Blog: Friday 19th July 2024 - Capsticks, Corporate Partner

The future of planning under a Labour Government

The July 2024 general election saw a landslide victory for Sir Keir Starmer’s Labour Party. In the first speech by Chancellor, Rachel Reeves, on 08 July 2024, the key message was that in order to achieve economic growth, Britain must get building. The Labour manifesto contains a series of ambitious plans to overhaul the planning system to address the housing crisis and stimulate economic growth which formed the key topic in the Chancellor’s speech.

Central to this are immediate changes to the National Planning Policy Framework (NPPF), including undoing some of the modifications made by the Conservative government in December 2023. It has been claimed that some of these changes could be expected within Labour’s first 100 days in government and a draft revision is anticipated for consultation by the end of the July.

What changes can we expect?

Mandatory housing targets

One of the main criticisms of the December 2023 NPPF reform is the failure to implement a mandatory housing target for Local Planning Authorities (LPAs). Labour pledges to reintroduce mandatory housing targets to help deliver the goal of 1.5 million new homes over the next five years. Part of the broader strategy includes creating a new generation of new towns and large-scale communities. These targets will hold Local Authorities accountable and provide a sustainable metric to meet development goals.

As part of this, Labour plans to deliver the largest increase in social and affordable housing in a generation. This includes strengthening planning obligations to ensure new developments provide a higher percentage of affordable homes and prioritising social rented units and homeownership for first-time buyers. The manifesto also highlights changes to the Affordable Homes Programme to deliver more homes with existing funding and supporting councils and housing associations to expand their capacity.

Investing in Local Planning Authorities

To facilitate these targets, Labour intends to invest in additional planning officers through an increase in Stamp Duty surcharges. With these additional resources, LPAs can streamline the process, reduce bottlenecks, and release more permissions, which are currently delaying housing projects. This will include addressing planning applications being held up by nutrient neutrality issues.

New mechanisms are expected for cross-boundary strategic planning. Combined and Mayoral Authorities will be required to plan for housing growth strategically, ensuring that housing development is coordinated across regions. This approach aims to address housing needs comprehensively and efficiently, leveraging regional collaboration for better outcomes.

Presumption in favour of Sustainable Development

Labour’s manifesto pledges to strengthen the presumption in favour of sustainable development in the NPPF. This presumption applies where the LPA has consistently under delivered housing with out-of-date development plans. Tougher action will also be taken against LPAs that do not have up-to-date Local Plans.

Brownfield first

A significant aspect of Labour's housing strategy is the "brownfield first" approach. This policy prioritises the development of previously developed and unused land, which helps preserve green spaces and reduce urban sprawl. Fast-tracking approvals for urban brownfield sites is seen as a way to quickly bring new homes to market while minimising the environmental impact of new developments.

Protecting the Green Belt

Labour has vowed to protect the greenbelt while recognising that some areas' quality no longer serves its purpose. It proposes a more strategic approach to the designation and release of greenbelt land. This includes prioritising the release of lower-quality ‘grey belt’ land and introducing ‘golden rules’ to ensure that any development benefits the community and the environment.

Of course, many of these changes will involve further updates to the NPPF and to existing legislation.

 

For more information please contact:

Jennifer Eng, Principal Associate: jennifer.eng@capsticks.com

Suzanne Smith, Partner: suzanne.smith@capsticks.com