Queensway Gateway road over budget by more than £5m

MP Helena Dollimore outside Queensway Gateway <i>(Image: MP Helena Dollimore)</i>
MP Helena Dollimore outside Queensway Gateway (Image: MP Helena Dollimore)
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A county council which overspent by over £5 million on a major road project is facing backlash.

East Sussex County Council (ESCC) exceeded its budget on the long-awaited Queensway Gateway road scheme in Hastings.

The figure was revealed in a recent council monitoring report, covering the third quarter of 2025-26.

MP Helena Dollimore outside Queensway Gateway (Image: MP Helena Dollimore)

The council attributed the £5.18m overspend to design changes, a decade of construction inflation, and unexpected issues including utility diversions and poor ground conditions.

In its report, ESCC said: "Redesign requirements, unexpected issues (including utility diversions and poor ground conditions), and a decade of construction inflation have significantly increased costs."

The scheme has faced lengthy delays and rising costs since work began.

Hastings MP Helena Dollimore said: "The Queensway Gateway works were a shambles from start to finish.

"Because East Sussex County Council dragged these works out for so long, they now have £5 million less to spend on filling potholes and repairing our roads.

"That’s in addition to the millions lost by local businesses, and the huge inconvenience caused to residents trying to get to work or school.

"During the works I repeatedly called on the council to release key paperwork about the delays and I am still waiting."

She added: "I will continue to call for an independent inquiry into this fiasco."

ESCC’s monitoring report, discussed at a cabinet meeting on 10 March 2026, revealed the overspend as part of a wider capital programme budget.

As of December 2025, ESCC was forecasting a £22.8m overspend by the end of the financial year.

The council is planning an "unplanned draw from reserves" of £11.8m to cover the shortfall, on top of a planned £11.4m reserve draw already included in this year’s budget.

To limit future overspends, the council has brought in tighter spending controls and updated its recruitment protocol, including requiring purchase orders over £1,000 to have a business case and board approval.

Efforts to improve savings delivery continue, with departments reporting that £12.3m of the £14.3m savings for 2025-26 will be delivered in 2025/26.

The council has also acknowledged rising demand and complexity in frontline services, particularly in children’s and adult social care, as major drivers of financial strain.

Other areas, including highways, have also faced unexpected extra costs, notably for repairs following accidents, severe weather, and maintaining deteriorating road conditions.

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