Planning and Infrastructure Bill: the key headlines

On 11th March 2025, the Government introduced the Planning and Infrastructure Bill, aiming to expedite housing development and major infrastructure projects. The Bill sets a target of constructing 1.5 million homes by the end of this parliamentary term and seeks to streamline the approval process for over 150 significant infrastructure initiatives, including roads, railways, and renewable energy projects.

Key provisions of the Bill include:

Planning:

• The Bill includes provisions that will allow local planning authorities to set their own planning fees (capped at cost recovery).

• A ‘national scheme of delegation’ for planning decisions in England will be introduced, that will set out which planning functions should be delegated to planning officers for a decision and which should go instead to a planning committee or subcommittee. Committee members will be required to undertake mandatory training before they can take planning decisions.  It is hoped that this ‘national scheme of delegation’ will help provide a greater degree of certainty in decision making.

• The Bill introduces Strategic Planning Authorities (‘SPAs’), these will be strategic planning boards, combined authorities, combined county authorities, upper-tier county councils or a unitary authority (for areas in England). SPAs will be required to prepare a Spatial Development Strategy (‘SDS’), which will form part of an authority’s development plan. The Bill sets out various requirements for SDSs and they will be required to contribute to climate change mitigation, and take account of any local nature recovery strategy.  The Bill sets out the procedure for the preparation and adoption of SDSs, and gives the Secretary of State powers to intervene.

Infrastructure:

• National Policy Statements (‘NPS‘) to be reviewed and updated every five years, with a more streamlined process for parliament to make changes to NPSs where needed outside of the formal review process;

• Changes to the pre-application and acceptance stages for Development Consent Order (‘DCO’) applications, intended to make consultation requirements more proportionate.

• Reforms to the judicial review process as it relates to NSIPs, including the removal of the paper permission stage for challenges to NPSs and DCOs, and limits on appeals in cases deemed totally without merit.

• Provisions to allow renewable energy schemes on forestry land and to give financial incentives to the both the development of long-term energy storage schemes, and separately, to local communities to accept the development of pylons or other “energy transmission infrastructure” in their area.

Nature Restoration:

• The Bill establishes the Nature Restoration Fund, an alternative approach for developers to meet certain environmental obligations relating to protected sites and species.

• It allows Natural England (or another designated delivery body) to bring forward Environmental Delivery Plans, which would set out conservation measures to be carried out at a strategic level within an area. The measures would be funded by a ‘Nature Restoration Levy’ paid by developers.

Development Corporations:

• The Bill seeks to enable greater flexibility for development corporations in terms of the variety, extent and types of the geographical areas over which they can operate.

• It also seeks to update and standardise the types of infrastructure development corporations can deliver, including heat networks.

• Improve collaboration between development corporations and local transport authorities, through a new duty to cooperate, which will ensure that new towns are seamlessly integrated into the wider spatial plan for the area. Where appropriate, the Bill will ensure that development corporations are able to exercise transport planning functions to achieve this goal.

Compulsory Purchase:

• Allowing statutory notices related to CPOs to be delivered electronically.

• Simplifying the information required in newspaper notices.

• Increasing delegation of decisions to streamline the CPO process.

• Enabling quicker vesting of land and properties.

• Reforming the loss payments regime to improve efficiency and cost-effectiveness.

Conclusion

The Bill is a lengthy complex document that sets out a number of provisions that will have implications on the planning system, particularly through the introduction of an additional strategic tier of planning. Proposed changes to regularise determination of planning applications will hopefully provide applicants and developers with a greater degree of certainty that their applications will be positively determined and may therefore encourage investment in this respect. Proposals for infrastructure and DCOs offer potential for a more streamlined approach to enabling major infrastructure projects to come forward.  Please do contact one of our team members if you would like to know more about the new Planning and Infrastructure Bill.

 

Article prepared by: Raveen Bhamra & Jeannie Banks. Please contact the Firstplan team at info@firstplan.co.uk.

 

New Planning Controls on Short-Term Lets

The Department for Levelling Up, Housing and Communities (DLUHC) has announced proposed changes to short-term lets in England, which should come into effect from this summer. As part of these changes, people may be required to apply for planning permission from their local authority to turn their home into a short-term let. The rules will not apply to people renting out their main home for less than 90 nights a year.

The announcement follows on from the Government’s consultation, launched in April 2023, in respect of changes to planning measures that would help local areas have greater ability to control any future increase in the number of short-term lets in their area and support the retention of existing properties to buy or to rent.

The proposed planning changes would see a new planning ‘use class’ in England – Use Class C5 ‘short term let’ –for future short-term lets that are not used as a sole or main home. Under proposed Use Class C5, a short-term let can be defined as the “use of a dwellinghouse that is not a sole or main residence for temporary sleeping accommodation for the purpose of holiday, leisure, recreation, business or other travel”.

