Inflation drives up school rebuild costs

Nicholas Thomas, local democracy reporter

“Dreaded but persistent inflation” is described as partly to blame for the budget of a school project increasing by nearly £3 million.

Caerphilly council’s leader who made the remark, Cllr Sean Morgan, said inflation rises in construction were “certainly higher” than those faced by consumers.

The redevelopment of Plasyfelin Primary School, in Caerphilly town, was initially estimated to cost £20.48 million, but has now risen to £23.25 million.

Caerphilly County Borough Council, which is providing around a third of the overall funding for the rebuild, has seen its contribution increase by an extra £1.76 million.

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Budget increase

The authority’s cabinet members approved the budget increase at a meeting on Wednesday July 23.

Cllr Carol Andrews, the cabinet member for education, said “further site investigations, design confirmations, and inflation in the construction sector” had all played a part in driving up the bill.

Most of the council’s extra spending will come from an unallocated capital grant, while the remainder will come from a separate education capital fund.

The redevelopment of Plasyfelin Primary will begin this summer, and take place in phases – with some children learning in temporary classrooms during the construction period.

Cllr Jamie Pritchard, the council’s deputy leader, said the community was “very much in favour” of the project, which is taking place in his Morgan Jones ward.

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Welsh Government

Plasyfelin is being funded through the Sustainable Communities for Learning programme, and the Welsh Government will foot around two-thirds of the bill – as well as any contributions towards net-zero carbon elements of the project.

Andrea West, the council’s Sustainable Communities for Learning service manager, said the government had provided a “verbal approval they are happy to proceed” with the increased budget.

Cllr Morgan added the extra costs represented a “slight uplift to pay for a brand-new school”.