The Government has set out plans to overhaul an ‘outdated’ planning system and reform the way the country builds, as well as confirming a 30% purchase discount for local buyers, first time buyers and key workers.
The landmark changes will transform a system that has long been criticised for being too sluggish in providing housing for families, key workers and young people and too ineffectual in obligating developers to properly fund the infrastructure – such as schools, roads and GP surgeries – to support them.
Valued green spaces and Green Belt will continue to be protected for future generations, with the reforms allowing for more building on brownfield land.
Housing Secretary Robert Jenrick MP said:
“Our complex planning system has been a barrier to building the homes people need; it takes seven years to agree local housing plans and five years just to get a spade in the ground.
“These once in a generation reforms will lay the foundations for a brighter future, providing more homes for young people and creating better quality neighbourhoods and homes across the country. We will cut red tape, but not standards, placing a higher regard on quality, design and the environment than ever before. Planning decisions will be simple and transparent, with local democracy at the heart of the process.
“As we face the economic effects of the pandemic, now is the time for decisive action and a clear plan for jobs and growth. Our reforms will create thousands of jobs, lessen the dominance of big builders in the system, providing a major boost for small building companies across the country.”
The reforms will mean:
- Local communities will be consulted from the very beginning of the planning process. By harnessing the latest technology through online maps and data, the whole system will be made more accessible
- Valued green spaces will be protected for future generations by allowing for more building on brownfield land and all new streets to be tree lined;
- Much-needed homes will be built quicker by ensuring local housing plans are developed and agreed in 30 months – down from the current 7 years
- Every area to have a local plan in place – currently only 50% of local areas has a plan to build more homes
- The planning process to be overhauled and replaced with a clearer, rules-based system
- A new simpler national levy to replace the current system of developer contributions which often causes delay
- The creation of a fast-track system for beautiful buildings and establishing local design guidance for developers to build and preserve beautiful communities
- All new homes to be carbon neutral by 2050, with no new homes delivered under the new system needed to be retrofitted
The Housing Secretary also confirmed today that The First Homes scheme will provide newly-built homes at a 30% discount for local people, key workers and first-time buyers. The discount will be locked into the home in perpetuity, ensuring future buyers can continue to benefit from it.
A new and simpler system of developer contributions will also ensure private firms play their part in funding the new infrastructure and Affordable Homes that should accompany new building. Section 106 agreements and the Community Infrastructure Levy will be replaced with a new Infrastructure Levy that will be a fixed proportion of the value of the development, above a set threshold, helping to deliver more affordable housing.
Revenues would be spent locally on projects such as new roads, upgraded playgrounds and discounted homes for local, first-time buyers.
Towns and high streets will also benefit from renewed development. The reforms will speed up and simplify the process, breathing new life into vacant commercial properties and industrial spaces and, where desirable, transforming them into new homes.
Under the plans, land will be designated into one of three categories – for growth, for renewal or for protection. Communities will set the agenda for their own areas, with the categories for all land across England decided through local consensus. Decisions on the Green Belt will stay with local authorities as they prepare their plans, so that we can continue to protect and enhance these important areas for generations to come.