Funding for the Dido Valley housing project could be reduced, following the withdrawal of funds from provincial government.Brett Herron, Mayco member for transport and urban development, confirms that there was an overall reduction in the Human Settlement Development Grant (HSDG) funding allocation to the Western Cape Province.“This has resulted in reduced allocations to municipalities in the Western Cape. The reduction in the allocation to municipalities inevitably has a knock-on effect on projects,” Herron says.Neither the national nor provincial human settlements departments had commented at the time of going to print.Herron says: “The City of Cape Town received notification from the Western Cape Provincial Department of Human Settlements that there was a funding reduction of 49% from the National Department of Human Settlements in the HSDG allocation to the provinces for 2018/19. Due to the reduction in the allocation of the HSDG funding, the City must reprioritise projects across the board to accommodate this reduction. “At this stage we are investigating how and where we can ensure that priority projects – such as the Dido Valley development – are not adversely affected.”Herron says the City will have more information once this exercise has been completed.The development will see the construction of 600 units on an 18ha site along Dido Valley Road to house residents from Red Hill, Luyolo land claimants and beneficiaries listed on the old Simon’s Town housing list. This has been subject to approvals from various departments (“Hurdles for housing”, People’s Post, 4 June 2014). The project has been valued at just over R97m. The development was initially planned in two phases, but will now be developed as a single phase.The Red Hill Development Forum and the Project Steering Committee have given the go-ahead for the layout as well as house typologies, while the town planning application and layout were approved by the Spatial and Environmental Land Use Management Committee on 15 October 2014, by Mayco on 19 March last year and by Council on 30 April 2015.Land has been set aside for the development of businesses, as well as community facilities such as a crèche and church. There will also be public open spaces (“Civils tender closes”, People’s Post, 5 May 2016).