Three Government Priorities in Central London Planning to Boost the Economy

The Government hasn’t wasted any time in setting out how it intends to improve the planning system in order to boost economic growth. This is the boldest set of proposals that I’ve seen in 30 years of practice, so are welcome and long overdue.

The Government has set out its intentions by focusing on 3 broad areas:

Firstly, amendments to the National Planning Policy Framework (‘NPPF’), which applies to all Local Planning Authority (‘LPA’) policy and decision-making. These amendments are out for consultation until 24 September 2024, so there is always a risk that the more radical proposals are watered down or removed. The Government has committed to adopting the final version before the end of the year, and it will then be effective immediately.

There has been a lot trailed in the press about: delivering at least 1.5 million new homes over the next 5 years and how local housing needs will be recalculated. This results in a target of approximately 2,000 additional homes per annum in Central London (defined at The City, Westminster and Camden).

I also welcome these amendments:

• Encouraging LPAs to reassess and reallocate employment land if the economy shifts (for example, industrial sites for mixed-uses).
• Simplifying the current CIL regime to a low-level ‘local infrastructure tariff’ and s106 planning obligations. The objective being to boost housing delivery, and affordable housing in particular.
• Guiding LPAs to start s106 discussions as soon as a planning application is submitted (rather than waiting for the resolution to grant as is often the case).
• Encouraging LPAs to give significant weight to new, expanded or upgraded public infrastructure to justify development.
• Introducing model planning permission conditions (ordered from pre-commencement to pre-occupation to those requiring ongoing compliance).
• Simplifying the process of modifying existing planning permissions.

Secondly, there is going to be a Planning and Infrastructure Bill, which will change the way that planning applications are dealt with. There will be a national scheme of delegation that focuses planning committees on the applications that really matter, avoids a potential development being reviewed multiple times even where it’s been included in the local plan, and places more trust in skilled professional planners.

Thirdly, a universal system of strategic planning across England and Wales, which we already have in London with the Mayor’s London Plan.

Looking ahead, I would welcome focus on the need for more planning officers to boost LPA resources to deal with the huge caseload. This could be facilitated by looking at application fees across the board.

However, the true test is whether we finally transition to a planning system that is simpler, quicker, more efficient and easier to use resulting in more, high-quality development. Previous Governments have strived to do this, and in my view, not achieved it.