The London Property Alliance is calling for greater resources for planning departments to enable inward investment ahead of next week’s Budget.
Charles Begley, chief executive of the LPA, said he recognised the government’s plans to reform the planning system but that “as part of this there must be a complete step change in how planning departments are treated”.
He added: “In London and in cities across the UK we are facing a shortage of the high-quality, sustainable workspaces favoured by leading businesses. We will not be able to grow the high-productivity sectors identified in the industrial strategy or attract world-class talent if we do not properly resource the planning system and accelerate development to meet this demand.”
Government figures published earlier this year showed that between July and September 2023 just 21% of applications were decided within the statutory 13 weeks, with the average waiting time estimated to be around 28 weeks.
The LPA said a lack of resources is contributing to the problem, preventing planning departments from making “speedy, well-informed decisions” and, as a result, deterring investment.
Analysis by the organisation found that the number of major applications in London’s Central Activities Zone dropped by 54% in the 10 years to 2023 compared with the previous decade.
A survey of investors and developers conducted by the LPA earlier this year found that 40% had experienced significant planning delays on office refurbishment projects.
To address the issue, the LPA says the government should ring-fence funding for local planning departments in the Budget, reinvest increases in planning fees into planning departments and commit additional funding from central government to bolster planning departments and skills.
Photo © London Property Alliance
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