BUILDING work on Dudley’s North Priory estate has been halted after the Government slashed funding, throwing doubt on the entire “fiasco”.

Just two months ago there were celebrations as £5.6 million was secured by the Home and Communities Agency (HCA) to finance the redevelopment project of one of Dudley’s main estates.

The multi-million pound deal announced by the HCA would have allowed Bromford Homes to begin building 63 rented homes later this month, while developer Keepmoat would have built 37 houses for private sale in the first stage of the 314 residential development.

But in spending cuts announced by the Treasury last week, the HCA is having to curtail £230 million, with the North Priory plans on the hitlist until the emergency budget is announced on June 22 – with no guarantee the money will be issued.

Castle and Priory ward councillor Alan Finch said he was “disgusted” at the latest development in the project, which has been tumultuous since it began in 2006.

Mr Finch said: “We have been promised these properties for nearly four years.

We’ve been pushing Bromford Homes and Dudley Council for answers and they have just dragged their feet. We eventually get the money and now this happens.”

The project has seen residents rehomed and the houses demolished.

Mr Finch said: “We’ve lost properties which we could have had refurbished, we’ve disrupted people’s lives and now everything’s on hold, but for how long?

“I am really disgusted and the council is not going to argue this case with their Government, are they?”.

Fellow ward councillor Ken Finch, who is set to bring the issue up at next week’s Central Dudley Area Committee, said: “This project has been a total fiasco since the word go.

“We three ward councillors had our doubts but nobody listened and now unfortunately, it looks like all our fears have come true.

“Now we are stuck with this blackspot, with no chance whatsoever of anything developing for probably the next few years.”

Dudley North Labour MP Ian Austin, said he too was “furious” at the cut after working hard to secure the funding.

Mr Austin said: “This will not only leave the site empty and deny people the new homes we need but will hit companies and employees in the building trade too.”

Amelia McCann, Bromford’s head of development, said: “The Chancellor’s announcement means work will not start in June as planned at North Priory.

“Bromford and its partners, Dudley Council and Keepmoat Homes, remain hopeful that funding will be forthcoming but we await the announcement after June 22.”