THE company behind demolition of thousands of homes in Edge Lane was last night criticised because it is to get an extra £500,000 of public money.
Liverpool Land Development Company will use the cash to carry on its work over the next two years.
The organisation is made up from the North West Development Agency (NWDA), English Partnerships (EP) and Liverpool City Council, which has applied for the extra funding.
But Liberal Party leader Steve Radford claims it could easily find the money itself by dropping parts of the Edge Lane demolition scheme.
He said: "It is £500,000 at the moment but how do we know that is not going to keep rising?
"We should not be signing blank cheques, particularly when the money could be found quite easily.
"They could reduce their costs and still achieve their objects by re-drawing the Edge Lane scheme.
"There are thousands of homes that are needlessly being demolished under these plans, homes that people do not want to move out of.
"Instead they want more public money. People are deeply unhappy with this scheme, which is one of the main ones it is responsible for."
Work started last month on the contentious Edge Lane scheme which will widen the eastern gateway into the city and see 550 homes built.
Many residents have protested against the changes after the compulsory purchase of 490 homes and 24 businesses.
In April 2003 the city council was awarded £1.5m of European funding to fund LLDC, just under half of the total operating budget.
It has been behind 30 projects in the city but its most high profile are Edge Lane and Liverpool Science Park, which are still a long way from completion.
Liverpool City Council pays for its operating costs and asked the Government Office North West to apply for European funding on its behalf, but was initially told it was reluctant to step in because it felt its budget was sufficient.
But it has now agreed to hand over the £500,000 over a two year period.
The council has also had to increase its own contribution to LLDC by an extra £250,000 a year between now and 2008.
A spokesman for the city council said: "This money is to provide support for all of LLDCs projects, not just Edge Lane.
"The European money is not for meeting housing costs."
LLDC, which was set up in 2003 and runs until 2009, insists money earmarked for capital projects such as Edge Lane could not be used to fund other costs.
A spokeswoman said: "LLDC is very pleased that Liverpool City Council is giving due consideration to the continued support of LLDC in delivering a range of high quality commercial and mixed use schemes across Liverpool.
"LLDC has worked consistently to deliver its business plan projects which have been endorsed by all its funding partners.
"To date, LLDC has created over 3,000 jobs, delivered over 45,000m2 of new commercial floorspace and has attracted £313m of private sector funding to Liverpool.
"Urban regeneration projects are often complex and long term and it is excellent news that Liverpool is able to make a long term commitment to economic growth in the Strategic Investment Areas."
Liverpool Land Development Company will use the cash to carry on its work over the next two years.
The organisation is made up from the North West Development Agency (NWDA), English Partnerships (EP) and Liverpool City Council, which has applied for the extra funding.
But Liberal Party leader Steve Radford claims it could easily find the money itself by dropping parts of the Edge Lane demolition scheme.
He said: "It is £500,000 at the moment but how do we know that is not going to keep rising?
"We should not be signing blank cheques, particularly when the money could be found quite easily.
"They could reduce their costs and still achieve their objects by re-drawing the Edge Lane scheme.
"There are thousands of homes that are needlessly being demolished under these plans, homes that people do not want to move out of.
"Instead they want more public money. People are deeply unhappy with this scheme, which is one of the main ones it is responsible for."
Work started last month on the contentious Edge Lane scheme which will widen the eastern gateway into the city and see 550 homes built.
Many residents have protested against the changes after the compulsory purchase of 490 homes and 24 businesses.
In April 2003 the city council was awarded £1.5m of European funding to fund LLDC, just under half of the total operating budget.
It has been behind 30 projects in the city but its most high profile are Edge Lane and Liverpool Science Park, which are still a long way from completion.
Liverpool City Council pays for its operating costs and asked the Government Office North West to apply for European funding on its behalf, but was initially told it was reluctant to step in because it felt its budget was sufficient.
But it has now agreed to hand over the £500,000 over a two year period.
The council has also had to increase its own contribution to LLDC by an extra £250,000 a year between now and 2008.
A spokesman for the city council said: "This money is to provide support for all of LLDCs projects, not just Edge Lane.
"The European money is not for meeting housing costs."
LLDC, which was set up in 2003 and runs until 2009, insists money earmarked for capital projects such as Edge Lane could not be used to fund other costs.
A spokeswoman said: "LLDC is very pleased that Liverpool City Council is giving due consideration to the continued support of LLDC in delivering a range of high quality commercial and mixed use schemes across Liverpool.
"LLDC has worked consistently to deliver its business plan projects which have been endorsed by all its funding partners.
"To date, LLDC has created over 3,000 jobs, delivered over 45,000m2 of new commercial floorspace and has attracted £313m of private sector funding to Liverpool.
"Urban regeneration projects are often complex and long term and it is excellent news that Liverpool is able to make a long term commitment to economic growth in the Strategic Investment Areas."