Natural England has been accused of blocking plans for 160,000 homes and pushing housebuilding to its lowest level since the 1920s.
The Home Builders Federation has warned that the green quango’s actions, along with recent changes to planning policy, threaten to reduce the number of new homes from 240,000 a year to 111,000 by 2025.
Rules imposed by the agency, which is part of the Department for Environment, Food and Rural Affairs, have led 74 councils to block developments that could not show they would not pollute water systems.
So called “nutrient neutrality” rules have so far blocked 120,000 homes, according to the HBF.
Housebuilders say they are being unfairly punished as the main culprits of phosphate and other pollution are farmers. They add that there is simply not enough land available to create necessary offset areas.
A further 40,000 homes have been blocked due to “water neutrality” rules.