A crucial council meeting next month will decide whether Alun Griffiths can continue to work up designs ahead of work start later this year.
Griffiths is presently working up final designs and carrying out further cost engineering to find budget savings.
Despite setting aside £7.6m to handle price fluctuations in the original budget, current market conditions mean a funding gap has now emerged ahead of construction work being sanctioned to start.
The Council is now looking to raise an additional £11.9m in funding from Community Infrastructure Levy and Section 106 monies collected from developers and landowners as part of local developments, and from reallocating capital reserves.
This funding is in addition to ongoing discussions with Homes England to find an extra £12m, as well as work with the project contractor to maximise value for money achieved through the scheme.
New road will support the development of future housing sites to help meet the demand for new homes over the next 15 years
Councillor Mike Bell, Leader of North Somerset Council, said: “Banwell bypass is a flagship scheme for North Somerset Council and this additional £11.9m is a clear demonstration of our commitment to deliver.
“As such, it is vital that we remain proactive and do all that we can to protect the scheme in the face of inflation and national financial challenges.
“I’d also like to add further reassurance to residents, that the important mitigation measures included in the planning consent will not be impacted by these inflationary pressures.”
The council decision to release an additional £11.9m in funding will be taken at July’s Full Council meeting and subject to the Council’s later agreement to enter into Stage Two of project delivery.
Of the £97m provided by Homes England, £65m will be spent against the bypass and associated works, the remaining £32m will go towards the design and build of a new secondary school – Winterstoke Hundred Academy.
The £65m for the bypass covers the design, build, utility upgrades, land assembly costs, wider mitigations, and contingency/risk.
