BPF tells chancellor what it wants from the Autumn Statement

The planning system must be better resourced, business rates frozen and clarity restored to the net-zero agenda if the private sector is to help boost the UK’s economic growth, the BPF has said. In its submission to government ahead of the chancellor’s Autumn Statement on 22 November, the BPF said “the power of REITs” must also be “unleashed” to invest in renewable energy generation. Chief executive Melanie Leech said: “Ahead of what is likely to be the final Autumn Statement before the next general election, we have submitted to the government a set of practical proposals which could be delivered quickly and make a significant contribution to our shared objectives to drive growth, support housing supply, renew our high streets, and build a green economy. “We urge the government to work in partnership with the property sector to drive growth and unlock much needed investment in towns and cities throughout the country.” The BPF said that growth across the UK could be driven by using capital allowances to boost green investment, ringfencing planning fees to support planning departments, and by encouraging defined contribution pension schemes to invest in commercial real estate. It added that more homes could be delivered by the sector if VAT on repairs and maintenance of residential buildings was zero rated. This, it said, would improve the investment proposition for long-term investors in residential asset classes, such as build-to-rent, purpose-built student accommodation, and social housing. Discounted market rent homes should also be brought within the Community Infrastructure Levy exemption, to support greater provision of key worker housing. The BPF also called for business rates to be frozen for another year, with empty property relief extended to 12 months. It added that a “fresh start” relief should be introduced to incentivise the take up of long-term vacant units. This would take the form of a 12-month business rate relief for new occupiers of vacant units, to remove barriers to occupiers taking on vacant space. The BPF said that the government needed restore clarity to investors in the green economy after its U-turns on net-zero targets. It called for a long-term plan setting out the regulatory milestones, to give property investors confidence. The BPF also said investment rules should be loosened to allow REITs to invest in renewable energy generation for their tenants. To send feedback, e-mail piers.wehner@eg.co.uk or tweet @PiersWehner or @EGPropertyNews