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Natural England said the designation was necessary to protect a colony of rare 'distinguished jumping spiders' from developers
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A small colony of endangered spiders has forced the abandonment of plans to build more than 1,300 new homes in Kent, dealing a significant blow to the Government's growth plans.
Natural England has designated part of a development site in Ebbsfleet as a Site of Special Scientific Interest (SSSI) to protect a colony of rare "distinguished jumping spiders."
The environmental order affects a section of the Government-approved location, which includes a filled-in quarry and the cleared site of a former cement works adjacent to a railway station. The site is part of a £300 million Government-backed plan to create a new town in the area.
The 125-hectare location stretches from the Thames down to a railway junction, approximately 20 miles east of London.
Construction has been halted at Ebbsfleet Garden City
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The land was purchased for £32 million in 2019 by the Government-sponsored Ebbsfleet Development Agency, with plans for 15,000 new homes. The site's proximity to Ebbsfleet Station makes it particularly valuable, with high-speed trains reaching London in just 18 minutes.
With local house prices averaging £400,000, the spider protection potentially blocks over £500 million in property sales alone.
Ian Piper, chief executive of the Ebbsfleet Development Corporation, confirmed the environmental order would affect development plans, with an estimated 1,300 properties now lost.
The decision comes as a setback to Rachel Reeves and the Labour government, which has positioned house building as central to its economic growth strategy.
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The Chancellor announced changes to planning rules in January, stating she would reduce green quangos' powers to block construction, arguing they have had an "oversized say on the future of our economy".
Steve Norris, the Conservative former transport minister, criticised the situation as "ludicrous".
"All I can tell you is that until Angela Rayner, to her credit, grasped the great crested newt, bats and jumping spider issue, a development corporation established by the Government for the express purpose of delivering much-needed housing was prevented from delivering those homes," he said.
Norris added it was "one of the clearest examples of just how awful we are at delivering big infrastructure - and, in the process, deterring private capital from funding big investments."
Deputy Prime Minister Angela Rayner had earlier announced plans to slash red tape in planning, stating: "We're tackling the housing crisis head-on."
Piper, while acknowledging the SSSI designation had "not affected delivery of the majority of new homes" at Ebbsfleet, confirmed it had blocked construction on Ebbsfleet Central West, immediately adjacent to the railway station.
Sources familiar with planning permission law indicated that development of SSSIs is effectively impossible due to strict construction controls.
The affected site, which sits next to Ebbsfleet Station, was intended to be part of a larger development scheme for the area.