Council U-turn on Regent Street pedestrianisation and TfL budget crisis dominate week in City Hall

Westminster City Council has shelved its controversial plan to permanently pedestrianise three blocks of Regent Street, marking a dramatic reversal after weeks of fierce opposition from shopkeepers and business groups. The decision, announced Thursday, comes as retail leaders warned the scheme would cost independent traders on the thoroughfare up to £2.3m in lost footfall during the 18-month implementation period.

The council had pushed the scheme as part of its post-pandemic high street revival strategy, but mounting pressure from the Federation of Small Businesses and major retailers proved decisive. Instead, a new 18-month trial using temporary barriers will begin in September, focusing on weekends only. "We're listening to our business community," a council spokesperson confirmed, without elaborating on alternative timelines.

The U-turn overshadows what has otherwise been a fractious week at City Hall. Sadiq Khan's administration faces mounting pressure over Transport for London's £600m funding shortfall, with the Mayor warning that without fresh government support, daily bus services could be cut by up to 15 per cent come autumn. Service reductions would hit routes serving outer London boroughs hardest, with Havering and Hillingdon facing the steepest cuts.

Meanwhile, Hackney Council has approved a £847m regeneration plan for the Woodberry Down estate, one of the capital's largest housing developments in recent years. The mixed-use scheme promises 1,200 new homes—40 per cent affordable—alongside retail and community spaces. Council leader Phil Gingell called it "transformative for north London," though housing campaigners questioned whether "affordable" units would remain genuinely accessible given current market rates.

In planning news, Croydon Council granted approval for the controversial Neo Bankside extension near the Thames, clearing the way for a 28-storey residential tower that drew objections from the Bankside Community Association over shadow impact on parks. The £620m project is expected to begin construction next spring.

The week also saw Lambeth Council launch a consultation on its £1.95bn Adult Social Care five-year strategy, as demand for elderly care provision continues to outpace funding. At least 3,400 additional care worker positions will be needed across South London by 2029, council analysis suggests.

All these issues will likely feature prominently when the full council reconvenes after summer recess in September, with the Regent Street decision setting tone for a more cautious approach to major interventions affecting London's business districts.

This article was compiled by AI from the sources linked above and screened before publishing. See our editorial standards.