Bermondsey Estate refurbishment which overspent by £1.3 million to finally be investigated

28 Aug 2025
Arica House

The Arica House major works project, which overspent by £1.3 million, is now set to see similar external investigations conducted that Devon Mansions and Canada Estate underwent, after years of pressure from residents and Liberal Democrats. 

It’s understood that an investigation into the works was first promised by Labour politicians in 2021, but due to the high turnover in the housing cabinet position, ended up not materialising. 

Liberal Democrats have repeatedly called for Arica House major works to be investigated - in 2024 and at the recent housing scrutiny meeting in July.  

This comes after damning reports into three major works projects – Devon Mansions, Canada Estate, and Kirby Estate – which had a combined overspend of over £6 million, came to light in July. Those major works, which also overran by years and delivered unacceptably poor quality work, were conducted during the period the review into Arica House was first promised.  

The Liberal Democrats say that this is a damning indictment of Labour’s record on housing – with residents left in the dark and ignored about their concerns, and a failure to learn lessons leading to avoidable overspend. 

Commenting, Deputy Leader of the Opposition and North Bermondsey Councillor Rachel Bentley said:  

“That Arica House is finally getting the external investigation it needs is a victory for residents after years of campaigning, but it should never have taken this long. If this Labour council had got its act together, not only would Arica House residents get answers and justice they deserve, but the further scandals we’ve now seen on other estates could have been avoided entirely.  

Labour’s chaotic merry-go-round of housing cabinet members – 6 in as many years – is just one reason we're in this mess.  

Residents have totally lost any trust in the ability of this Labour administration to tidy up their own mess. Only the Liberal Democrats will take housing seriously by actually listening to residents.” 

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