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Vodafone decision raises dilemma for councils

Newbury decision puts economics ahead of planning guidance

Mark Cooper

Vodafone has won its battle for planning permission to build a £120m world headquarters at Newbury, sparking fears that other councils will ignore planning guidelines.

Stuart Robinson, head of planning at CB Hillier Parker, said: “I think there will be a growing dilemma for local planners as companies become more globalised and footloose. Firms require and demand a great deal of flexibility, more than the British planning system can offer.”

West Berkshire councillors this week narrowly voted in favour of granting the UK’s largest telecommunications firm permission to build a 51,560m2 (555,000 sq ft) headquarters on a greenfield site outside the town.

In return, Vodafone will have to develop a green transport plan, which could cost £15m, donate £1m for the renovation of a council-owned historic building and pay for improvements to off-site road improvements.

The council rejected a motion insisting that Vodafone contributes up to £5m for the purchase of B1 floorspace or consents in the town to convert to residential use. Vodafone said it would not accept such a restriction, saying it might be considered to be “buying planning permission”. Independent reports estimate that West Berkshire might need up to 2,000 extra houses to accommodate the population growth caused by Vodafone’s expansion.

Overheating in the local economy and pressure on housing were cited as reasons for rejecting the application by council officers. Head of planning and transportation Jim Sherry said officers saw the issue as environmental, not economic. “We’re a little wary of growth in Berkshire,” he said.

But Richard Deal, of local agent Deal Varney, said the decision was vital to the health of the local economy. “Newbury would be doomed without Vodafone and I’m amazed the council even considered rejecting the application. Companies such as Ericsson and Nokia have moved to Newbury to be near Vodafone and they would have left if it did,” he said.

He said that local authorities could be forced to consider more economic arguments in planning applications and give permission to developments outside the local plan to prevent firms moving elsewhere.

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