2017, leading to the delivery of new homes for occupation during the first half of 2018.”