Existing dedicated short-term lets will automatically be reclassified into the new use class and will not require a planning application.

The Government also intends to introduce associated permitted development rights – one allowing for a property to be changed from a short-term let to a residential dwelling, and a second that would allow a residential dwelling to be changed to a short-term let. There are currently no further details on the wording of these permitted development rights, however, local planning authorities would be able to remove these permitted development rights through the implementation of Article 4 Directions in areas where there is already an abundance of short-term lets.

In addition, a new mandatory national register will be introduced which will allow local authorities to keep track of the number and distribution of short-term lets across England.

The proposed measures are focussed on short-term lets, and therefore the planning changes and the register will not affect hotels, hostels or B&Bs.

Calls have previously been made by MPs representing popular holiday destinations, such as Cornwall, the Lake District and Norfolk, for stronger regulations around short-term lets on the basis that the increased numbers of these have resulted in difficulties for local people finding an affordable place to live within their communities.

In a statement, DLUHC said that “These changes are part of a long-term plan to prevent a ‘hollowing out’ of communities, address anti-social behaviour and ensure local people can continue to live in the place they call home”.

Under the reforms, Councils will be given greater power to control short-term lets by making them subject to the planning process. This should allow local communities to “take back control and find the right balance between protecting the visitor economy and ensuring local people get the homes they need”.

DLUHC said that further details on the measures will be set out in the Government’s responses to the consultations, which are due to be published this summer. In addition, this would include the timeline for implementation of the register, the new use class and the proposed permitted development rights. These changes are proposed to be introduced from this summer.

 

Article prepared by Raveen Bhamra

Raveen Firstplan

Class E to Residential (Class MA) – Further amendments come into effect (March 2024)

When ‘Class MA’ of the General Permitted Development Order (GDPO) came into force in 2021, it provided the mechanism to widen the scope for buildings to be converted to new homes without planning permission. The introduction of Class MA allowed for any building within Use Class E (commercial uses such as shops, restaurants, offices, gyms, etc.) to be converted to a residential use via a prior approval process. Like many permitted development rights, a number of conditions and limitations were applied to the legislation. Two notable exemptions were the requirements for a subject property or building to be vacant for three months prior to any application for prior approval, and a floorspace cap of 1,500sq.m GIA, above which Class MA was not applicable.

On 14th February 2024, following a public consultation undertaken last year, the Government further loosened the requirements by scrapping the three-month vacancy requirement and the ‘cap’ of 1,500sq.m for any application for prior approval submitted on or after 5th March 2024. There is now no cap to the floorspace which can be converted under Class MA, and no requirement for the building to be vacant for three months prior to the application being submitted. The intention of removing these restrictions is to allow more under-used Class E buildings to be converted to residential use, in turn providing a boost to the supply of homes.

The Government’s explanatory memorandum accompanying the changes explains that the flexibility of these permitted development rights should make an important contribution to the supply of homes. In the eight years to March 2023, permitted development rights for this change of use have delivered 102,830 new homes. This included 9,492 homes in the last year, which accounted for 4% of the overall housing supply in England.

The remainder of the Class MA prior approval requirements and tests will still apply. Significantly, the changes will not affect properties that are currently the subject of Article 4 Directions, which prevent the use of buildings for Class MA or where restrictive planning conditions are in place.

If you have any questions about Class E-to-residential PD rights or Class E uses more generally, please feel free to contact a member of the Firstplan team.

 

Article by Myranda Morrison

Consultations for changes to permitted development rights and strengthening planning policy for brownfield land

The Government has announced two consultations on changes to permitted development rights and strengthening the planning policy approach for developing brownfield land. Both consultations started on 13th February 2024 and run with different consultation lengths, details of which are provided below. We provide a brief overview of these below, and the Firstplan team would be happy to provide further advice on any queries clients may have.

Changes to Permitted Development Rights

This Consultation will last for eight weeks, from 13th February to 9th April 2024. It proposes changes to the Town and Country Planning (General Permitted Development) (England) Order 2015 (as amended).

The key changes proposed include:

1. Changes to certain permitted development rights which enable householders to improve and enlarge their homes. Householder permitted development rights enable householders to carry out various works to improve, extend, and alter their homes without planning permission. The consultation proposes to allow householders to build certain larger extensions. Some of the proposals include:

a) Smaller single storey rear extensions:

 – For a detached house, a proposed increase of the maximum depth from 4 metres to 5 metres.

 – For all other houses, an increase of the depth permitted from 3 metres to 4 metres.

b) Two-storey rear extensions:

 – An increase of the maximum depth to 4 metres.

 – A change in the limitation that extensions should be a minimum of 7 metres from the boundary of its curtilage (which is opposite the rear wall of the house being enlarged) so that it only applies if the adjacent use is residential. This limitation would not apply where the adjacent use is non-residential.

