ONE of Chard’s historic former mills could still be redeveloped despite local authority plans being put on hold.

South Somerset District Council originally intended to bring both Boden Mill and Holyrood Lace Mill back into full residential and commercial use as part of its flagship Chard regeneration scheme.

The council admitted in late-August that it would have to put this phase of the regeneration scheme on hold unless it could secure further external funding.

READ MORE: Phase two of Chard regeneration could be scrapped due to lack of funds

But while Boden Mill remains dogged by viability issues, Holyrood Lace Mill may prove a more attractive prospect for redevelopment by the private sector.

The Chard regeneration scheme will deliver a new swimming pool and leisure centre off the A358 Silver Street (which is expected to open by the end of the year), along with various improvements to the appearance of the town centre and a new programme of cultural events.

Councillor Jason Baker, portfolio holder for the Chard regeneration scheme, reiterated the council’s desire to eventually revamp the two mills at a meeting of the district executive committee on Thursday morning (September 2).

He said: “We would need to pause, but not cancel, this phase while we look for suitable partners and investments.

“We are keen to pursue phase two with future partners and funding when available, but it is not feasible to enter into this stage at this point in time.”

Jan Gamon, the council’s director of place and recovery, stressed the remaining elements of the regeneration scheme were on budget and would be delivered very shortly.

She said: “The expenditure within Chard has been within the agreed gross budget. It’s not that this project has overspent; what has happened is that the funding has not come forward as anticipated.

“This includes funding from external partners and capital receipts from the disposal of ring-fenced assets. Currently we’re in a position where there is no obviously possibility for pushing forward with phase two.

“We’re not saying that we won’t undertake any activity, but it is important to put a marker at the sand and say that, in respect of council funding, we are at the limit of what could be tolerated right now.

“There are lessons to be learned from Chard that we need to make sure we record, and we will apply that learning to other regeneration projects.”

The council applied to Homes England’s small sites fund, but the government agency declined to help since “the viability gap was too large”.

Ms Gamon said the council had chosen not to pursue Sports England funding for the scheme, stating: “A decision was made quite early on that this process would risk slowing down the development considerably… once we had started construction, they really were not interested in supporting us.”

While Boden Mill remains unoccupied, Holyrood Lace Mill’s ground and first floor is currently home to the town’s library.

Ms Gamon said: “We have taken some advice on Holyrood Lace Mill – we’re advised that is entirely saleable with the sitting tenant of the library.”

Councillor Martin Wale argued that the impending creation of a new unitary council (to replace Somerset County Council and the four district councils) would help to move forward any development of Holyrood Lace Mill.

He said: “There’s been lots of suggestions about the Boden Mill, but the problem with it is the condition of it, and it’s a listed building.

“With the Lace Mill, we signed a 99-year lease with the county council, and it’s thrown the whole thing into great difficulty. Without that, I’ve no doubt Holyrood Mill will be suitable [for redevelopment].

“What happens with the new council will be interesting, since I’m not sure you can hold a lease on your own buildings.”

A further update on the regeneration scheme is expected to come before the council’s area west committee when it meets on September 15.

A report on lessons to be learned from the Chard regeneration scheme will be presented to the council’s scrutiny committee later in the year.