Industry welcomes Rayner making ‘planning policy a priority’

The real estate sector has welcomed Angela Rayner’s proposed changes to the National Planning Policy Framework to increase housing delivery in the UK. In a speech in the House of Commons, the deputy prime minister and secretary of state for housing, communities and local government said the housing target has been increased to 370,000 homes a year. She further said that councils will have to review their green belt designations if the government needs more land to meet housebuilding targets. However, she said that, as part of her radical planning changes, she wanted councils to build on “grey belt” areas first. Rayner confirmed there would be “golden rules” for development on the green belt, with 50% of homes built on it being affordable. She also said the government would work closely with local authorities to deliver a “council house revolution”. She said: “Delivering economic growth is our number one mission. It’s how we will raise living standards for everyone, everywhere. The only way we can fix our public services. So today I am setting out a radical plan to not only get the homes we desperately need, but also drive growth, create jobs and breathe life back into towns and cities. “We are ambitious, and what I say won’t be without controversy, but this is urgent because this Labour government is not afraid to take on the tough choices needed to deliver for our country.” Industry responses Rick de Blaby, chief executive, Get Living “For too long the planning system has been a drag on delivery, affecting both investor appetite and crippling supply in areas that desperately need new homes for sale and rent. The new government has recognised this and wasted no time in putting forward solutions. “The country needs a simplified approach to planning that not only removes existing barriers but has an expanded understanding of the types of homes, neighbourhoods and infrastructure needed. We welcome the government’s decision to make planning policy a priority and the revised NPPF will pave the way for the provision of the high-quality homes the country urgently needs to alleviate our current housing and rental crisis.” Melanie Leech, chief executive, British Property Federation “This is an ambitious package of proposed changes to make the current planning system work better while Labour develops plans for longer-term and more radical reform. These measures send a clear signal of intent to deliver more homes. We need a multi-tenure approach to tackle the chronic housing supply shortage which sees social and affordable housing, homes for sale, and build-to-rent firing on all cylinders. We are therefore particularly pleased to see that, as part of the draft revised NPPF, government will double down on encouraging every part of the housing sector to play their full role in building the homes we need. “The planning system is also the key enabler of growth and delivering the UK’s net zero commitments. We fully support action to improve the NPPF’s approach to planning for decarbonisation of the electricity grid, and for economic and employment uses such as the critical logistics space that keeps the UK running. In many cases, planning for our logistics facilities requires a ‘larger than local’ approach so it is positive that the consultation focuses on improving strategic planning in the short term through immediate reform to the NPPF, as well as exploring the government’s more longer-term strategic planning agenda. “The success of these proposed changes very much depends on local authorities, and the government is right to focus on the importance of having up-to-date local development plans in place and delivering greater consistency in decision-making. Looking ahead to the autumn Budget, the government must also ensure that the planning system has the necessary resources and skills to deliver.” Helen Gordon, chief executive, Grainger “It is positive to see the Labour government hit the ground running with today’s housing and planning reform proposals, which is an important first step in achieving its target of delivering 1.5m new homes. In particular, the emphasis on a multi-tenure approach, where councils will need to determine and plan for local housing need for home ownership, private rental and affordable homes, is very welcome. Today’s proposals will support our plans to develop over 5,000 new homes, and our ambitions to go well beyond this.”  Josie Parsons, chief executive, Local Space “With the highest number of children living in temporary accommodation since records began 20 years ago and homelessness putting many councils, especially within London, under huge financial pressure, we strongly welcome today’s commitment to delivering far more social housing as part of the drive to get Britain building the homes we need.” Craig Carson, managing director, Barratt West London “The prioritisation of brownfield and the new grey belt land will help unlock large swathes of land for development, including former car parks and commercial units. This will be particularly beneficial in the outer boroughs of London, such as Barnet, Harrow, Ealing, Newham and Brent, alongside more central locations such as Southwark, ensuring developers can accelerate build programmes and deliver much-needed high-quality, sustainable homes for Londoners. It is vital that the new government works with the mayor to create a pro-development environment and offer support to first time buyers and young families to be able to get a foot on the ladder in the capital.” Barry Jessup, managing director, Socius “Labour is right to put planning reform at the heart of its plan for growth but changes to the NPPF should not focus on housebuilding alone. To create vibrant and sustainable places, we need to deliver jobs, local infrastructure and community amenities as well as much-needed homes of all tenures. “To allow developers to be more creative in bringing forward urban, mixed-use schemes we need less-restrictive national policy and building regulations, as well as greater flexibility across use classes so that we can deliver adaptable and multi-use buildings. Alongside this, there must be long-term commitment to boosting planning