An appeal against refused plans to build a “final dwelling” retirement bungalow for the developers of a Ceredigion housing estate has now seen that decision overturned.

In an application refused at the October 2024 meeting of Ceredigion County Council’s development management committee, R & S Stephens sought permission for a bungalow, garage, and associated works at Plot 27, Heol Y Cwm, Cross Inn, near New Quay.

A report for planners said the existing Heol y Cwm estate had 26 dwellings, 10 of them affordable, the application being brought to the committee at the request of local member, and Cabinet Member for Partnerships, Housing, Legal and Governance and Public Protection Cllr Matthew Vaux.

In his submission to planners, the New Quay county councillor had said: “This final dwelling on the residential estate will complete the entire site. It will be providing a purpose-built retirement bungalow for the developers of the entire site, Mr and Mrs Stephens.

“These applicants have contributed significantly to the provision of on-site affordable housing throughout the construction of their residential development, providing 10 affordable units in total.”

The committee report said a previous, larger, application was refused earlier that year partly on the basis there was “no demonstrated need for any additional open market dwellings in Cross Inn”.

The report added: “The application seeks to demonstrate that there is additional need for housing in Cross Inn specifically in order to justify exceeding the allowance set out under the LDP. This is based on evidence from the Housing Register. However, as the proposal is for an open market dwelling, it would not address the need identified, as the Housing Register indicates need for affordable housing only.”

The permitting of an open market dwelling would incur an affordable housing contribution in the form of a commuted sum at 10 per cent of the open market value, which the applicants had offered.

Members backed the officer recommendation to refuse the open-market application.

Since then, an appeal was lodged with Planning and Environment Decisions Wales (PEDW), an inspector allowing the scheme, which includes a financial contribution of £42,500 towards the provision of affordable housing.

It said the council’s current local development plan “has no growth strategy beyond 2022, and its housing strategy is not achieving its expected aims”.

It went on to say: “The council does not take issue with a dwelling on the appeal site but consider that it should be an affordable one based on the need identified by the LHMA. There would not appear to be any LDP policy requirement to provide 100 per cent affordable housing in this case, but in any event, the development would make a small, but positive financial contribution to affordable housing [in accordance with policy].”

It finished: “The council touches on housing density and considers that given the size of the appeal site, it could be better used to deliver more affordable housing. However, I have not seen any cogent evidence to suggest that the housing density would result in harm to locational character in this case.”