Agreement for partnership was first signed in 2019
Plans for a 564-home scheme in Ealing will not go ahead due to viability concerns, with the council’s development partner Peabody pointing the finger at second staircase requirements.
The local authority signed an agreement with the G15 landlord in 2019 to bring forward development of The Green, Southall.
Planning permission for its proposals, which would have included 50% affordable housing and 2,900 sqm of commercial and community space across the 2ha site, was secured in 2021 and a government-appointed inspector approved the necessary compulsory purchases in May 2023 after a public inquiry.
The council had three years to implement the CPO, however its development partner appointed architects in 2024 to review the planning consent due to growing concerns about its viability, exploring a scheme of 590 homes with a more efficient design within the parameters of the planning consent.
However, In July 2025 Peabody determined that the scheme was no longer viable.
A huge range of changes were cited as contributing to this, including labour shortages, increases in the costs of materials, labour and energy, an oversupply of market sale housing, and fluctuation of interest rates.
However, the requirement for high risk buildings to have two staircases was identified as the biggest contributor.
“Ultimately, the most significant viability impact was caused by the two staircases requirement in London for buildings over 18 metres, which the Building Safety Act 2022 put in law in 2023,” a report to cabinet said.
As a result of this, Ealing Council’s cabinet decided on Wednesday (12 November) to terminate the development agreement.
Peabody has been contacted for comment.
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