resources and skills to reduce delays and ensure departments are fully equipped to make increasingly complex judgments. “Government has no fiscal headroom but there are still opportunities to ease some of the financial challenges developers and local authorities face. Moving CIL payments to the end rather than beginning of the development process would support developer cash flow and ensure fewer schemes stall at an early stage, while allowing local authorities to retain more business rate revenue would create a strong incentive to support commercial development. “Finally, with Labour setting a bold 2030 target, it is imperative we embed stronger incentives for sustainable development within national planning policy. The draft NPPF is a missed opportunity and we hope government looks further at how to set a policy framework that rewards developers that go above and beyond.” Justin Young, chief executive, RICS “Setting localised housing targets to ensure that what is needed is built in the right places and with the right infrastructure, and working with local authorities that know their areas better than anyone, will help secure the bold ambitions of government as well as providing jobs and opportunities. It is further good news that local plans will be reviewed, and MHCLG will assist and step in where needed, as we have previously called for. “We have been calling for a greenbelt review, and applaud the introduction of clear, golden rules for grey belt. The proposed system of brown, grey, then green, should protect community spaces and secure needed but not unnecessary development. “Planning reforms are a pullable policy lever for boosting economic productivity, and legislation that increases housing delivery across tenures, including affordable housing, will move the dial for those in need.” Simon Farnsworth, managing director, Life Science REIT “Life sciences is a flagship UK growth industry and the new government’s promise to make it easier to build labs across the country is an important and welcome one. With the delivery of new homes and supporting infrastructure largely dominating the National Planning Policy Framework, today’s commitment around labs and digital infrastructure suggests that Labour is alert to the potential of this industry to drive economic growth. “The country is in desperate need of a simplified approach to planning. If we are to realise our ambition of becoming a scientific superpower, it is critical we have purpose-built and high-quality space available, with access to power, that meets the sector’s evolving needs and requirements. The next step is for the government to provide more detail on how they will help accelerate new delivery.” Marc Vlessing, chair, Pocket Living “The changes announced within the draft revised NPPF are certainly a welcome strong step in the right direction in this new government’s attempt to get more homes built. But they are only a step as we await the more radical thinking that will be needed to achieve this uplifted target of 370,000 homes per year. Thinking such as mass public land release, CPO reform, and special powers for new development corporations. “In the meanwhile, the focus on creating a more permissive planning regime to unlock small brownfield sites is to be welcomed and is a call we have been leading on for nearly three years. Such a policy could unlock hundreds of thousands of new affordable homes across England without costing the Treasury a penny. We also need to be clear on the type of affordable homes we need to build. Yes, to more social rent, but that should not be at the expense of affordable homes to buy given Labour’s commitment to becoming the party of homeownership.” Honor Barratt, chief executive, Birchgrove “Angela Rayner’s plans for how Labour intends to increase housebuilding are laudable, but we believe part of the solution to the housing crisis is making better use of the homes we already have. “There has been a lot of focus on the lack of affordable homes in Labour’s announcements so far, but nothing about the similarly pressing issue of the lack of housing suitable for seniors. “Senior housing needs to be moved onto the political agenda as it’s a key part of the solution to this country’s housing crisis. Two-thirds of over-65s have at least two empty spare bedrooms in their home, which equates to 9m empty bedrooms every night. “A significant number of these people would move to smaller properties if more suitable senior living was widely available. This would free up many larger properties and have a knock-on effect on the entire housing market.” Mark Allan, chief executive, Landsec  “This is an extensive set of measures which tackle many of the issues we face within the planning system. I am particularly pleased to see the increased focus on brownfield land and the recognition of the role mixed-use and commercial development plays in driving economic growth and housing delivery.  “It is now up to our industry and our partners in local government to rise to this challenge and maximise the opportunities presented by development, not only by delivering homes and growth, but also by ensuring that growth works to unlock opportunities for people across the country.” Simon Carter, chief executive, British Land “There is no silver bullet to solve the housing crisis and return the country to long-term sustainable economic growth. The government will need to deploy a range of tools to do this. The changes to national policy announced today are an important first step to put us back on the path to growth, combining a targeted approach to greenbelt release, while reaffirming the presumption in favour of brownfield development, enabling viable development across a mix of tenures, and giving greater weight to critical infrastructure delivery in strategically important sectors, such as science and technology and renewables. “As a business, we have consistently advocated for practical, deliverable planning reforms, to ensure faster, more reliable planning decisions, and welcome the other measures announced today to improve performance and decision-making and provide a more predictable planning service across the country.” Photo by Toby Shepheard/Story Picture Agency/Shutterstock