It’s now been seven weeks since a new Labour government was elected, and after 14 years of a Conservative government we were expecting that changes would be on their way. Housing has rightly been a central focus of the new government’s first weeks in power, with the National Policy Planning Framework (NPPF) consultation currently ongoing. Below we’ll take a brief look at what we’ve seen and what we can expect.
Key Figures
Angela Rayner – it’s encouraging to see that the Deputy Prime Minister is also at the head of housing strategy in the Ministry of Housing, Communities and Local Government, signalling the priority housing will have. Having lived in social housing for a lot of her early life Rayner is very invested in affordable and social housing, and she’s continuously been at the forefront of Labour’s pledges on reforming the planning and housing system to “build the houses that the next generation so desperately needs”.
Matthew Pennycook – the new Housing Minister has shown a particular interest in placemaking. The role of infrastructure development in planning reform will be hugely important in ensuring the right homes get built, and Pennycook has shown an early interest in this.
Housing Targets
Having been removed in 2022, mandatory housing targets will now be reintroduced for local authorities, with an updated formula to ensure they better reflect local need. These new targets add up to a goal for 1.5 million new homes over the next 5 years, a big ask, but one that planning reform could help enable. Collaboration between the national government, local authorities, developers and the rest of the housing industry will also be key to meeting these targets.
Planning Reform
One of Labour’s headline manifesto pledges was to update the planning system. The government remains committed to promoting brownfield development, but are expanding the definition and being explicit that the default response to brownfield development should be yes. Another proposal is to look again at green belt land, asking local authorities to review boundaries, and introducing a new category of grey belt to unlock low-value green belt land, read more about that here.
Local Authorities
In their plan to tackle the housing crisis the new government wants to take a more national approach to planning policy, promoting the development of Spatial Development Strategies and adoption of ambitious yet realistic Local Plans. There are also plans to strengthen local planning authorities, including hiring 100s of new planning officers, and enabling them to spend more of the money raised from Right to Buy on building more social housing. This is part of Labour’s plan to improve the supply of affordable and social housing, with funding released to councils to help enable that.
What to Expect
The NPPF consultation will be ongoing until September, and we can expect more announcements from the Government with the Budget in October. One policy we look forward to hearing more about is the creation of new towns, Angela Rayner has said a New Towns Commission will be set up in the next few months, with plans to unveil new towns by the end of the first year of this government. New Towns will be an effective way to develop communities designed around infrastructure and in the places where they are most needed.
Our Thoughts
At LSL Land & New Homes we are in agreement with our partners at the Home Builders Federation, who published a statement on behalf of the industry, signed by more than 30 house builders, approving the new housing targets. Shaun Peart, Managing Director at LSL Land & New Homes, also gave his thoughts:
“I’m encouraged that the new Labour government are showing commitment to trying to tackle the housing crisis. Housing targets mean little on their own, but changes to the planning system are an encouraging step to promote development, and we look forward to working with house builders and housing associations as they deliver much needed, quality new homes.”
A few weeks is not enough time for the new government to solve the housing crisis, but we have seen the first steps towards tackling it in a meaningful way. At LSL Land & New Homes we always keep an eye on the policies and plans that will impact the delivery of new homes, and we will continue to do so. If policymakers achieve their aims, the industry and the country will feel the benefits.
If you’re a developer excited to get building new homes, we at LSL Land & New Homes can help make your plans a reality.
Sources
- House Builders Federation – Government confirms NPPF will be reformed to introduce mandatory housing targets for local authorities
- Home Builders Federation - Home building industry welcomes Government’s commitment to delivering 1.5 million homes
- Inside Housing – Who is new housing secretary Angela Rayner?
- Housing Today – Pennycook appointed housing minister
- Inside Housing – Planning reform: the local government view
- DWF – Labour's New Towns initiative – navigating the law
