Havering Council had in August 2023 said it would investigate the possibility of a north-south tram through the borough, as most of the area’s Tube and rail connections only provide for east-west connections with central London or Essex.
The council’s leader Ray Morgon had said the authority would commission a new feasibility study to “scope out” whether a tram or other transport upgrade could become a reality, following an earlier study conducted before the Covid pandemic.
He argued that with separate plans under way for a new data centre to be built on the Havering-Essex border, “now is the time to do this”.
But almost two years on, the authority has now revealed that no further research into the concept was carried out.
A council spokesperson told the LDRS: “We have as yet not commissioned the further phases of the study, which would include an assessment of options and developing a strategic outline business case, because we do not have the finances to do so.
“However, we are expecting some positive developments in the borough which will enable us to fund further work on this through obtaining Section 106 monies and other funding.
“For example, the proposed data centre, or other developments that deliver jobs and housing for Havering residents.”
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The mention of “Section 106 monies” is a reference to funding secured by the council under so-called Section 106 agreements, where developers agree to provide a sum of cash to improve services as a condition of being granted planning permission for a new housing or infrastructure scheme.
While a precise route for the tram has not been detailed, the council previously suggested it could run from Harold Wood through Romford and Upminster and on to the proposed railway station at Beam Park – the location of a new housing development encompassing thousands of homes.
Havering’s spokesperson added: “We have not been idle around this and have been lobbying for greater investment in our infrastructure.
“This is why we are pleased that Transport for London are consulting on a new Superloop [express bus] connection in the borough which will travel north/south and will go some way towards solving the problem.
“In addition, further work needs to take place to unblock the proposed Beam Park station so it creates additional impetus and infrastructure to improve this north-south connectivity.”
Havering’s financial situation is not unique, as local authorities across the country warn they are being forced to make impossible choices amidst rising temporary accommodation and social care costs.
In February 2024, just months after Cllr Morgon had confirmed the council’s plan to press ahead with exploring the ‘north-south tram’ concept, Havering was said to be on the brink of bankruptcy.
The authority was only able to sign off on its budget for the coming year thanks to a £54m loan from the government.