PLANS for a development of up to 440 homes in Lancaster have led to a disagreement between the county and city councils over the provision of extra school places.
Lancashire County Council has asked for a £2.5m contribution towards local facilities including schools from any future developer of the Moor Hospital site in Quernmore Road.
But Lancaster City Council, which last week agreed to renew a planning application for the homes by site owner the Homes and Communities Agency (HCA), a government quango, said it was unlikely that developers would be able to find the cash in the current economic climate.
The city council has instead asked for profits from the scheme to be reinvested into affordable housing in another part of the historic building instead.
Its County Hall counterparts have estimated that the new homes would bring an extra 154 children into the school system.
See the Lancaster Guardian (28-07-11) for full story.