Golf course plans put council at 'significant risk'

A council's dependence on plans to build a housing development on a golf course have left it at "significant risk", financial auditors say.

The Royal Borough of Windsor and Maidenhead (RBWM) aims to receive £105 million from a deal with Cala Homes to build 1,500 homes on Maidenhead Golf Course.

The council has said it needs the money to cover its debts.

A letter to the authorities from external auditors Grant Thornton said that leaves the council at "significant risk" if the actual value is less due to the possibility of fewer homes being built.

In 2018, the then-Conservative council signed a development agreement with Cala and, in 2022, designated the golf course as a site for housing in its 15-year local plan.

Liberal Democrats who now control the council, opposed the plans.

A petition signed by more than 2,000 people against the plans was delivered to the council in July this year.

Liberal Democrat councillor Adam Bermange, who is responsible for planning, said there was no way out of the contract with Cala.

A council officers’ report in response to the petition said debts of £200 million were built up in the expectation of being able to pay them off with the golf course money.

The council said the expectation of receiving this money had formed the basis for spending decisions over "several years".

It added that this "led to the council incurring over £200m of debt which this deal was intended to repay".

The report also points out that it had to apply to the government for "exceptional financial support" in May this year.

The government has not yet agreed to this, such bailouts usually come on the condition that they are repaid by councils using money from property sales.

Council officers said that without the money from the Maidenhead golf course deal, the council would be unable to pay off its debts or a bailout, and have to go effectively bankrupt.

The letter from Grant Thornton was due to be discussed at a meeting of the council’s audit and governance committee on 9 September.

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