Dunelm homes said it had full planning and technical approval for the whole of the Newburn flats site. The company said an agreement was signed in 2008 that committed Newcastle City Council to adopt the roads and the culvert which flooded, subject to construction standards being met.
It said the roads and culvert were due to be adopted subject to final inspections by the Council in summer 2012. But Dunelm said the process had been suspended and responsibility for both the roads and culvert at Spencer Court and Millvale remain in its hands.
Dunelm Homes will make goodwill payments to Newburn flat residents out of pocket when they were evacuated following last week's flooding in Newcastle. Claimants will have to fill out a form.