A new leisure, enterprise and education facility in the Forest of Dean is millions of pounds over budget.

The scheme at Five Acres in Berry Hill was originally costed at £9.2 million with funding coming from the government's Levelling Up Fund.

However, soaring costs in the past two years means the scheme is now set to cost millions of pounds more than expected

Former Forest of Dean District Council leader Tim Gwilliam (Berry Hill ward, Progressive Independents), who attended a meeting of the Five Acres Programme Board yesterday, told Punchline: "We set aside a £5 million borrowing option, which takes it to £14.3m, but we've now gone sailing past that.

"About December 2022 after Liz Truss's budget, construction costs went through the roof and a re-evaluation was done and we were told it was going to cost us between £12.5 million and £13 million. We put £14.5 million aside, but that now isn't enough.

"I'm told that they are going to look at things we might be able to do there and perhaps not what was promised initially. It was supposed to be an exemplary, state-of-the-art facility. Now they are saying the theatre might have to go as a cost saving. We're going to end up with a pig in a poke.

"I'm absolutely furious that in 11 months we've gone from having a fully costed scheme and even a date from when the spade was going in the ground to the point where we might not be able to afford what we've told the public we are going to do."

Cllr Gwilliam added: "At last night's full council meeting I asked for an inquiry into the project management of Five Acres. due to the alarming issues that were raised at the programme board meeting."

The district council issued a press release yesterday saying it was committed to the scheme despite the cost increases. 

The council's chief executive officer Nigel Brinn said: "We had originally hoped to be on site at this stage but as with the construction of any large facility such as this, the council must ensure that the development is affordable and remains financially sustainable going forward.

"Unfortunately, costs have risen substantially since the council was successful in its Levelling Up Fund bid, due to rising global costs of materials and the impact of high inflation.

"We would like to reassure the community that Forest of Dean District Council is committed to working with partners and key stakeholders to deliver a project that provides real and long-lasting benefit to the people of the Forest of Dean, within the budget available to us."

Since August 2023, the council has been working with its appointed design and build contractor BAM to refine proposals for the construction of the community and leisure facility at Five Acres.

The community and other key stakeholders have previously been consulted on designs and the future uses of the site to ensure the facility meets the needs of residents.

In October 2023, the design team submitted a planning application (ref: P1435/23/FUL) to redevelop the site and planning consent was granted in February 2024. In accordance with the agreed programme, at which time design and build contractor BAM sought updated prices from the market for each element of the construction project.

The project team is currently reviewing each element of the work and looking at options for how costs can be reduced to remain within budget.

The council says an update on construction commencement and anticipated completion will be provided once designs have been reviewed and agreed, which can be fully funded with the budget available.

The site's development is currently phased with the renovation and conversion of the Speedwell building and the construction of the Sports Hall in Phase 1. Phase 2 is the construction of the 3G pitch and, subject to planning approval, is likely to start part of the way through Phase 1 construction.

Cllr Gwilliam added: "When we left office in April 2022 we had a project due to start September 20 that was fully funded. It's down to one of three things: it's either that they've been unlucky and prices have gone up massively since April 2022; or it's not a priority and they have taken their eye off the ball as an administration, or its incompetence."

He added: "Furthermore, when they make an officer release the news via a press release that just shows cowardice."

Full details for the Five Acres site redevelopment, as well as documents including designs, and comments and questions from previous public forum events can be found at the link below: https://www.fdean.gov.uk/planning-and-building/regeneration/five-acres-redevelopment-site/ 

Punchline-Gloucester.com says: "It's not a big surprise with everything that has happened with the economy, Brexit and Ukraine and rising costs. It goes to show that construction projects are difficult to manage. At least they've highlighted it now before it's gone too far."

Berry Hill Five Acres community hub is go 

Milestone reached at Five Acres site in the Forest