Chancellor George Osborne has, however, made this subject to a commitment by a developer to contribute and develop the site. That commitment must be received by April 2013. The Autumn Statement (98-page / 3MB PDF) also cemented the Government's support for the extension of the London Underground's Northern Line to Battersea.
The Government launched the Resource Review in July 2011 which proposed changes that would allow the local retention of business rates and to allow councils to borrow against the projected receipts, a process known as tax increment financing (TIF).
As part of its TIF plans the Government will also "consider allowing city mayors to borrow against future CIL receipts where this can make a significant contribution to national infrastructure", the Statement said.
CIL is a new levy which councils can choose to charge on new development that takes place in its area. The proceeds are to be used to finance a wide range of infrastructure needed as a result of development.
The Government said that it would consider supporting projects by using transparent forms of guarantee to support specific projects, subject to affordability.
It is recognised that the private sector cannot always bear every risk in major new projects, said Osborne, and the "Government recently confirmed its openness in principle to provide contingent financial support for exceptional risks in the construction of the Thames Tideway tunnel".
