Bushey residents are being short changed by a huge housing development being built yards from the village border, according to two local councillors.

More than 100 houses and flats are being erected at former RAF base Bentley Priory in Common Lane, Stanmore, less than half a mile outside Bushey Heath.

Yet despite its proximity to the development, Hertsmere Council is not set to receive any of the £10million section 106 cash being paid out by the developer to off-set the impact of the 103 new homes.

Bushey Heath representative Paul Morris believes that although the cash will go directly to Harrow Council, the authority under which the development falls, it is Bushey that will bear the brunt of the impact.

He said: “If you were to draw a circle half a mile around the development, the majority would be covered by Bushey Heath. It is by far the closest urbanisation, even more so than Stanmore.

“I’m very concerned about the impact on local infrastructure in particular - there will be greater demand on medical, dental and education services. On one hand it will help retailers with more people shopping in the area but there will be no contributions to mitigate its effects.”

Fellow Bushey Heath Councillor Seamus Quilty said residents were being short changed because under normal circumstances section 106 money would be put back into their community.

He said: “People in the new homes will use our shops, our schools, our libraries and other facilities and we receive nothing – it is wrong.”

Hertsmere Council was consulted about the plans before they were approved in September but Harrow Councillor Keith Ferry says the authority asked for nothing in the way of compensation.

The portfolio holder for planning and economic development said: “In exchange for consent for some new homes, Harrow Council effectively secured £10million in infrastructure contributions, over £9million of which is being used to safeguard the long term future of the historical Bentley Priory site.

“In addition to this, it will contribute towards off site affordable housing, improved healthcare and education facilities and improvements to local roads.

“Hertsmere Council was consulted by Harrow on these proposals and at the time did not request any specific contributions towards improvements in their area.”

A Hertsmere representative said it would be very unusual for section 106 contributions to be paid to neighbouring authorities – a situation Councillor Morris is looking to change.

He added: “We may be too late for this development as it is done and dusted but I think this money should be used in a way that benefits the immediate community, irrespective of which authority it falls under.

“It is something I feel needs to be addressed and I will be meeting with council officers to see if anything can be done.”