The Deputy Prime Minister and Housing Secretary Angela Rayner is set to announce sweeping changes to the planning system in England today, as part of the Government’s drive to build 1.5 million new homes.
The Local Government Association, who represent a total of 317 councils in the country, have called for the new government to scrap the current system, which sees local councils apply for specific funds, and give different regions more room to start new building projects.
The LGA have said they want funding for the Housing Infrastructure fund, the Brownfield, Infrastructure and Land fund and the Affordable Homes programme among others to be consolidated. The singular pot of money would then be distributed out to local authorities.
The call comes ahead of an announcement from deputy prime minister Angela Rayner on Tuesday which is expected to overhaul planning rules to get Britain building – as is the Labour government’s new mantra.
However there are concerns that changes to the planning system will create a ‘disconnect’ if local plans are not updated. There is also anticipation that increasing housing targets ‘should result in more housing allocated sites’.
Fergus Charlton, a partner in law firm Michelmores’ planning practice, comments on what we know about the government’s plans so far:
“Increasing the housing targets combined with pressure to produce new local plans should result in more housing allocated sites. Allocated sites ought to have an easier ride through the planning system, meaning increased certainty.
“But if local plans are not updated there will be disconnect between the allocation housing numbers in the out-of-date local plans and the new mandated targets. That will encourage developers to appeal planning refusals.
“Identifying sites for allocation will put pressure on recipient local communities and the green belt, so increasing the housing targets will be controversial.
“Increasing the affordable housing targets is welcome where there is a shortage of affordable homes. However the right balance needs to be struck. The existing model requires these are sold to registered providers of social housing at a discount from market rates. These so called ‘section 106 units’ are part of the ‘planning gain’ arising from the grant of planning permission. Sharing that planning gain is a zero sum game: if affordable housing increases, what will suffer? Contributions to fund education or infrastructure? The land owner’s uplift? A reduction in developer’s profit would be a poor outcome if that resulted in otherwise viable housing schemes not coming forward.”
