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Residents left frustrated as Bethnal Green student housing proposal rejected

Residents have expressed frustration after a student housing proposal was rejected by Tower Hamlets Council in spite of planning officer recommendations.

The proposal by Telford Homes, which would have housed 520 Queen Mary University students at 255-279 Cambridge Heath Road in Bethnal Green, was rejected unanimously by the Tower Hamlets strategic development committee last week. 

Although the council planning officers judged that the scheme would deliver considerable public benefit, it was rejected unanimously, with the council reasoning that it should prioritise building permanent housing for local people.

A Telford Homes spokesperson said: “The Planning Committee’s denial of our proposed purpose-built student accommodation scheme is disappointing.

“Our proposed project also aligns with the Mayor’s newly published draft London Plan, which recognises the importance of additional purpose-built student accommodation in supporting London’s universities, economic growth and the broader housing market.”

After an initial decision in July, this was confirmed last Thursday by the Strategic Planning Committee.  

The former electric building has been owned by Telford Homes since 2017, and is currently used by Proposition art studios as a meanwhile purpose. 

Another proposal by Telford Homes was also rejected unanimously in 2020 after appeal as it did not comply with the borough’s Tall Buildings policy, with a 2022 proposal withdrawn before reaching the planning committee. 

Residents expressed confusion at the property’s continual lack of development.

Speaking to the NE Londoner, Alex, 26, said “something needs to be done” and that the building “can’t just be lying dormant”.

Hudson Cooke, 29, an artist who uses the building for storage, said: “Students are people who need housing too.”

According to the 2026 Affordable Housing Monitor, Tower Hamlets is the London borough with the most Greater London Authority-funded affordable home starts since 2023. 

In a statement on Thursday in response to questions over the council’s controversial decision, a Tower Hamlets Council spokesperson said: “All planning applications are considered on their merits and against the relevant development plan policies and material considerations.

“The new scheme was carefully considered by officers and the committee, who were aware of the current status of the property and its history when making their decision.”

“We remain committed to developing a viable and high-quality asset that addresses local needs and supports the wider objectives for housing and economic growth in London,” said the Telford Homes spokesperson, as the property is set to enter its tenth year without development.

Featured image credit: Viktor Schlatte

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