Jamie Davies considers the government’s current proposals for the planning system and what can be expected to follow in 2025.
The government has said it “will not hesitate to do what it takes to build 1.5m new homes over five years” and promised to grasp the nettle of planning reform, but can it get Britain building again?
Updated National Planning Policy Framework
December 2024 saw one of the first key tangible planning reforms made by this government in the form of an updated National Planning Policy Framework. The NPPF is a key document: it sets out the government’s policies for local authorities to follow when making plans for their areas, along with policies that must be considered when deciding applications for planning permission.
The detailed changes are not rehearsed here, but there are key themes worth noting as the changes have immediate implications. As it relates to planning applications, the 2024 NPPF took effect from publication and must now be taken into account. Unless a plan is sufficiently advanced, new plan-making policies will apply to local plan preparation from 12 March 2025.
First, changes in the 2024 NPPF emphasise that local authorities need to proactively plan for housing. The changes reinforce the mandatory nature of identifying housing need when preparing local plans, along with setting a standard methodology to calculate this need.
Second, the 2024 NPPF continues efforts to wrangle with the release of green belt land. In plan-making, when such land must be released, the 2024 NPPF prioritises previously developed land, followed by not previously developed “grey belt” land (as newly defined), before other green belt locations. The 2024 NPPF also introduces the much-publicised “golden rules” encouraged for certain housing developments on green belt or released land.
Third, additional support for brownfield development is introduced. Among other things, the 2024 NPPF provides that development using suitable brownfield land (within settlements) for homes and other identified needs “should be approved unless substantial harm would be caused”.
National Development Management Policies
The 2024 NPPF may not, however, be the end of policy changes in this parliament. The response accompanying the 2024 NPPF foreshadows that further changes will be completed through consulting on National Development Management Policies. NDMPs arise in not-yet commenced provisions of the Levelling-up and Regeneration Act 2023 that amend the current duty that applies when planning applications are decided. Among other things, the amended duty would require decisions to be made not only in accordance with the development plan, but also any NDMP too, with any conflict to be resolved in favour of the NDMP.
NDMPs will be designated by the secretary of state and represent a new direct route for the government to input into decision-making. A timeline has not yet been announced for further consultation or next steps, but it is currently anticipated that the NPPF will in due course be amended to a “slimmed-down form” where NDMPs deal with decision-making and the NPPF primarily relates to plan-making. Watch this space.
English devolution and mayoral powers
A potentially transformational item is the government’s English Devolution White Paper published in December 2024. The white paper envisages universal coverage in England of new “strategic authorities”, which will involve significant local government reorganisation and devolution of power to regional levels. An English Devolution Bill is proposed to be introduced in the first session, subject to parliamentary time, to put the “devolution framework” into statute.
Specific to planning, the white paper proposes that strategic authorities will be required to develop spatial development strategies, akin to the model established in London through the London Plan. Once these strategies are in place, mayoral strategic authorities will have development management powers equivalent to the London mayor along with a power to raise a levy to support the delivery of strategic infrastructure projects.
Notwithstanding the white paper proposals, the government’s recalibration with mayoral authorities is already partially under way, with authorities such as the Greater Manchester Combined Authority set to receive a new integrated financial settlement this year. Together with existing mayoral planning powers, these changes should be watched with interest.
Working papers and the Planning and Infrastructure Bill
Winter 2024 saw a flurry of working papers that reveal what 2025 might also have in store. The Brownfield Passport: Making the Most of Urban Land working paper seeks views on potential options to give form to the rhetorical “brownfield passport”, targeted at lowering the risk, cost and uncertainty in achieving planning permission for brownfield development. The Planning Committees working paper seeks views on changes introducing (through the Planning and Infrastructure Bill): a national scheme of delegation; dedicated committees for strategic development; and training for committee members. The Development and Nature Recovery working paper offers a three-step process (again underpinned by the Planning and Infrastructure Bill): certain environmental impacts to be assessed at a strategic rather than project-specific level; increasing government responsibility for strategic mitigation; and allowing financial contributions towards such strategic mitigation.
The introduction of the Planning and Infrastructure Bill to parliament has been projected to take place in early 2025. In addition to the matters highlighted above, reports suggest this Bill will also look at reform concerning: the nationally significant infrastructure project regime; planning fees; early introduction of spatial development strategies; and compulsory purchase. In respect of the latter, the government launched a consultation in December 2024, due to close on 13 February 2025, concerning the potential widening of the scope for “no hope value” compulsory purchase orders, among other issues. It seems likely that the Bill will follow the consideration of the consultation responses.
Awaited updates
Notwithstanding the already identified spinning plates, there is more that the government will need to contend with in its reform agenda and housing ambitions. Several government responses are anticipated, including a full response to the Grenfell Tower Inquiry final report, due in March 2025. This response will require careful consideration, particularly given emerging feedback of extended delays connected to “Gateway Two” building control approval for higher-risk buildings. The government also needs to respond to the recommendations of, and subsequent call for evidence relating to, the independent review into legal challenges against NSIPs.
Other government-led initiatives should also begin reporting in earnest in 2025. The New Towns Taskforce, tasked to identify locations for significant new communities, is expected to recommend locations to ministers by the summer. Further news is also expected from the New Homes Accelerator programme, seeking to support existing large-scale housing projects encountering significant obstacles.
Finally, there are existing legislative levers that the government may yet still decide to pull in pursuit of early housing delivery. The 2023 Act contains a number of measures not yet commenced, including powers to compel progress reports from developers, a new section 73B route for obtaining planning permission and even a new environmental assessment framework. Bold decision makers may also conceivably explore how best use can be made of the full range of development order powers already available to them.
Decisions, decisions
It should be noted that there are pending judicial decisions that may influence how the government proceeds with future areas of reform.
Heard in November 2024, judgment is currently awaited from the Court of Appeal in Mead Realisations Ltd v Secretary of State for Levelling Up, Housing and Communities [2024] EWHC 279 (Admin), considering the status and effect of national planning practice guidance and its relationship with the NPPF. Although originally of particular interest in a flood risk context, there are potential implications as to how the PPG should be treated and, in turn, how far the government can use the PPG as a vehicle for change.
The Supreme Court will also hear CG Fry & Son Ltd v Secretary of State for Levelling Up, Housing and Communities and another [2024] EWCA Civ 730; [2024] EGLR 30 in February 2025. This case concerns, in the context of nutrient neutrality, whether appropriate assessment under the Habitats Regulations can be required at the discharge of conditions stage. Any decision will likely inform the government’s approach to nature recovery and clarify the options for dealing with the nutrient neutrality “bottleneck” that has stymied housing developments across the country.
Plan for change
There is plenty to be optimistic about in the government’s direction of travel; clear recognition of the need for development to come forward and willingness to engage on the issues should be welcomed. However, based on what can be seen, it is hard to conceive that the current proposals are yet “what it takes” to achieve the government’s headline ambitions. Walking a tightrope of delivering significant changes to the planning system while at the same time securing early delivery is no mean feat and all involved in the planning process will need to tread carefully.
Jamie Davies is an associate at Town Legal LLP