The consultation also proposes to allow flexibility for loft extensions; additions and alterations to the roof; and flexibilities to permit bin and bike stores in front gardens. Details can be found on the link provided below.

2. Changes to the building upwards permitted development rights which enable the upward extension of a range of existing buildings. This includes a proposed amendment to remove/alter the limitation restricting upward extensions on buildings built before 1 July 1948. Additionally, the consultation welcomes feedback on the effectiveness of permitted development rights for the construction of new dwellinghouses on a freestanding block of flats (under Class A of Part 20), particularly regarding the impact of this limitation on leaseholders who own a unit within a block of flats.

3. Changes to the permitted development right which allows for the demolition of certain buildings to be rebuilt as homes. The proposed amendments relate to an existing permitted development right (under Class ZA of Part 20 of the Town and Country Planning (General Permitted Development) (England) Order 2015) which allows for the demolition of certain single detached buildings and the construction of a block of flats or a single detached dwellinghouse in its place. In this respect, the consultation seeks views on:

 – The removal of the limitation restricting the permitted development right to buildings built on or before 31 December 1989;

 – An amendment to introduce a limit on the maximum age of the original building that can be demolished; and

 – Views on whether the Class ZA rebuild footprint for buildings originally in use as offices, research and development and industrial processes should be allowed to benefit from the Class A, Part 7 permitted development right, which allows for certain types of extensions and alterations to a shop, financial or professional service establishment, at the time of redevelopment only.

4. Changes to the permitted development rights which enable the installation of electrical outlets and upstands for recharging electric vehicles.

5. Changes to the permitted development right for the installation of air source heat pumps.

Details can be found at: Changes to various permitted development rights: Consultation – Gov.uk

Strengthening Planning Policy for Brownfield Land

Separately, the Government has announced that as part of its long-term plan for housing, Councils in England will be instructed to prioritise brownfield developments and be more flexible in applying policies that prohibit housebuilding on brownfield land.  This consultation seeks to gather views on the proposed approach to updating planning policies relating to brownfield land in the National Planning Policy Framework, as well as reviewing the threshold for referral of applications to the Mayor of London.

The consultation will run from 13th February until 26th March 2024.

Three proposals are identified in the document:

1. Changes to national planning policy to give significant weight to the benefits of delivering as many homes as possible and take a flexible approach in applying planning policies or guidance relating to the internal layout of development. The Government proposes a change to make clear that when Local Planning Authorities are considering planning applications, significant weight should be given to the benefits of delivering as many homes as possible, especially involving land which is previously developed.

The change is proposed through additional wording to Paragraph 129c) of the NPPF as shown below:

“local planning authorities should refuse applications which they consider fail to make efficient use of land, taking into account the policies in this Framework, especially where this involves land which is previously developed. In this context, when considering applications for housing, authorities should give significant weight to the benefits of delivering as many homes as possible and take a flexible approach in applying planning policies or guidance relating to daylight and sunlight and internal layouts of development, where they would otherwise inhibit making the most efficient use of a site(as long as the resulting scheme would provide acceptable living standards).”

2. Changes to the way the Housing Delivery Test operates in the 20 towns and cities subject to the 35% uplift in the standard method. This would introduce an additional presumption trigger where their Housing Delivery Test score falls below 95%.

The presumption in favour of sustainable development is applied in specific circumstances, including as a result of the Housing Delivery Test (HDT), which assesses how well local authorities are delivering against their housing requirement.  The HDT is an annual measurement of housing delivery in the area of relevant plan-making authorities. The Housing Delivery Test applies a sequential approach to local authorities scoring below 95% having to produce an action plan, below 85% having to apply a buffer and below 75% being subject to the presumption.

The guidance currently states that for applications relating to the provision of housing, any local authority that scores below 75% in the Housing Delivery Test will be subject to the presumption in favour of sustainable development.

The proposed amendment would introduce an additional presumption trigger of 95% on previously developed land only and would apply to those 19 local authorities and all London Boroughs subject to the urban uplift (set out in Paragraph 62 of the National Planning Policy Framework 2023). [1]

It is proposed that this change could be made through amendments to footnote 8 of the National Planning Policy Framework (2023) which could read:

“This includes, for applications involving the provision of housing, situations where:  

(a) the local planning authority cannot demonstrate a 5 year supply (or a 4 year supply, if applicable, as set out in paragraph 226) of deliverable housing sites (with a buffer, if applicable, as set out in paragraph 77) and does not benefit from the provisions of paragraph 76; or

(b) where the Housing Delivery Test indicates that the delivery of housing was below 75% of the housing requirement over the previous 3 years; or

(c) for applications on previously developed land in those cities and urban centres subject to the uplift in the standard method (as set out in paragraph 62), the Housing Delivery Test indicates that the delivery of housing was below 95% of the housing requirement over the previous 3 years.”

