Plea made to save £21m Wolverhampton Royal Hospital homes project

The Government should step in to ensure the multi-million pound transformation of land close to Wolverhampton's former Royal Hospital does not stall, a city MP has said.

There are fears construction work could stall on the site near former Wolverhampton Royal Hospital

Confusion over funding has put part of the £21m scheme to build homes and shops near the Royal Hospital in doubt.

Council bosses have admitted if funding is not secured quickly the initial part of the ambitious project could stall.

A wider development aimed at breathing new life into the area near the Bilston Street roundabout, is being led by the Government’s Homes England and Jessup.

Initial work at the site involves the creation of a new YMCA building, including retail space, on which work has started.

The Royal Hospital will eventually be converted into apartments to form the centrepiece of the wider development, under plans.

Officials in the city fear work could grind to a halt if cash for the YMCA part of the project is not secured.

Details of a mix-up between funding body the Black Country Local Enterprise Partnership (LEP) and applicant Black Country YMCA were revealed by the Express & Star last week.

The LEP said it "appeared funding had been presumed" and that it was not aware any cash had been promised.

Work on the new YMCA accommodation block and day nursery, on the site of the former bus depot

The Homes England development is separate to the YMCA build but Pat McFadden, Labour MP for Wolverhampton South East, believes the Government should help ensure the whole project continues.

Mr McFadden said it was crucial the project does not fall through.

He said: "This project cannot be allowed to fail. This site was left unused for far too many years.

A funding issue has emerged threatening the future of the scheme

"The Secretary of State for Housing visited it the day after his recent appointment.

"It is essential that the Government ensures that the necessary funding is in place to allow the development plans to continue."

The city's opposition leader Councillor Wendy Thompson branded the mix-up "disgraceful".

She added: "This is yet another example of things going wrong with a major project. Why are these safeguards and checks not put in before these things start?"