Ealing faces ban on new homes as electricity grid at full capacity

By Isabel Millett

2nd Aug 2022 | Local News

Developers In west London face a potential ban on housing projects until 2035 because the electricity grid has run out of capacity to support new homes, a report in the Financial Times has revealed.

In a letter from the Greater London Authority developers were warned it could take more than a decade to bulk up grid capacity in three west London boroughs: Ealing, Hounslow and Hillingdon. 

The GLA note reportedly told developers in those boroughs, "major new applicants to the distribution network…including housing developments, commercial premises and industrial activities will have to wait several years to receive new electricity connections".

A recent applicant to the distribution network was told there was insufficient electrical capacity for a new connection until as far away as 2035, according to the note.

Ealing, Hounslow and Hillingdon together accounted for almost 5,000 homes in 2019-20, equivalent to 11 per cent of London's housing supply.

But as the electricity network in the area is at capacity, there is an effective ban on large scale housing projects. 

The GLA said the problem in west London is particularly acute in Ealing and Hounslow because of the quantity of data centres built in recent years that use fibre optic cables running along the M4 corridor.

In its note the GLA said, "data centres use large quantities of electricity, the equivalent of towns or small cities, to power servers and ensure resilience in service". 

David O'Leary, policy director at the Home Builders Federation, told the Financial Times that developers were "still getting their heads round this but our basic understanding is that developments of 25 units or more will be affected".

He added that the GLA's note had already prompted one HBF member to reconsider the purchase of a plot of land for development in Ealing. 

An Ealing Council spokesperson said, "We are deeply concerned by this news and we are currently reviewing how the recently announced electricity capacity constraints will impact our substantial housing development programme. In the middle of an affordable housing crisis in Ealing and across London, it is vital that we are able to continue building new genuinely affordable homes to let. We have requested urgent meetings with the Greater London Authority and government ministers to discuss how this issue can be resolved and will be monitoring developments closely."

The GLA did not respond to a request for comment from the Financial Times.

     

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