3. Reviewing the threshold for referral of applications to the Mayor of London. The current threshold is 150 residential units, regarded in the consultation notes as low and requests views on a higher threshold. Options of 300, 500, 750 and 1000 are put forward as options in the consultation.

The Consultation can be found at: Strengthening planning policy for brownfield development – Gov.uk

Article by Orla Thompson

Orla

 

[1] The 19 cities select for the uplift in 2020 (excluding London) include: Birmingham, Liverpool, Bristol, Manchester, Sheffield, Leeds, Leicester, Coventry, Bradford, Nottingham, Newcastle upon Tyne, Stoke-on-Trent, Kingston upon Hull, Southampton, Plymouth, Derby, Reading, Brighton and Hove, and Wolverhampton.

The Levelling-up and Regeneration Act Update

The Levelling-up and Regeneration Act (‘the Act’) received Royal Ascent on 26th October 2023. It proposes some wide-ranging changes to the planning system. It brings together proposals from both the Levelling-up White Paper and the ‘Planning for the Future’ White Paper (often referred to as the ‘Planning White Paper’). Michael Gove, the Secretary of State for Levelling Up, Housing and Communities, has stated that the Government’s “landmark Levelling-Up and Regeneration Act will deliver more homes for communities across the country and unleash levelling up in left-behind places.”

We set out a summary of the key points of this important new legislation below.

Introduction of Section 73B

The Act introduces a new Section 73B to the Town and Country Planning Act 1990, expanding existing powers under sections 73 and 96A to vary or remove planning conditions attached to planning permissions or non-material amendments to planning permissions. Section 73B offers a new way of varying an existing planning permission, allowing greater flexibility for making ‘non-substantial changes’ to extant planning permissions. Consideration can only be given to the specific changes which have been applied for under a Section 73B application (as is the case with current Section 73 applications).

Design Codes

Local planning authorities will now be required to have a design code in place covering their authority areas. These area-wide codes will act as a framework, for which subsequent detailed design codes can come forward, led either by local planning authorities, neighbourhood planning groups or by developers as part of planning applications. Design codes can be included in Local Plans or as Supplementary Plans (see below).

National Development Management Policies

In regard to the hierarchy of planning policy, the Act proposes the introduction of National Development Management Policies (NDMPs), meaning that ‘issues that apply in most areas’ will now be covered by a new suite of national policies, rather than through Local Plans. The scope of local plans will therefore be limited to ‘locally specific matters’, which should, at least in theory, make Local Plans quicker and easier to produce.

As set out in the supporting legislation text, “general policies on issues that apply in most areas (such as general heritage protection) will be set out nationally and contained in a suite of National Development Management Policies (NDMPs), which will have the same weight as plans, so that they are able to be fully taken into account in decisions.” Ministers will be required to have regard to the need to mitigate and adapt to climate change in the preparation of the NDMPs. Once published, the NDMPs will be subject to public consultation.

Duty to Co-Operate and Supplementary Plans

The Act abolishes the principle of ‘Duty to Co-Operate’, which requires LPAs to co-operate with each other during the plan-making process, and replace Supplementary Planning Documents (SPDs) with Supplementary Plans, which will be used to identify site-specific policies or area-wide design codes. Unlike SPDs, Supplementary Plans will carry the same weight as Local Plans in the determination of planning applications.

Commencement and Completion Notices

The Act will make it easier for local planning authorities to issue a completion notice to require developers to complete their projects. The changes to the completion notice system (Section 112 of the Act) are designed to speed up the completion notice procedure, make it more efficient, and use it as a mechanism to encourage developers to progress construction works.

In addition, Section 111 of the Act introduces commencement notices which will need to be served on a local planning authority by the person proposing to carry out a development, before it is commenced. The expected commencement date of the development is to be given. A local planning authority will be able to serve a notice requiring the relevant information to be provided if a developer is not forthcoming with a commencement notice. The introduction of Section 111 is designed to address perceptions of land banking and slow build-out rates by larger development companies.

Clause 67

New ‘Clause 67’ will allow local planning authorities to decline to determine planning applications from applicants who have previously not implemented a permission or who have sought to carry out the development “unreasonably slowly”.

Infrastructure Levy

Section 106 planning obligations and the Community Infrastructure Levy (CIL) are to be replaced with a new ‘Infrastructure Levy’. The Act sets out the basic legislative framework for this, although the mechanics of the changes will be delivered separately through the introduction of a new Section 204A to the Planning Act (2008). The new levy is expected to be introduced over a ten-year period, and ultimately be compulsory for all local planning authorities (unlike CIL). Like CIL, however, rates and thresholds will be set at the local level, enabling them to be tailored to local circumstances.

Street Votes

One of the more controversial aspects of the legislation is the introduction of a ‘street votes’ system that will enable residents to propose development on their street and hold a vote on whether planning permission should be given.

