Monday, June 26, 2006

Residents Meeting On 28th June 2006

Residents are being asked to attend a meeting at Kelvin Grove School on 28th June 2006 at 7pm.

The meeting has been organised by the Saltwell and Bensham Residents Association and senior officers of the council have been invited to attend to explain the options people have under the council's controversial demolition proposals. Council leaflets circulating in the area have named seven people in the council responsible for valuations, compensation and re-housing. All have been asked to attend to answer the questions the public wants to ask.

Saturday, June 24, 2006

Gateshead Council Run Out Of Cash

Despite condemning 440 houses in Saltwell and Bensham to the bulldozer and the wrecking ball Gateshead Council have become very coy when asked by residents to buy homes. One local recently rang Gateshead Council to be informed that there was no cash in this years' budget and she would have to wait until next April for an offer.

Meanwhile the Gateshead Council valuer admitted privately to another resident that the delay in buying homes could work to the dis-advantage of the residents as it was likely that blight suffered by the area may reduce the so called "market value".

None of the residents want to leave their homes but many face practical issues. The superficial and partial valuations could be affected by internal decoration. So do you spend money decorating and improving your home? Do you do external painting and maintenance? The long delays built in to the process are wholly to the advantage of the council. They can justify their demolition decision as months go by due to the poor cosmetic appearance of homes which was entirely due to the uncertainty of residents faced with whole area development blight.

Last year Gateshead Council pumped out newsletters quoting eye-watering sums of money coming into the area for renovation and improvement. This year there is little evidence of improvement and the council can not even afford to buy out residents who want to leave. Pathfinder is fast moving from a terrifying waste of public money into a state of farce and ridicule. In US elections the phrase "where is the beef" refers to a candidate who talks but fails to deliver. In Gateshead the phrase "where is the cash" is fast referring to council that talks about millions for investment but cant yet buy up property for demolition due to cash shortages.

Wednesday, June 21, 2006

Minister Has Pathfinder U Turn In Liverpool

Ruth Kelly, the replacement for disgraced Deputy Prime Minister John Prescott, has had a furtner battering from another "Prescot". As reported in the Daily Telegraph the new Secretary of State is having to backtrack on bulldozing Liverpool. This time the Prescot is Prescot Drive, a fine example of Victorian terraced housing opposite a park.

The area had become a symbol of carefully planned neglect by the local council to justify it's plans for "regeneration". Residents turned the tables on the council by using a PROD, a Public Request to Order Disposal - a provision of the 1980 Housing Act. In essence it forces councils to sell off derelict public land that is harming the area.

Ruth Kelly was forced to agree with the residents that the council had no plans to do anything useful with the land in the near future.

The full story is reported in the Daily Telegraph.

While in public pathfinder continues to terrorise home owners all over the north the gradual reduction in cash and, arguably, the government facing hostile protests is combining to reverse the pathfinder programme.

Here in Saltwell and Bensham the council ownership of 20 derelict properties in Armstrong Street is inviting a PROD of it's own. Gateshead Council have admitted that their demolition programme will disrupt community life for up to 3 years and turn 440 families out of their homes. The lesson from Liverpool is people should refuse to be terrorised in their own homes by their own council.


Link: Daily Telegraph 21/6/2006

Monday, June 19, 2006

Just Who Is Getting Rich From Pathfinder ?

This column has condemned pathfinder on several grounds over the weeks but perhaps the most hypocritical position is that pathfinder is helping the residents of the areas under threat. Pathfinder is a national form of the discredited "homes for votes" scandal of the 1980s. In that case Dame Shirley Porter moved the poor out of council houses in order to sell them to potential Conservative voting middle classes.

Pathfinder often has the same end product even though it is probably intended to bolster support for the Labour Party. The problem is that residents are being forced out with inadequate compensation in order to help house builders, consultants and cash strapped councils.

Take Tim Allen, former Labour Party researcher and a deputy to Alistair Campbell, who now has his own PR company called Portland. They represent the Housebuilders Federation and lobby government in support of pathfinder. Tim Allens close contacts include Tessa Jowell, David Milliband, Ruth Kelly and Alistair Darling. Of course David Milliband was one of the ministers at the Office of the Deputy Prime Minister that supported pathfinder and now Ruth Kelly is the new Secretary of State responsible for pathfinder.

David Taylor, once a personal adviser to Deputy Prime Minister John Prescott, now chairman of the Hull Pathfinder. His current "day job" is supervising the construction of the Olympic Village for the 2012 London Olympics.

Among the companies helping to bulldoze Liverpool is Bellway Homes who also happen to be the lead in a £29 million re-development of a school and nightclub.

Gateshead Council, having demolished most of the Sunderland Road area, has not yet re-developed it. A cynic might conclude that they too are waiting for land values to rise in order to make a killing on housing.

Those who are not getting rich out of pathfinder include the residents of Armstrong Street in Gateshead being offered up to £25,000 less than the market value of their property. Another group not getting rich are the many residents of the 440 threatened homes who will be living in a blighted area for the next three years waiting for the bulldozer to arrive.

