Neil Fox Way: More than 1,000 Yorkshire homeowners receive compensation for drop in house prices caused by new relief road

The bill for compensation payouts residents to suffering a drop in house prices from the construction of a new bypass in Wakefield has passed £5m.

A total of 1,074 claims have been settled since the Wakefield eastern relief road (WERR) opened in 2017.

The 5km stretch of road, also known as Neil Fox Way, connects Aberford Road in the north of the city to Doncaster Road in the south.

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It was designed to ease congestion in the city centre and form the base for around 2,500 new homes being built at City Fields.

The eastern relief road junction in WakefieldThe eastern relief road junction in Wakefield
The eastern relief road junction in Wakefield

When a new road is constructed, a compensation scheme is put in place to address the impact on land and property values.

Claims can be made under the Land Compensation Act for a six year period.

Settlements totalling £5.1m have made, with a further £200,000 of payments likely before the claim period ends next month.

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The amount is higher than expected when the scheme was launched.

A report says an “insufficient budget was made available” to cover the cost of claims.

Wakefield Council cabinet members have been asked to allocate £3.4m to cover compensation payments when they meet next week.

The council plans to make a request to West Yorkshire Combined Authority to recover the sum.

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A consortium of developers involved in the road construction will contribute £0.3m towards the costs under a legal agreement.

The report says: “The extent of claims that could arise as a result of the new road opening was uncertain at the time of the project and funding allocation.”

The overall costs involved in providing the WERR now stands at £35.9m.

Compensation claims have been made by residents living in areas including Eastmoor, Stanley, Stanley Ferry and Pinders Heath.

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Claims can be made if a property value depreciates by more than £50 from the building of a new highway.

Under legislation, factors that can affect values include noise, vibration, smell, fumes, smoke and artificial lighting.

Councillors will consider the report at a meeting on March 19.