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Planning approvals reach historical lows, according to the Home Builders Federation report

Decline in Planning Approvals: Understanding the Perspective of the Housebuilding Authority and Recommendations for the Next Government to Address This Escalating Problem

Building approvals for new homes reach all-time lows, according to the Home Builders Federation's...
Building approvals for new homes reach all-time lows, according to the Home Builders Federation's latest report

Planning approvals reach historical lows, according to the Home Builders Federation report

The Home Builders Federation (HBF) has revealed a detailed blueprint aimed at enhancing housing supply and tackling the current pipeline challenges in the country. The blueprint suggests several significant changes, including resolving the nutrient neutrality issue and boosting housing supply through a clearer policy landscape.

To address the nutrient neutrality issue, the blueprint advises advancing legislation to unlock approximately 160,000 homes currently on hold due to Natural England's mitigations. This move is anticipated to accelerate the housing construction process and contribute to alleviating the housing shortage.

The political leadership has also made strides in addressing the housing pipeline issues. In 2024, the federal cabinet proposed key legislative changes such as the 'Gebäudetyp-E-Gesetz' in November and the amendment of the Building Code (BauGB) on September 4. These changes aim to simplify regulations and promote housing construction, with a KfW bank funding program supporting energy-efficient and affordable new housing construction for middle- and low-income households.

Despite the substantial spending on legal advice, with each council spending an average of £45,000 per year, totaling £15 million annually nationwide, and over £50 million spent on external legal advice for planning appeals by councils over the past three years, the Planning Inspectorate approved 50% of dwelling appeals.

The HBF also proposes developing a roadmap for the talent pipeline needed to deliver low-carbon, sustainable housing. Additionally, the blueprint advocates for a new first-time buyer scheme, resolving uncontracted Section 106 units, requiring local planning authorities to assess demand for housing for older people, and abolishing stamp duty for homes with an A or B Energy Performance Certificate (EPC).

The blueprint also aims to fix the planning process by ringfencing planning application fees, raising the threshold for reserved matters submissions, and introducing a presumption in favor of developing small sites. These measures are designed to streamline the planning process and encourage housing development.

Political parties have already announced their plans for the upcoming general election, and it remains to be seen how these proposals will be integrated into the national agenda. However, the HBF's blueprint offers a clear roadmap for enhancing housing supply and tackling the current pipeline challenges, providing hope for those seeking affordable and sustainable housing solutions.

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