Timescales and Legislation

Although the Levelling Up and Regeneration Bill achieved royal assent in late October, there remains much consultation and secondary legislation to bring it into force. We await a clear timeframe for implementation of these proposals from the Government and anticipate there will at least be further revisions to the NPPF, alongside the production of new documentation which will contain the proposed National Development Management Policies.  As always, Firstplan will keep a close eye on any further policy and legislative developments.

The above article is designed to provide a briefing/overview which may be of interest to our clients. It does not constitute formal planning advice. Please speak to a member of the Firstplan team if you require any further information.

 

Article by Joshua Hindle

 

 

Planning Fees Increase Date Announced as 6th December 2023

It has been confirmed by the Department for Levelling Up, Housing and Communities that the increase in planning fees for England, which was expected to come into effect in April 2024, has been brought forward and will come into effect on 6th December 2023.

The Government is seeking to address the current funding shortfall for Local Planning Authorities through this increase. Planning fees in England were last increased in 2018.

The key changes include a 35% increase for major applications and a 25% increase for all other applications. The fees for some of the most common application types include:

  • – Applications for < 10 dwellinghouses – £578 for each dwellinghouse (previously £462)
  • – Householder Applications – £258 (previously £206)
  • – Advertisements – £165 (previously £132)
  • – Change of Use – £578 (previously £462)
  • – Non-Material Amendments – £293 (previously £234)
  • – Discharge of Planning Conditions (non-householder) – £145 (previously £116)
  • – Discharge of Planning Conditions (householder) – £43 (previously £34)

Under the new Regulation 18A, planning fees will continue to be increased annually in line with inflation (capped at 10% per year) from 1st April 2025.

Other updates include the removal of the “free go” for repeat applications following the refusal or withdrawal of an earlier application. In addition, there will be a reduction in the “planning guarantee” period from 26 weeks to 16 weeks for non-major applications, which allows applications which remain undetermined and without an agreed extension of time to be eligible for a fee refund after 16 weeks.

There is also a new prior approval application fee of £120 in relation to Class TA permitted development rights for closed defence sites owned by the Crown.

The Planning Portal Administration Fee (currently £64) will still also apply.

If you have any questions about how the fee increases could affect your upcoming projects, please speak to one of the Firstplan team.

Article by Amy Murray

Implementation of Biodiversity Net Gain delayed until January 2024

Following an announcement on 27th September 2023, the Government has set out a revised timeframe for the implementation of its 10% Biodiversity Net Gain requirement for planning applications, which was due to first come into force in November.

The updated timeframe is as follows:

– Nationally Significant Infrastructure Projects are planned for 2025

– Small Sites will be applicable from April 2024

– Other Sites will be applicable from January 2024

The Government confirms that by the end of November 2023 it will publish all guidance and the regulations including:

– the statutory biodiversity metric, critical for calculating the correct biodiversity gain

– the draft Biodiversity Gain Plan template, which will help developers prepare for what they will need to complete during the planning application stages

– the Habitat Management and Monitoring Plan template, which will set out how the improved significant on-site and off-site habitats will be managed for the long term

– a package of Biodiversity Net Gain guidance that sets out further advice for landowners, developers, and Local Planning Authorities around their role and responsibilities in delivering mandatory Biodiversity Net Gain

It states that these materials will ensure that developers and planning authorities have access to the necessary tools and information to effectively implement Biodiversity Net Gain from January 2024.

Trudy Harrison, Biodiversity Minister said:

“The updated timetable and guidance we are setting out today will help smooth the transition ahead of the Biodiversity Net Gain going fully live in January 2024”.

As outlined by Trudy Harrison, this announcement will come as welcome news to many developers and Councils, enabling the publication of the much-needed guidance and regulations in advance of the implementation of Biodiversity Net Gain in the new year.

We await the publication of these materials at the end of November, which will only allow developers and Councils the month of December to get fully up to speed and to produce the necessary documentation in support of applications submitted from January 2024.

Amendments to Scottish Planning System seeking to revitalise Town Centres

On Friday 31st March 2023, the Scottish Government introduced new legislation allowing shops, and the premises of financial services, and other professional services to be converted to office accommodation, light industrial units, restaurants, cafes, or car showrooms without applying for planning permission (subject to varying conditions being met).

The Scottish Use Classes Order was updated to combine former Use Class 1 (shops) and 2 (financial, professional, and other services) into a singular Class 1A (shops, and financial, professional and other services), therefore providing flexibility to move between the former uses without applying for planning permission. The Government’s Policy Note which accompanies the new legislation sets out that: “this new use class is intended to provide greater flexibility to change the use of buildings and/or for buildings to have multiple concurrent uses”.

Permitted development rights were also introduced under this new Use Class ‘1A’ allowing premises to be converted to office accommodation, light industrial units, restaurants, cafes or car showrooms without having to apply for a change of use (subject to restrictions).

