West Yorkshire town regeneration 'faces £1m funding gap' as it's hit by rising costs

The first phase of work is under budget pressures

A West Yorkshire town’s regeneration programme is facing a £1m funding gap, councillors have been told.

The first phase of work aimed at breathing new life into Knottingley is under budget pressures “due to construction cost inflation and procurement outcomes”, a report said.

Wakefield Council approved plans to knock down the former Kellingley Social Club building in July 2024.

The old Kellingley Social Club building, in Knottingley, was demolished in March 2026placeholder image
The old Kellingley Social Club building, in Knottingley, was demolished in March 2026 | LDRS

A new sports pavilion is to be built in its place with a bar, function room, changing rooms and spectator facilities.

The £6.3m project forms part of the Knottingley and Ferrybridge masterplan, which sets out how the area will be regenerated over the next 15 to 20 years

A report to the Reform-led authority’s regeneration and communities scrutiny committee said a review of the project had been carried out in a bid to reduce costs “whilst protecting the project’s key outputs and community benefits.”

It said: “Whilst this review has identified efficiencies, a funding gap of approximately £1.08 million remains.”

The document said “additional funding sources” had been identified and would be presented to the the council’s cabinet for consideration in November.

“This investment will ensure the project can proceed as intended and deliver the anticipated regeneration, health, wellbeing and community benefits for Knottingley.

The Kellingley Social Club site has been prepared for redevelopmentplaceholder image
The Kellingley Social Club site has been prepared for redevelopment | LDRS

“Work has also been undertaken to secure a sustainable long-term operating model for the new facility.”

The report said “significant progress” had been made since planning permission for phase one was granted earlier this year, with the social club building being demolished in March and the site cleared for re-development.

But uncertainty surrounds a proposed second phase work, which was expected to involve building a new wellbeing hub and more recreation facilities when the scheme was first approved by the previous Labour administration two years ago.

The report said: “While delivery of phase one remains the immediate priority, the council is also considering the future use of the remaining regeneration land.

“The original phase two proposals centred on a wider wellbeing and recreation scheme, including enhanced green space, outdoor activity provision and community facilities.

“However, as no funding has been secured and no business case has been approved, officers are undertaking further feasibility work to explore a range of deliverable and proportionate options.”

The committee is due to consider the report at a meeting, which will be attended by the council’s senior regeneration officers, on October 1.

Related topics:
Celebrating 135 years of telling Leeds' stories
Follow us
© 2026 Iconic Media Group Ltd. All rights reserved.Cookie SettingsTerms and ConditionsPrivacy notice