Hopes rise for long-awaited Portsmouth city centre regeneration

After more than 20 years of failed regeneration plans, Portsmouth’s City Centre North project is set to take another step towards becoming a reality.

The project has moved a step closer, with the council set to decide whether to work with placemaking collective English Cities Fund (ECF).

Portsmouth City Council’s cabinet will decide whether to appoint ECF to assess the viability of the City Centre North scheme.

The council hopes to transform the northern end of the city centre after the scheme, one of the largest on the south coast, secured planning permission in autumn 2023.

The plans include 2,300 homes, up to 10,000 square metres of non residential space and 22,400 square metres of new green space and public areas.

ECF is a partnership between Homes England, Legal & General and Muse. It was set up to deliver large regeneration projects through long-term partnerships with local authorities.

Homes England is described as the “government’s housing accelerator”. It works with councils and development partners to support regeneration projects, attract investment and deliver new homes and infrastructure.

Legal and General is an investment partner which is one of the largest owner-operators of commercial real assets in the UK. Muse describe themselves as “placemakers, using collaboration, experience and creativity to transform places and make communities better”.

ECF would support the council by assessing the project’s feasibility and identifying delivery options.

If approved by cabinet next week (July 21), the council would enter into a Development Management Services Agreement (DMSA) with ECF. This would allow work to begin on a business case and delivery strategy.

The next stage would also look at infrastructure needs, market demand, viability, funding opportunities and possible delivery options.

The proposed partnership would bring regeneration expertise to City Centre North while allowing the council to keep full control over future decisions. It would help explore delivery options, identify funding opportunities and develop an evidence based business case.

The agreement would not commit the council to a future development partnership or any construction work. The findings from this stage would be reported back to cabinet in early 2027.

Councillor Steve Pitt, leader of the council, said: “It’s been a long journey to get to this point and there’s still a way to go.

“This is a very very major development that’s proposed so it’s important that we do it sequentially.

“We continue to edge forward to make sure what ends up being delivered there is the right thing and not rushed.”

However, it is not the first regeneration plan for the city centre.

The area has seen a series of ambitious plans, developer withdrawals and changes in the retail market. After the brutalist Tricorn Centre was demolished in 2004, the site was left largely vacant or used as a car park for more than 20 years.

Northern Quarter (2005 to 2016)

Portsmouth City Council approved plans in 2005 for the £500m Northern Quarter scheme, led by developer Centros. The project included a large open air shopping centre, leisure facilities, restaurants and new homes.

The 2008 financial crash brought the scheme to a halt. After years of little progress, the council ended its agreement with Centros in 2016 after deciding the project was no longer financially viable.

Outdoor shopping village and Delancey (2016 to 2021)

After the Northern Quarter plans collapsed, the council worked with leaseholder adviser Delancey on a new vision centred on an outdoor shopping village.

The plans also included a £36 million road improvement scheme designed to open up development land. In 2019, the council sought to create a joint venture with Delancey, but the partnership ended in 2021 when the company withdrew.

City Centre South Levelling Up bid (2022 to 2023)

In 2022, the council applied for Levelling Up funding to regenerate City Centre South through improvements to Guildhall Walk, Portsmouth Guildhall and the New Theatre Royal.

The bid was unsuccessful, with the Government rejecting the application in January 2023. The proposals have since remained part of the council’s longer term regeneration plans.

Councillor Pitt said “thank goodness” the previous City Centre North scheme fell through, as it would have relied on a large department store “at the heart of it”.

He said similar stores had struggled elsewhere, pointing to Birmingham where a major department store had been a key part of the city centre development but had since closed.

“We could have ended up with a brand new development that was already out of date by the time it was built,” he said.

“Although it was a series of circumstances, economic downturns, issues with compulsory purchase orders – this is by far the better outcome for the city and the community that will be living in that development.”