Southwark Council’s planning committee voted 6‑0 on May 28 to reject Berkeley Homes’ amended Bermondsey Place proposal, after the housebuilder trimmed its affordable‑housing commitment from 40 % to 12 %. The rejection comes after the developer’s 2020 approval of a 1,300‑home scheme that pledged that 40 % of all units would be affordable.
Under the new proposal, the 1,060 homes slated for phases 2 and 3 would have included only 81 affordable units, a steep drop from the 408 units originally planned. Berkeley cited escalating construction costs and altered market conditions, arguing that the original 40 % target was untenable.
Councillor Victor Chamberlain, deputy leader of Southwark, slammed the cuts, saying “It’s vital that new development in Southwark brings what local people and communities badly need.” He added he would write a formal objection to the Mayor of London.
Berkeley’s managing director Justin Tibaldi said the committee had “overruled its own planning officers’ recommendation” and that the council’s £30 million Community Infrastructure Levy and Section 106 charges were draining funds that could have supported affordable housing.
The council’s next move will be a formal objection to Mayor Sadiq Khan, who could counter‑vote, and the developer may seek judicial review of the refusal.