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Housing association directorship means apparent bias for planning committee councillor

Outline planning permission for a development near the River Wylye in Wiltshire has been quashed because a councillor, whose vote in favour proved crucial, is a director of a housing association involved in the project.

Cranston J ruled that councillor Magnus Macdonald’s private interest in the application “gave rise to an appearance of potential bias” and that he should never have participated in the committee decision in respect of the 35-home development, of which nine would be affordable housing. The councillor earns £3,000 a year as director of Selwood Housing Association.

Wiltshire council had argued that there would be unfortunate consequences for the future of affordable housing were those in councillor Macdonald’s position to be disqualified from participation in planning committee meetings, but the judge said that this was not the case.

He said: “In my view, Cllr. Macdonald’s directorship of Selwood will not be an issue in the great majority of housing applications likely to come before the committee, even those with an affordable housing element. The position in this case is quite different.

“Selwood, with Cllr Macdonald as a director, was not simply an affordable housing provider. Here it was the only provider which had been willing to give assistance on the scheme, had expressed a clear interest in delivering it, had been named by the applicants as their potential partner, and had written in support and attended the planning committee meeting when it was considered.

“Because of that Cllr Macdonald’s private interests were engaged, as a director of Selwood, not just his interests in the cause of affordable housing. In all these circumstances it was wrong for Cllr Macdonald to have participated in the meeting.”

Wiltshire council will now have to reconsider the application put forward by HPH Ltd for up to 35 custom-built residential dwellings, including nine affordable homes, on land near the river in Warminster. Cllr Macdonald’s vote in favour carried the initial decision to grant outline permission.

Kelton v Wiltshire Council Planning Court (Cranston J) 9 October 2015

John Hunter (instructed by Irwin Mitchell) for the claimant

Akhlaq Choudhury QC (instructed by Wiltshire Council) for the defendant

Justine Thornton (instructed by Tracey Merett Solicitors) for the interested parties

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