Westferry documents suggest Jenrick intentionally saved developer £50m
Documents released today by Robert Jenrick suggest the housing secretary intentionally carried forward a planning decision over the Westferry housing scheme in order to save its developer from having to pay £50m to the local council.
The housing secretary bowed to pressure from Labour earlier today and released 129 pages of documents relating to his decision to grant approval to the 1,500 home development at the former Westferry printing works site on the Isle of Dogs.
Jenrick faced accusations of “cash for favours” after it emerged the site’s developer, former Daily Express owner and pornographer Richard Demsond, donated £12,000 to the Conservative party 12 days after the housing secretary approved the deal.
Documents unveiled today showed that Jenrick intended to approve the scheme on 14 January, in order to save Desmond from paying tens of millions to Tower Hamlets council.
“On timing, my understanding is that [the secretary of state] is/was insistent that [a] decision is issued this week i.e. tomorrow — as next week the viability of the scheme is impacted by a change in the London CIL [Community Infrastructure Levy] regime,” one document read.
Labour said the timing of the decision to approve the scheme — just a day before a new community infrastructure levy came into force — would have saved Desmond’s Northern and Shell company up to £50m.
The documents also revealed that Jenrick and Desmond were in close communication in the months preceding the deal.
In November, Jenrick texted Desmond to say: “Good to spend time with you tonight Richard. See you again soon I hope,” to which Desmond replied: “Thanks Robert I really appreciate your text. Will call your office tomorrow to arrange.”
Subsequent texts show the pair arranged to meet in December, when Desmond texted the housing secretary to say: “Good news finally the inspectors’ reports have gone to you today, we appreciate the speed as we don’t want to give Marxists loads of doe [sic] for nothing!
According to a 2019 report from Jenrick’s own department, Tower Hamlets is one of the local authorities with the highest proportion of children and older people in income deprivation.
Jenrick replied: “Richard. As Secretary of State it is important not to give any appearance of being influenced by applicants of cases that I may have a role in or to have predetermined them and so I think it is best that we don’t meet until after the matter has been decided, one way or another.”
On 23 December, Desmond texted the housing secretary to say: “Morning Robert. How does the advice look? We have to get the approval before 15 January otherwise [a] payment of £45m to Tower Hamlets meaning we have to stop and reduce social housing. Thanks Robert looking forward to speaking soon.”
Jenrick then approved the planning decision on 14 January, the day before the new legislation came into effect.
Jenrick then texted Demsond a week later to say: “Richard I hope you understood that I could not speak with you or have contact whilst I was making my decision with respect to the planning application at Westferry — which is why I did not return your messages. Best wishes, Robert.”
The housing secretary is now facing mounting pressure to resign.
Clive Betts, the chair of the housing, communities and local government committee, questioned why Jenrick had waited until Labour tabled a debate on his role in the development to make the announcement. “I think it might have been helpful if we had had it before the debate today,” he said.
Jenrick did not respond to requests for comment.