(This story has been updated to include commentary from industry experts.)
The government has today laid legislation in Parliament to extend current Permitted Development Rights so that commercial buildings of any size can be converted into new homes.
The government said the move, part of what it is terming a major overhaul of the planning system, will cut red tape that stops derelict sites and unused buildings being turned into new homes. It added this means shops, offices, and other buildings can be quickly repurposed, resulting in "thousands of quality new homes by 2030".
Permitted Development Rights (PDRs) are permissions granted by central government which then mean a developer can go ahead without securing further planning permission. Previously used primarily for small works such as household extensions, the government has introduced a series of more significant rights to create new homes without planning permission from 2013 onwards, with an increased focus on offices and shops. Under reforms introduced in 2021 the size of the commercial building was limited to 16,145 square feet (1,500 square metres) of floorspace.
Melanie Leech, Chief Executive, British Property Federation, said the impact was likely to be underwhelming: “The extension to PDR may help bring some vacant properties back into use but this is not a silver bullet for housing delivery. Only a small number of buildings are likely to be suitable for homes and it is paramount that there is effective ‘quality control’ in place to make sure that we do not end up with poor quality homes in our town centres.”
In another flagship announcement, building homes on brownfield land will also be "turbocharged" the government said as part of its "major shake-up to planning rules to boost housebuilding while protecting the Green Belt".
The government announced that every council in England will be told that they will need to prioritise brownfield developments and instructed to be less bureaucratic and more flexible in applying policies that hold up housebuilding on brownfield land.
The bar for refusing brownfield plans will also be made higher for big city councils who are failing to hit their locally agreed housebuilding targets. Planning authorities in England’s 20 largest cities and towns will be made to follow a ‘brownfield presumption’, if housebuilding drops below expected levels. The government says this will make it easier to get permission to build on previously developed brownfield sites.
The policy measures will support developers aiming to undertake major regeneration on brownfield sites, the government argued.
A consultation on the proposals will run until Tuesday 26th March, and the government will look to implement the changes to national planning policy as soon as possible, it said.
Analysis published today as part of the recently launched London Plan Review shows that new brownfield presumption in the capital could potentially result in up to 11,500 additional homes per year.
Government said millions of homeowners will also be given the opportunity to extend their homes outwards and upwards, with government launching a consultation on proposals that would see more new extensions or large loft conversions freed from the process of receiving planning permission.
Prime Minister Rishi Sunak said in a statement: “We pledged to build the right homes in the right places – protecting our precious countryside and building more in urban areas where demand is highest. Today’s package is us delivering on that.
“We are sticking to our plan and are on track to meet our commitment to deliver one million homes over the course of this Parliament, and the changes announced today will deliver the right mix of homes across England.”
Housing Secretary Michael Gove said: “Today marks another important step forward in our Long-Term Plan for Housing, taking a brownfield first approach to deliver thousands of new homes where people want to live and work, without concreting over the countryside.
“Our new brownfield presumption will tackle under delivery in our key towns and cities – where new homes are most needed to support jobs and drive growth.”
In an intervention before Christmas, Secretary of State Michael Gove asked Christopher Katkowski KC to lead a review of the London Plan. Today the Department for Levelling Up, Housing and Communities has published Katkowski’s review which recommended a presumption in favour of brownfield development.
The Government is now also proposing to apply this presumption to all of the 20 most populous urban areas where it says development has fallen "below acceptable levels".
National Planning Policy Framework currently provides for a presumption in favour of sustainable development to be applied to a local authority where it scores below 75% in the Housing Delivery Test. The Government is proposing that, for the twenty urban uplift areas, this presumption should be applied for applications on previously developed land (brownfield land) where an area scores below 95%.
Christopher Katkowski KC, Lead Reviewer of the London Plan said: “I am delighted to see the idea which I together with my colleagues on the London Plan Review came up with of a planning policy presumption in favour of delivering new homes on brownfield sites being taken forward on a wider scale as part of a suggested change to the NPPF. The inspiration for the brownfield presumption came from the NPPF in the first place and so it is good to see the idea being brought back to its roots as an additional lever to encourage the delivery of new homes. I see this as a worthwhile and welcome change.”
Mark Allan, Chief Executive Officer, Landsec, said in a statement: “Landsec has been campaigning to unlock more economic growth, more homes and more jobs by refocusing national planning policy on the opportunities provided by brownfield urban regeneration. The emphasis on maximising housing development in urban areas set out today means that we can seize some of those opportunities, deliver more homes and secure better outcomes for cities and the people who live there.”
British Land chief executive Simon Carter termed the announcements another important step towards unlocking the potential of brownfield urban regeneration. "British Land has consistently advocated for practical, deliverable planning reform which prioritises brownfield development, accelerates the pace of housing delivery and helps to secure long-term sustainable growth, by intensifying development in urban areas where it is needed most.”
Melanine Leech, chief executive, British Property Federation, responded: “We have long highlighted that the planning system is a brake on growth and housing delivery and we are pleased Michael Gove has responded to the call in our Manifesto to focus on the potential for urban brownfield sites to unlock millions of pounds of investment and deliver homes and jobs to support local prosperity. The Government must now ensure that local authorities are properly resourced to take advantage of these opportunities at pace."
Claire Dutch, co-head of planning at law firm Ashurst the flagship policy – encouraging residential development on brownfield land - is "nothing new".
The government has added bells and whistles to strengthen the policy which at first glance is helpful. But the new proposals come within weeks of a revised NPPF which states that urban densification should not happen if the uplift is out of character with the existing area. Mixed messages continue. The government continues to single mindedly focus on more brownfield development as the panacea to solve the housing crisis whilst the green belt remains sacrosanct."
William Poole-Wilson, founder of workplace design and strategy architects, WILL+Partners, said the planning system is not fit for purpose and local authorities have insufficient resources to dedicate to an expensive planning system that has built up a level of bureaucracy which means that large applications need to be "delivered in a van".
"At present, most local planning authorities don't have the technical competency to know whether a design is missing an opportunity or has a technical flaw. Therefore, some significant upskilling will be needed to help ensure that all major projects are vetted on a like for like basis nationally, helping to remove inconsistencies in the system.”