This will come as welcome news to businesses, landlords and developers who will have far greater flexibility to switch between uses than was previously afforded, and who will be presented with new opportunities to bring vacant premises back into use. The new permitted development rights do however include some restrictions that will limit their usefulness within town centres: for instance the change of use to office and light industrial uses is only permitted for units up to 300 sqm in size (so will be limited to small-scale workspaces), the change of use to a car showroom is only permitted up to 235 sqm in size, and new Class 3 food and drink uses are not permitted when they are within 1m of an existing dwelling or if there are flats above (limiting the usefulness with town centres where there are often flats above commercial premises).  The Policy Note expands on this to confirm that the permitted development rights do not apply if:

–     Any part of a dwelling is located directly above part of a building that would change to class 3 (food and drink); or

–     A dwelling is located within 1 metre of a building (or part of a building) that would change to class 3. This measurement does not include any communal access (i.e. a communal passage, stairwell or landing).

The Policy Note further emphasises that the above restrictions should “not be taken as implying that changes of use to use class 3 adjacent to or directly below dwellings are inherently unacceptable in planning terms. Rather, it recognises that such changes of use may have impacts on residential amenity (e.g. as a result of cooking odours) that ought to be considered through a planning application and may require mitigation, for example through the provision of flues or ventilation systems”.

The rights also do not apply to hot food takeaways or bar uses, which continue to form their own separate Sui Generis uses and will continue to require change of use applications.

New permitted development rights have also been introduced for the placement of furniture on a public road (including the pavement) adjacent to class 3 (food and drink) premises, pubs and bars; however, relevant licensing controls will also continue to apply. Furniture is listed as the following:

1. Counters or stalls for selling or serving food or drink,

2. Tables, counters or shelves on which food or drink can be placed,

3. Chairs, benches or other forms of seating,

4. Umbrellas, ramps, barriers, heaters and other articles used in connection with the outdoor consumption of food or drink,

5. Decking structures for the purpose of creating a level surface on which items mentioned in sub-paragraphs (a) to (d) can be placed.

The updates to the permitted development schedule can be read in full at the link below:

The Town and Country Planning (General Permitted Development and Use Classes) (Scotland) Miscellaneous Amendment Order 2023 (legislation.gov.uk)

Generally, the changes are positive and should help to encourage regeneration in Scotland’s town centres. The approach taken by the Scottish Government is less bold than the approach taken in England, whereby restaurants, offices, professional/financial services, light industrial units, gyms and nurseries all fall within the same ‘commercial Class E’, and which are able to switch between uses or be within a mixture of these uses without any restrictions on the size of the unit or proximity to residential neighbours. Furthermore, the introduction of these relaxations by way of permitted development rights will also provide planning departments with the opportunity to introduce Article 4 Directions, where justified, which could further diminish their effectiveness.

For advice on these legislative updates, as well as more broadly the differences in regulations between Scotland and England, please contact Chris Jones or Sam Harper who will be happy to give advice.

 

Article by George Creamer

The Government’s response to BNG consultation published alongside BNG Guidance

Ahead of the upcoming Biodiversity Net Gain (‘BNG’) obligations, whereby from November 2023 applicable development must include a mandatory 10% net increase in biodiversity, Defra has now (February 2023) issued new guidance containing a number of important headlines for both developers and Local Authorities. The Government has simultaneously published their response to the BNG regulations and implementation consultation that ran last year. We have summarised the key points below:

Small Sites given grace period until April 2024

Of most significance, in an attempt to lessen initial burdens placed on Local Planning Authorities (LPAs), it has been confirmed that there will be a transition period for BNG mandatory requirements for ‘Small Sites’, which will now be enforceable five months later than originally intended, with this obligation now commencing from April 2024. Small Sites are defined as:

– For residential: Proposals in which the number of dwellings is between 1-9 on a site less than one hectare (1ha), or when the number of dwellings is not yet known, on a site area of less than 0.5ha;

– For non-residential: Where the floorspace to be created is less than 1,000 square metres, or where the site area is less than 1ha.

This phased introduction is a positive compromise for LPAs, many of whom remain challenged for resources, and can also be considered a welcome adjustment for developers, who are still awaiting final instructions from further guidance and secondary legislation. This phased introduction therefore provides developers with an opportunity to learn from the experience of larger developments and to apply best practice. It is understood that further guidance will be issued in the coming months in this respect.

Exemptions to the legislation

In terms of exemptions, development schemes that impact a small habitat (25sqm, or 5m for linear features such as hedgerows), along with householder applications and biodiversity gain sites (such as habitat land banks) will not be subject to BNG legislation. The update further confirms that small-scale self-build homes and custom house building will also be exempt. It has been clarified however that proposals within statutory designated sites for nature conservation will not be exempt.

