Scarborough Borough Council’s planning committee approved plans for the development on land to the north of Jackson Close when it met on Thursday.
Persimmon Homes Yorkshire’s plan was back before the committee after being deferred by the previous planning committee in April over concerns about the speed of cars approaching the development and the risk of flooding.
The application was a resubmission of a previous scheme with the same number of homes but with a number of four-bedroom houses being substituted for three-bedroom varieties.
In total, 10 of the homes will be classed as affordable.
Cayton Parish Council and four residents of Jackson Close objected to the plans.
To address the previous concerns of councillors, Scarborough Council will put aside £5,000 to help secure an extension of a 30mph zone in Church Lane to alleviate worries about cars travelling at 40mph.
Cayton ward councillor Simon Green asked the committee to “ensure the new speed limit is enforced” as there was no guarantee the Traffic Regulation Order needed to facilitate a new 30mph zone would be accepted, he added.
The committee was informed by its planning officers that North Yorkshire County Council Highways “acknowledged” the need for the new speed limit but it also heard that no concerns had been raised about the potential for flooding from the Environment Agency, Yorkshire Water or the Lead Flood Authority.
Cllr Green, however, disagreed. He told the committee: “My conclusion is that the application has not altered in any way, there are suggestions but no guarantees. Please do not subject the people of Cayton to more flooding, overflowing sewage and a greater risk of accidents on Church Lane.”
Cllr Roberta Swiers (Con) said that she would like to see the construction vehicles be made to go around, rather than through, Cayton village.
The plans were approved subject to a Section 106 agreement being agreed.