14
NAVIGATING THE NEW PLANNING REFORMS
Alec Cropper Partner at planning law fi rm Walton & Co
Alec Cropper of Walton & Co gives the prognosis for meeting Labour’s 1.5 million new homes goal, and the key changes needed in the housebuilding sector.
F
ollowing its victory in the 2024 General Election, the Labour Government has put housebuilding and economic growth at the forefront of its agenda. Describing the need to see more homes being built as a ‘moral obligation,’ the Government has announced a raft of proposed planning reforms that are intended to facilitate the building of 1.5 million new homes.
A NEW APPROACH TO CALCULATING HOUSING NEED
The Government announced a consultation on revisions to the National Planning Policy Framework (‘NPPF’) in July. Amongst the proposed changes was the introduction of a new ‘Standard Method’ for assessing housing need in England.
The current methodology involves calculating the projected household growth for the next 10 years using 2014 household projections, which are then adjusted to take account of affordability. Caps and urban uplifts may also be applied as circumstances require. The current method is designed to provide a total of approximately 305,000 net additional homes per annum.
THE LABOUR GOVERNMENT HAS NOW PROVIDED FURTHER DETAIL AS TO WHAT ‘GREY BELT’ LAND IS
WWW.HBDONLINE.CO.UK
The proposed new Standard Method would utilise a baseline set at a percentage of existing housing stock levels, and apply an uplift based on median workplace-based affordability ratios. Government calculations indicate that application of this new methodology would generate a total of circa 370,000 net additional homes per year. Most councils will therefore see a notable increase in the number of homes it needs to plan for, with 90% of local planning authorities outside of London needing to increase their current housing need fi gures. The new Standard Method would also be required to be used by councils to assess housing needs in their areas, rather than being an advisory starting point as is currently the case. Housebuilders and developers will therefore want to consider how the introduction of any new housing need methodologies affect the areas in which they have an interest.
INTRODUCTION OF THE GREY BELT The concept of the ‘grey belt’ was discussed prior to the General Election. The Government has now provided further detail as to what grey belt land is, and how it can contribute to housing delivery.
he consultation version of the defi nes grey belt as brownfi eld land in the green belt that makes a “limited contribution” to the fi ve purposes that green belt land is epected to serve. owever, land located within specifi c protected areas (such as Areas of Outstanding National Beauty, National Parks, or habitats sites) are excluded.
Development of grey belt land for residential purposes would be appropriate where the site is in a sustainable location, the local planning authority cannot demonstrate a fi ve year housing land supply, and the following “golden rules” are met: • At least 50% of the dwellings are secured as affordable housing (subject to viability);
• Necessary improvements would be made to local or national infrastructure; and
• New, or improvements to existing green space would be provided.
The proposed introduction of the grey belt represents a marked shift toward encouraging development of ‘low performing’ sites within the green belt to meet housing needs. However, developers will need to be confi dent that schemes can satisfy the above requirements. Arguments as to the extent to which potential grey belt land contributes to the fi ve green belt purposes and whether sites are in a sustainable location may also provide potential planning battlegrounds.
GREEN BELT OPPORTUNITIES & HURDLES The proposed revisions to the NPPF make clear that exceptional circumstances for altering green belt boundaries through the plan- making process include where housing needs cannot be met through other means. In such circumstances, authorities will need to alter green belt boundaries to meet their needs in
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