Nationally Significant Infrastructure Projects (NSIPs)

It has been confirmed that BNG requirements for NSIPs will still come into force two years later in November 2025, to provide significant time for developers to prepare. Nevertheless, developers are encouraged to adopt BNG earlier on a voluntary basis where possible.

Biodiversity gain plan template

When the legislation comes into play in November, a new document will be required alongside applicable planning submissions called a BNG Statement, which must detail biodiversity gain in relation to proposed development. As we’ve discussed in previous BNG updates, the final Decision Notice will then include a standard pre-commencement BNG condition which will require submission of a biodiversity gain plan via a discharge of condition application to be approved prior to the commencement of development. The final biodiversity gain plan template is still outstanding. It is also understood that additional biodiversity gain information will be required for phased development to confirm how biodiversity gain will be achieved across the whole site across each phase.

Securing sites for more than 30 years

Under the proposed legislation, it is intended that biodiversity gain sites are secured for a minimum period of 30 years. In terms of next steps following the end of requisite 30-year period for the biodiversity gain site, a landowner would then be likely to be able to consider other available incentives to maintain or further enhance the site. The Government will consider how to incentivise retention of biodiversity gains once legal agreements expire.

Biodiversity units

As previously proposed in the Government consultation, any landowner or manager will be able to create or enhance habitat for the purpose of selling biodiversity units, subject to caveats including demonstrating no significant adverse impacts on priority habitats. Developers will be able to purchase biodiversity units anywhere in England, albeit the use of the units must be appropriate to the development proposal and the distance between the development and the off-site habitat must be robustly addressed in the biodiversity metric. Developers will be also able to sell excess biodiversity units as off-site gains for other development, however this excess gain must be registered.

The new guidance also identifies that a centralised trading platform for biodiversity units will not be created and that the price of units will be determined through negotiations between the buyer and seller, with price likely to vary across habitat type and location.

Habitat banking

The Government does not envisage setting a time limit on how long biodiversity units can be banked before they are allocated to a development. When biodiversity units are sold to a developer, the associated parcel of land within the habitat bank would need to be secured by a legal agreement and registered prior to approval of the biodiversity gain plan for the associated development.

The biodiversity gain site register

Natural England will assume the role as the Biodiversity Gain Site Register Operator, tasked with recording allocations of off-site biodiversity gains. Land can be registered as a BNG off-site  from November 2023 and there will be a fee for registering.

Statutory biodiversity credits

As an introductory measure, Natural England will sell statutory biodiversity credits on behalf of the Secretary of State, but this is designed to be a last resort. The biodiversity credit system enables developers to buy credits if required net gains cannot be achieved on-site or through the off-site market. These credits will then be invested in habitat creation. It is intended that the use of statutory credits is minimised with gradual phasing out once the biodiversity unit market has matured in due course. An indicative credit price will be published six months prior to BNG becoming mandatory, with the price to be reviewed bi-annually moving forwards.

Section 73 permissions and 12 month timeframe for delivery of on-site BNG

Other practical clarifications set out in the new guidance include confirmation that Section 73 permissions granted after November 2023 will not be subject to BNG requirements, providing the original permission was not. The Government also acknowledged concerns regarding the previous proposal of on-site biodiversity gains to be secured within 12 months of commencement of development being unreasonable and unachievable for more complex sites. It is therefore expected that there will be a rebuttable presumption in respect of this requirement: the starting point will be 12 months post development, with developers potentially able to challenge where this is not possible on a case by case basis. Again, further detail is expected to follow in respect of this.

LPA Funding

In recognition of the extent of excess workload placed on Local Authorities as a consequence of the proposals, the Government has announced a further funding provision of £16 million from Defra to be made available to support LPAs with this transition in terms of expanding resources and upskilling teams to increase their capacity. It is not yet clear when this funding will be made available.

Further information required

Whilst the newly published consultation outcome and Defra guidance provides further insight and some welcomed flexibility in terms of Small Sites, there remains a significant level of detail still awaited which is expected to be published in phases in the coming months.

At present, secondary legislation is still outstanding, which, in particular, will provide a clear definition of what is defined as ‘irreplaceable habitat’, and a list of habitats to be considered irreplaceable. Further stakeholder engagement will be undertaken prior to BNG becoming mandatory, including discussion on how BNG will marry with the minerals industry. It is also understood that the latest version of the tool developed by Natural England to measure BNG, the biodiversity metric 4.0 , will be made available later in 2023, which is anticipated to become the statutory metric once BNG becomes mandatory. Finally, it is understood that policy will be developed for minor development exempt from mandatory net gain (i.e. householder and de-minimis development) to secure proportionate on-site biodiversity enhancements where possible.

