Housing reforms risk a ‘developer free for all’ in county and rural areas, as councils warn ‘excessive’ targets will pile even more pressure on local roads, schools, and services

CCN Latest News, CCN News 2024 | 27 September 2024

Councils which cover county and rural areas warn that their communities face a developer ‘free for all’ and could be left at the mercy of speculative housing development under the government’s flagship plans to reform the planning system.

In its response to the government’s proposals to introduce mandatory housing targets as part of an updated National Planning Policy Framework, a new survey from the County Councils Network (CCN) reveals that the vast majority of county and unitary councils do support nationally set targets.

However, nine in ten local authority surveyed believe these new targets for their areas are excessive. New analysis from the CCN reveals that county and rural areas will see a dramatic increase in the number of houses built under the new mandatory targets. On average, those local authority areas will see a 56% rise in the number new homes required per year – over 64,000 properties. This is far higher than any other part of the country, and over three times the percentage increase for councils in England’s major cities.

Download the CCN’s response to the government’s revised National Planning Policy Framework here. 

County and unitary councils say they have a chronic lack of infrastructure to cope with a dramatic increase in housing. They are warning that pressure on their local roads, health services, schools and amenities has worsened over the last five years with little guarantee at the moment that the system will be improved to help deliver more infrastructure.

With the government’s proposals effectively watering down the power of Local Plans, nine in ten councils say they will be at the mercy of speculative development in unsuitable and unpopular places, running the risk of the new system becoming one which ‘drives a bulldozer through locally-led planning decisions’.

The CCN argues that government’s proposals are being done in the wrong manner, and ministers should introduce strategic planning before implementing any new housebuilding targets, as this would allow councils to better plan for housing and infrastructure in their areas.

The new analysis and survey of county and unitary councils from the CCN reveals:

  • Under the government’s proposals, councils in county areas will have to deliver an extra 1,245 homes per week: or 64,769 a year. Councils in county areas in the South East will have to deliver an extra 295 homes per week, those in the South West will be compelled to deliver an extra 194 per week, councils county areas in the East must deliver 191 extra properties a week, and those in the in the West Midlands must deliver 155 extra each week.
  • Many large cities towns see an increase, but not anywhere near as much as county and rural areas. Collectively, the 36 large towns and cities in the West Midlands and North that are governed by metropolitan borough councils will see their numbers increase by 9,000 – a 16% rise. This equates to 173 homes per week.
  • Seven in ten county and rural unitary councils support the principle of nationally set targets. However, not one respondent said they supported the government’s new target for their county area, and over nine in ten respondents (94%) said the targets were excessive. Nine in ten councils (90%) cited a lack of infrastructure as the main reason they could not support the new targets, and a majority of respondents (55%) said they had a lack of suitable land for the proposed new housing numbers.
  • Over eight in ten councils (85%) said the pressure on their infrastructure was ‘excessive’ and pressures on their local roads, services, and amenities are getting worse. In total, nine in ten councils (90%) said that pressure on their local infrastructure had got worse over the last five years. With very little proposed by the government in improving infrastructure or committing more funding to local roads, schools, and services, over eight in ten councils (85%) are not confident that the planning system is equipped to deliver the infrastructure that is needed to support the proposed increase in homes. No respondent is confident.
  • Nine in ten county and unitary councils are concerned their areas will be more at risk of speculative development. With the removal of protections in councils’ Local Plans, local authorities warn they will have far less powers to oppose development in unsuitable areas.

Cllr Richard Clewer, Housing and Planning Spokesperson for the County Councils Network, said:

“The County Councils Network’s survey is clear: councils in rural and county areas are not anti-housing and the vast majority support the principle of nationally set targets. But these targets are excessive and we are looking at having to build an extra 65,000 homes a year, without any commitment to the essential road networks, school places, and GP surgeries that will be required.

“We don’t have enough infrastructure to cope now, let alone after building quarter of a million extra homes over the course of this Parliament. We also must remember much of this development in county areas will be in the places with limited or no public transport, compared to the benefits of building in or around cities where there is already good infrastructure.

“Worse still, the government’s proposal to re-introduce a five-year land supply drives a bulldozer through locally-agreed housing decisions in our Local Plans and empowers developers. If implemented alongside these dramatic new housing targets, we will see a developer free for all in many county and rural areas, weakening democracy and leading to development in unsuitable locations, regardless of local views.”

County and unitary councils are calling on the government to re-think its proposals to re-introduce a ‘five-year land supply’. This will mean county unitary councils will have to show evidence each year that they have a supply of deliverable sites to provide a minimum of five years’ worth, against their housing target.

This five year land supply will be more powerful than a council’s Local Plan, even once the plan has been agreed following public consultation and approved by the Planning Inspectorate. Local authorities warn that developers could build out their planning permissions slowly – or not in full – ensuring that councils cannot meet their land supply targets. Developers can then use this to successfully get permission on other sites outside a councils’ Local Plan, often in locations that are unsuitable and with no consideration over whether there is any infrastructure.

Councils say this approach ‘weakens local democracy’ by reducing the strength of Local Plans. Local authorities with planning responsibilities will be penalised for things outside of their control, such as developers failing to build out planning permissions. With no tools available to enforce building by county unitary councils, some areas say they have over 20,000 unbuilt planning permissions.

The CCN is calling on the government to scrap the requirement to maintain a five-year land supply where a council has an up-to-date Local Plan, ensuring that democratically led Local Plans are the gold standard for decisions where housing should be located.

The network argues that the government must consider infrastructure as equally as important as housing targets, and set out reforms to the system to increase funds for infrastructure to cope with extra housing.

The CCN says that the reforms are being undertaken in the wrong manner, and that government should first re-introduce strategic planning. This will bring all councils together in specific counties to plan for housing across a bigger area, allowing them to agree shared priorities for long-term growth and plan for new housing that is delivered with matching infrastructure. Once this is in place, this would allow for more detailed Local Plans to come forward to deliver housing alongside the necessary infrastructure.

Cllr Clewer added:

“We recognise the need to build, but these proposals could change the face of many areas in a small space of time, whilst failing to address the core reasons for housing unaffordability. The government must re-think its proposals, including dropping the Five-Year Land Supply and instead making Local Plans the gold standard for housing decisions. Equally as important, it must not only re-think its housing targets for county areas, but set out ways to effectively capture or deliver more funds for infrastructure.”

Notes to editor

  • CCN’s survey took place throughout September. The network received 21 responses, which is a 57% response rate.

Area comparison – Number of new houses to be delivered

Area Number of extra homes to be delivered each year under new methodology Percentage difference from old methodology Number of extra homes to be delivered per week Total number of homes to be delivered per year under new methodology
County areas 64,769 +56% 1,245 180,386
Non-county unitary councils 10,457 +25% 201 52,637
Metropolitan Boroughs 9,019 +16% 173 57,824
London -18,129 -18% -349 80,693
England 66,115 +22% 1,271 371,540

 

County region comparison – Number of new homes to be delivered

County region* Number of extra homes to be delivered each week under new methodology Percentage difference from old methodology Number of extra homes to be delivered per week Total number of homes to be delivered per year under the new methodology
South East 15,360 +40% 295 53,427
South West 10,081 +59% 194 27,305
East of England 9,929 +34% 191 38,990
West Midlands 8,078 +98% 155 16,315
East Midlands 7,769 +51% 149 22,915
North West 7,109 +177% 137 11,136
Yorkshire and Humber 4,142 +190% 80 6,320
North East 2,301 +137% 44 3,979

*These numbers include only CCN’s member councils and district councils within each region