The irony for the Labour Party is that it is doing much better than Lady Porter in Westminster. It is moving out it's core supporters in the north and replacing them with richer middle class voters less likely to vote Labour. Those who are displaced are likely to turn against the party that used to represent equality and social justice. If this were a Tory Government we would call pathfinder gerrymandering on a national scale to the benefit of rich private businesses. Since this is Labour damaging their own core vote it's hard to believe no one in their polling teams has noticed the social change they are introducing into safe northern seats.

Link: Corporate Watch

Monday, June 12, 2006

Broken Promises

The proposals to demolish 440 homes in Saltwell and Bensham came as a shock to many residents but some argued that the council was doing all it could to compensate those who were due to lose their homes.

The council promised a range of helpful measures. A specialist officer would be assigned to make the process of sale and moving as easy as possible. All those who wanted to remain in the area would be found new property by the council. People would be paid market value for their property and given £3800 disturbance allowance to help with costs.

At the time these promises were made the Saltwell and Bensham Residents Association said that it didn't find the council undertakings to be credible. Simply put we believed that the council could not afford to buy homes at true market value much less afford a package of incentives including equity loans to help people.

The council have always described the Residents' Association concerns as scaremongering and troublemaking.

The reality is turning out as the Residents Association feared. The "market value" according to Gateshead Council seems to be around £25,000 less than independent valuations of the same property. The disturbance allowance has been reduced to £500 and there seems a sudden shortage of property in the same area ready for people to move into.

Many residents are finding that the compensation package doesn't even cover the outstanding mortgage on their homes.

Almost as scary is what one resident refers to as a "black hole" in Gateshead Civic Centre. While the appearance of this mighty cosmic phenomenon in Gateshead might seem improbable it seems the only explanation to residents. Whenever they telephone the named officials responsible for making demolition "stress free" no one can find them - possible evidence of black hole in the atrium of Gateshead Civic Centre.

For those residents who trusted the council's promises recent events are proving a rude awakening.

Resident Calls Newspaper Instead Of The Police

Life becomes ever more surreal in Saltwell and Bensham. As well as the council boarding up homes in an effort to "persuade" residents to sell up a new strategy of neglect seems to be emerging.

In recent weeks the vandals and yobs have started trying to break in to the boarded up properties in Armstrong Street. The properties are all owned by Gateshead Council whoose strategy is to demolish rather than refurbish.

Some residents started reporting the anti-social behaviour to the Gateshead Council Street Wardens. The wardens would dutifully turn up hours later and chastise bemused residents for having called them out for nothing - despite evidence of upturned rubbish bins and bricks scattering the back lanes. Residents had no choice but to up the ante and call the police. Once again the police would turn up hours after the local yobs had terrorised the neighbourhood and have nothing to do.

One evening a resident returned home to find her car vandalised. Realising that calling the council or the police would elicit the usual level of apathy she decided to call the local newspaper. Once a journalist took up this case the police arrived within the hour and conducted house to house investigations of the vandalism.

The 999 service in Saltwell and Bensham could become replaced by a speed dial to the news desk of the local paper.

Vandalism and anti-social behaviour does benefit the council strategy. Frightened residents will sell their homes much more quickly than a secure community.

Residents could consider complaining to their local police authority about the poor policing in their area. Unfortunately for residents the police authority is Gateshead Council and the Chairman of the Police Authority is, by coincidence, the Leader of Gateshead Council and chief architect of the demolition strategy.

Sunday, June 04, 2006

Government Threat To West Midlands Pathfinder

According to Inside Housing a damning report from the National Audit Office may leave the "Urban Living" Pathfinder in Sandwell without any further cash.

Some 10% of the pathfinder target has been delivered and the chairman acknowledged the critical Audit Commission Report. Less than one third of the planned demolitions had taken place.


Links: Inside Housing

The £100,000 House

A new milestone in Gateshead Council's effort to demolish 440 homes in Saltwell and Bensham - the council have reportedly offered £114,000 for a home in the "worst street" under threat. The owner of the property had a private independent valuation of £140,000 - thus exposing the council claim to offer "full market value" for homes to it's first full test.

If other offers match this one then the council could be potentially paying more than £50 million for demolition. Of course this figure is a crude multiplication of 440 by the current offer. As the demolition plan is to buy homes over the next 3 years house price rises have not been factored in. Currently Saltwell and Bensham has seen house prices treble in the last 3 years.

As a milestone £100,000 is also significant because it will remind many residents of a public meeting in September 2005 when a resident in Lincoln Street stood up to ask councillors whether his home would be threatened with demolition having had it recently valued at £120,000. The Deputy Leader of Gateshead Council seemed outraged at the suggestion homes of that value would be demolished and told the resident that if his home was really worth more that £100,000 he (the resident) was stupid to think it faced demolition.

After Gateshead Council's offer of £114,000 this week the question of how much a council is willing to pay to demolish property is even more relevant than it was last September. The fact that Gateshead Council is offering £26,000 less than an independent valuation should make all residents worry if Gateshead Council knocks on their door.

So just how much should a council offer to demolish a home? With prices rapidly rising in Saltwell and Bensham the question has never been more pertinent.