Are £1bn cyber park promises being diluted?

The Golden Valley project encompasses housing, retail sites and a cyber centre

Billed as one solution to the ever-growing housing need in Cheltenham, the £1bn Golden Valley cyber and housing project promises to deliver thousands of new homes.

The developers are also planning to build a world-leading National Cyber Innovation Centre and create more than 10,000 jobs.

The scheme was first conceived in 2017 and an overall planning application was submitted in 2023. It is hoped the project will be fully completed in 2035.

But now there are growing questions as to whether the promised community benefits, such as affordable housing provision, are being diluted.

An artist's depiction of the cyber centre, which is hoped to be opened in 2027

What's included in the Golden Valley development?

Set to the west of Cheltenham, the Golden Valley development site spans 200 hectares – the equivalent to almost 1,000 football pitches.

When complete, the project will include 2,500 low carbon homes, 1.25 million square feet of commercial space – for offices, teaching and research areas, and hospitality – green spaces, a transport hub and a primary school.

The jewel in the crown is the cyber centre, which will not only provide space for research and development, but is also hoped will secure the long term future of GCHQ's presence in the spa town.

The scheme will also bring about improvements to junction 10 of the M5, which will provide access in all directions on and off the motorway.

At the moment vehicles can only get on northbound and exit southbound.

Where are we with the scheme?

So far no works have started on the site.

In September 2023, the council approved £95m of funding for the cyber centre.

Financing for the project as a whole is coming from a mix of private and public sources, including £20m from the central government's levelling up pot.

Last month, Cheltenham Borough Council (CBC) approved plans for the second phase of development, giving developers HBD the green light to build 600 homes and more than a million square feet of employment space.

The first phase, relating to the M5 improvements, was approved in June.

HBD hopes ground will be broken on the innovation centre in the spring for a 2027 opening, with people moving in to the first 1,000 homes in 2029.

What are the concerns?

The borough council's Green Party group says it is worried about the "erosion of promised community benefits" across the development.

In its wider planning policies, CBC has a target that 40% of homes in all new developments should be classed as affordable, allowing homes to be bought below market rate for certain groups such as those on lower incomes.

But during a planning committee last month, officers said just 26% of the homes in the first phase of the scheme would be affordable due to "viability issues".

They also said the developers would not be able to pay the full amount requested towards the M5 junction 10 improvements.

A Green Party spokesperson said: "The dilution of social housing commitments is a warning sign of what today's Cheltenham residents can expect from a project they are financially underwriting.

"This development was sold to Cheltenham residents on the basis of significant community benefits.

"Today's council taxpayers are underwriting tomorrow's promises, yet those promises are being broken."

What's the council's response?

In a statement, CBC councillor Alisha Lewis said the authority was "proud" of the scale of investment in the Golden Valley.

She said it had already increased the amount of affordable housing in the southern part of the development from zero to 26%.

Ms Lewis said she hoped there would be opportunities to increase affordable housing provision in later phases.

She added: "We're working with local housing experts to make sure the homes we do build meet Cheltenham's real needs, from accessible homes to larger properties for families, and a mix of different tenures.

"Our priority is not just to build homes, but to build the right ones, for the people who need them most."

She said the borough council was building more purpose-built affordable homes than ever before.