Conclusion

The commencement of BNG in practice will undoubtedly require an adjustment period for LPAs and applicants alike. The new guidance can be considered to provide a helping ‘stepping stone’ for the new legislation for both developers and authorities, and can be considered to provide some useful extra clarification whilst full legislation is awaited. Advocates of BNG are likely to welcome these mandatory measures as facilitating a nature boost to house building and providing a lifeline in terms of reversing species decline.

Firstplan continues to closely monitor for additional guidance and legislation expected over the coming months and we will provide further updates in due course.

 

-The Press Release is available at: https://www.gov.uk/government/news/new-developments-to-deliver-for-people-and-nature

-The Government’s Response to BNG Consultation is available here: https://www.gov.uk/government/consultations/consultation-on-biodiversity-net-gain-regulations-and-implementation/outcome/government-response-and-summary-of-responses

-BNG guidance is now available here: https://www.gov.uk/government/collections/biodiversity-net-gain

-Guidance on how to sell biodiversity units as a land manager is available here: https://www.gov.uk/guidance/sell-biodiversity-units-as-a-land-manager

-Guidance on Combining Environmental Payments: BNG and nutrient mitigation is available here: https://www.gov.uk/guidance/combining-environmental-payments-biodiversity-net-gain-bng-and-nutrient-mitigation

-Guidance on Biodiversity metric is available here: https://www.gov.uk/guidance/biodiversity-metric-calculate-the-biodiversity-net-gain-of-a-project-or-development

 

Article by Claire Stafford

Levelling Up and Regeneration Bill: Update – December 2022

Within a Written Ministerial Statement published on 6th December, the Government announced additional measures to be implemented alongside the Levelling Up and Regeneration Bill with a focus on placing local communities at the heart of the planning system. This follows on from the measures set out within the Bill when previously announced by the Government on 11th May 2022.

The latest announcement concentrates on delivering a number of commitments previously announced in the summer, including suggested reforms to housing target requirements.

The Secretary of State for Levelling Up, Housing and Communities, Michael Gove’s, recent press release stated that: “We have an urgent need in this country to build more homes so that everyone – whether they aspire to home ownership or not – can have a high-quality, affordable place to live. But our planning system is not working as it should.”

Currently, England has a target of delivering 300,000 homes a year, however the Secretary of State, has suggested that this figure should be used as an ‘advisory’ guide, instead of a mandatory target. If this reform is indeed forthcoming, it would allow Councils greater flexibility in meeting their individual housing targets should they face genuine constraints.

Additional measures within the Bill also being considered and consulted on include:

 

– Abolishing the obligation for local authorities to maintain a rolling five-year housing land supply where their local plans are considered up-to-date and to also remove the requirement for a 20% buffer for both plan and decision-making. Those authorities with existing, up-to-date plans will benefit from this, however authorities with local plans at an advanced stage will be able to benefit from transitional changes.

– Increasing community protections and powers afforded by neighbourhood plans against appeals by increasing these protections where the plan has evidently been part of the wider development plan for five years or less, instead of two. Furthermore, the Government will be consulting on certain areas which will be in scope of the new National Development Management Policies, and each new policy will be consulted on before it is brought forward.

– Consultation on the possibility of increasing planning fees, including the doubling of fees for retrospective applications in instances where breaches of planning have occurred. This also includes a new planning performance framework which will seek to monitor local performance across a wider set of measures of planning service delivery, which will include enforcement.

– Various measures to help ensure developers proceed in building out and implementing planning permissions that have already been granted by allowing local authorities to refuse applications submitted by developers who have a history of slow build-out and by also making sure local authorities grant that have granted permissions are not penalised by the housing delivery test as a result of slow build-out by developers.

– Consultation on a new financial penalty approach in order to accelerate the speed at which permissions are built out.

– A new Infrastructure Levy to be set by local planning authorities, which will enable them to set differing Levy rates across differing area of the authoritative boundaries. This could, for example, introduce lower rates on brownfield land, in a bid to try and increase brownfield development.

– Proposal of a registration scheme for short-term lets and tourist accommodation, and consideration as to whether homeowners should be required to apply for planning permission to rent out their properties as short-term holiday lets, such as Airbnb’s.

 

The Secretary of State has also commissioned the Competition and Markets Authority to undertake a market study on the housebuilding industry, an update for which is understood to be provided early next year.

Concluding remarks made by Gove has sought to summarise the proposed changes above, in that: “No planning reforms will ever be perfect, but I judge that the Bill, alongside the broader policy changes that I am proposing above, will leave us with a significantly improved planning system than the status quo.”

It will be interesting to understand the implications this will have for the housebuilding and construction industries, as well as for local planning authorities. Firstplan are closely monitoring the Levelling Up and Regeneration Bill as it continues its journey through Parliament and will continue to provide further updates.

A link to the latest Written Ministerial Statement can be found here: Written statements – Written questions, answers and statements – UK Parliament

 

Article by James Emblin