YorkMix - the not so styled version!

Full scale of ‘shocking’ £28.5m overspend on York Station project still unknown


The full scale of an overspend on a major York regeneration project already £28.5 million over budget and more than a year behind schedule remains unknown, councillors have heard.

City of York Council’s city development lead Garry Taylor told councillors the ongoing Station Gateway scheme had been dogged by oversight problems from its early stages but they were now being addressed.

Cllr Katie Lomas, the council’s Labour major projects lead, said work had been ongoing since 2024 to ensure issues with the extremely difficult scheme were not repeated in future projects.

[insert.advert]

But resident Gwen Swinburn and Liberal Democrat opposition councillor Christian Vassie said they were shocked at findings into the handling of the project and a seeming lack of accountability.

The comments come after an audit ruled there had been ‘critical’ weaknesses in the way the regeneration of the area at the front of York Station has been managed.

Veritau found the council had entered a contract ‘at risk’ before legal agreements had sufficiently progressed and subsequent changes to the project had caused disruption and pushed up costs.

The audit also found there were significant delays in the reporting of overspends which may have stopped the council from dealing with them sooner.

Cllr Christian Vassie. Photograph: York Liberal Democrats

Construction work started in 2023 on the scheme which initially had a budget of £26 million but costs so far stand at £54.7 million, according to the latest estimates.

The project is now scheduled to be finished this summer after originally being slated for completion by May last year.

The council’s Audit and Governance Committee heard on Wednesday, 11 March the final overspend on the project will not be known until it is finished.

Council director of city development Mr Taylor said unforeseen changes such as the removal of a historic shelter on the station’s portico for safety reasons had pushed up costs.

Mr Taylor said internal capacity had also been an issue and there had been problems with reporting updates since 2022 but the council had gotten to grips with the scheme.

The official said: “Changes always happen in capital projects, it’s about knowing the implications and the risks and making decisions in the knowledge of that.

“There’s nothing wrong with a contract if you know what you’re buying, but we went into this contract not knowing things and so it gets more expensive every year.”

‘Serious concerns’

Cllr Katie Lomas. Photograph: York Labour

Cllr Lomas said Labour council leader Cllr Claire Douglas had requested the audit into the Station Gateway and other projects to address serious concerns about governance.

The executive member added councillors should focus on ensuring the authority had the proper governance arrangements in place rather than finding people to blame.

Cllr Lomas said: “There were some serious concerns that resulted in the audit to get a professional opinion on our governance arrangements to avoid this ever happening again.

“We’ve consistently done our best to try and get this delivered, everyone recognises this has been an extremely difficult project.”

But Liberal Democrat Cllr Vassie said there had been no consequences for those whose actions resulted in millions being taken from other projects to plug Station Gateway budget holes.

Cllr Vassie said: “I find it shocking that the report seems to present this as if there’s no victims and perpetrators.

“All our residents would be appalled to learn that no one appears to have been held to account for these decisions.

“I’m worried about the effect this will have on the council’s reputation over time.”

Ms Swinburn, who monitors council activity, said the audit raised serious questions and the findings indicated a breakdown in governance and oversight.




Other Stories


Watch: Feed newborn lambs and hunt for eggs – as York attraction marks two decades of Easter celebrations


Selby Residents’ Festival – and the YorkMix Roadshow – is back! Here’s everything you need to know


Review: The Secret Garden – The Musical


Fire crews tackling blaze in coastal village


Best places to live in Britain revealed – and four are in North Yorkshire


Crash on A1(M) near York turnoff causing delays


Youths banned from area of North Yorkshire town after criminal behaviour


Birthday cards and hospital letters ‘being left behind’ say struggling York postal workers


New parking restrictions considered to address ‘displacement’ of campervans on the coast


Rogue builders jailed after conning York man out of nearly £93,000


York Starbucks’ unlawful 30ft sign set to be pulled down


York shop to give away 100 free slices of cake


Council says its website is the best place to report potholes on North Yorkshire’s roads


Man arrested after police pursuit along the A1


Things to do in York this weekend


Video footage of man who died after York shop incident to be shown in court


Living North is back! With half price tickets, live demos, and exciting exhibitors


Huge new charity superstore opens in York


Three people sought by police after attempted theft at York store


York’s longest serving bus driver parks up after 52 years


‘Scarborough Armed Forces Day is really special’ – 100 days to go


TV favourite visits ‘really cool’ York attraction


‘High-end’ holiday development with spa planned near Selby


Images released after fraud at York supermarket


York supermarket bids to sell alcohol 24 hours a day


Consultation launched on making Christmas traffic restrictions permanent


£250K bid to improve Whitby Abbey car park


Village pub near York up for sale as ex-footballer landlord retires


Updated: Rail lines reopen following trespassers on the tracks at York


York school put into special measures by Ofsted


York youth centre plans a new sports pitch – and they need your help!


Updated: York to Scarborough rail line reopens after level crossing fault


Deadline for York Design Awards extended – Nominate now!


Sarah Ferguson set to be stripped of the Freedom of York


WIN a Meerkat Encounter package for four people to Askham Bryan Wildlife & Conservation Park York


Review: Small Island


How York’s Weekend Markets Actually Work as a Local Night Out


The Growing Appeal of Year-Round Events in York


‘We are determined to achieve justice for Claudia’ – Police issue anniversary update


Biker seriously injured in crash in village near York


Have the time of your life – as iconic film comes to York venue


Tours, tea, and tranquil gardens – York hidden gem to reopen


Building work could start on 3,000-home village near York within a year


Watch: Greg James meets Long Boi as he arrives in York on epic cycle ride


Campaigners declare ‘victory’ as Whitby Cliff Lift saved from decommissioning


New policy to boost wheelchair-accessible taxi numbers is approved in North Yorkshire


Final call for parking consultation in York


Happy St Patrick’s Day! The lord of Irish dance to celebrate huge milestone in York


Man punched in the face in front of York kebab van


York heroin dealer jailed for trade that caused ‘untold misery’ in city