Planning overhauled to meet 1.5 million home target

The UK Government has released its plans for landmark planning changes. Under these plans, councils will be told they must play their part to meet housing need by reaching a new ambitious combined target of 370,000 homes a year.

Government says that the planning changes are “a major boost for communities, turbocharging growth with new, mandatory targets for councils to ramp up housebuilding across the country.”

The planning overhaul aims to tackle the chronic housing crisis once and for all.

Under new planning rules, updated via the National Planning Policy Framework (NPPF):

  • Councils will be told to play their part to meet housing need, with new immediate mandatory housing targets for councils to ramp up housebuilding and deliver growth across the country putting more money in working people’s pockets.
  • Areas with the highest unaffordability for housing and greatest potential for growth will see housebuilding targets increase, while stronger action will ensure councils adopt up-to-date local plans or develop new plans that work for their communities.
  • A new common-sense approach will be introduced to the greenbelt. While remaining committed to a brownfield first approach, the updated NPPF will require councils to review their greenbelt boundaries to meet targets, identifying and prioritising lower quality ‘grey belt’ land.
  • Any development on greenbelt must meet strict requirements, via the new ‘golden rules’, which require developers to provide the necessary infrastructure for local communities, such as nurseries, GP surgeries and transport, as well as a premium level of social and affordable housing.
  • To further tackle the housing crisis, councils and developers will also need to give greater consideration to social rent when building new homes and local leaders have greater powers to build genuinely affordable homes for those who need them most.

Prime Minister Keir Starmer said, “For far too long, working people graft hard but are denied the security of owning their own home. We owe it to those working families to take urgent action, and that is what this government is doing. Our Plan for Change will put builders not blockers first, overhaul the broken planning system and put roofs over the heads of working families and drive the growth that will put more money in people’s pockets.”

A government spokesperson said, “Reform is desperately needed if we are to build 1.5 million homes. Under the current planning framework just under one third of local authorities have adopted a local plan within the last five years and the number of homes granted planning permission had also been allowed to fall to its lowest level in a decade.

“That has to change. Following consultation, areas must commit to timetables for new plans within 12 weeks the updated NPPF or ministers will not hesitate to use their existing suite of intervention powers to ensure plans are put in place.”

Deputy Prime Minister and Secretary of State for Housing, Angela Rayner said, “From day one I have been open and honest about the scale of the housing crisis we have inherited. This mission-led government will not shy away from taking the bold and decisive action needed to fix it for good.

“I will not hesitate to do what it takes to build 1.5 million new homes over five years and deliver the biggest boost in social and affordable housebuilding in a generation.”

Mark Lloyd, Chief Executive of The Rivers Trust, said, “Safe housing is one of our most basic needs for survival and has to be a major government priority. However, so too are water, food, and energy. Planning well for nature alongside communities is the difference between us barely surviving, or thriving. We desperately need a plan for our limited supply of land that takes account of our changing climate and to make sure those plans provide space for green and blue in amongst the development. This is non-negotiable if we are to be ready for increasingly unpredictable weather and have nature to sustain us.”

Beccy Speight, RSPB chief executive, said, “Building affordable new homes and green energy infrastructure while delivering for nature isn’t just possible, it’s essential if we are to achieve sustainable growth and improve our health and wellbeing, while tackling the nature and climate crisis.

“Every new study, every piece of scientific research shows UK nature is in freefall. There are undoubtedly moves in the right direction but this framework still falls well short of the bold, ambitious action required. Maintaining the status quo is as good as throwing in the towel for nature and the price of that is one we simply can’t afford to pay.

“The government’s wider reforms to the planning system over the coming months must seize the opportunity to restore nature and deliver the thriving, wildlife-rich homes and communities we all deserve. Now is the time for ambition and positive action.”

National Planning Policy Framework consultation
The government has also published its full response to the National Planning Policy Framework consultation.

It says that the new annual housing targets continue to total an ambitious 370,000 across England, with higher mandatory targets in those places facing the most acute affordability.

Drawing on over 10,000 responses to the consultation and extensive engagement across the housing sector, the NPPF published today contains a number of refinements to the proposals set out in the summer.

The government also consulted on increasing planning fees for householder applications and other applications, alongside allowing local authorities to set their own fees.

Eligible local planning authorities are invited to submit an Expression of Interest by 17 January 2025 to request a share of the £14.8 million grant funding, supporting them with local plan delivery and green belt reviews.

As part of its relentless focus to get Britain building again, the government says that it has already:

  • Launched a New Homes Accelerator to unblock thousands of homes stuck in the planning system.
  • Set up an independent New Towns Taskforce, as part of a long-term vision to create large-scale communities of at least 10,000 new homes each.
  • Awarded £68 million to 54 local councils to unlock housing on brownfield sites.
  • Awarded £47 million to seven councils to unlock homes stalled by nutrient neutrality rules.
  • Announced an additional £3 billion in housing guarantees to help builders apply for more accessible loans from banks and lenders.
  • Extended the existing Home Building Fund for next year providing up to £700 million of vital support to SME housebuilders, delivering an additional 12,000 new homes.

The government has published its first working paper for the Planning and Infrastructure Bill, seeking views from a range of planning, housing and local experts before finalising proposals details for planning committees.

This will be followed by a formal public consultation on these detailed proposals to coincide with the Bill’s introduction next year.

The government’s golden rules for planning: 

  • Brownfield first
  • Grey belt second
  • Affordable homes
  • Boost public services and infrastructure
  • Improve genuine green spaces
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