Debate on reform of the planning system

Planning is a devolved matter, and this debate pack only covers England. For further information about the planning system in England, see the Library article, Overview of the planning system (England).

Changes to planning law: Levelling Up and Regeneration Act 2023

The Levelling Up and Regeneration Act 2023 (which received Royal Assent on 26 October 2023, hereafter referred to as the ‘2023 Act’) makes various changes to the planning system. Among other changes, the 2023 Act:

• Establishes a new category of national planning policies: national development management policies (NDMPs). NDMPs will sit alongside local plans in decision-making on planning applications.
• Creates a statutory requirement for local planning authority (LPAs) to produce a single local plan and update it every five years. Alongside the Act, the government said it will change regulations to require LPAs to produce local plans within 30 months (see below).
• Abolishes the ‘duty to cooperate’ which requires LPAs to cooperate with each other in the plan-making process. The government said a ‘flexible alignment policy’ will replace the duty to cooperate.
• Introduces a statutory requirement for LPAs to prepare design codes, setting out design requirements for new developments in their area.

Most of these changes have not yet taken effect; they require regulations to be brought into force. For further information about the changes the 2023 Act makes to the planning system, see the Library briefing, Planning reforms in England: Levelling Up and Regeneration Act 2023 and further changes (December 2023).

Proposals for a new infrastructure levy

The Levelling Up and Regeneration Act 2023 also contains provisions for a new infrastructure levy (IL), a new non-negotiable charge on development. LPAs will be able to use IL receipts to create infrastructure (such as schools and GP surgeries) that new development creates a need for and to fund affordable housing.

The IL would replace the community infrastructure levy (CIL), a levy that LPAs can currently choose to (but are not required to) impose on development to help towards the cost of specific types of infrastructure. LPAs would be required to impose the IL but could set rates locally.

The Act 2023 does not abolish section 106 agreements, which LPAs can use to secure the delivery of affordable housing and of the infrastructure needed to support housing developments. However, once the IL takes effect, the government said section 106 agreements will be used only in a “narrowly targeted way” to support the “delivery of the largest sites”.

The government said the IL will be “more efficient”, “more transparent”, and “more consistent” than the current system of collecting and distributing developer contributions through section 106 agreements and the CIL.

The 2023 Act sets out a general framework for the new IL, but its detailed design will be delivered through regulations. The government consulted on the technical design of the IL between March and June 2023. It has not yet responded to the consultation.

Proposals to speed up plan-making and decision-making A 30-month plan-making process

Currently, there is no requirement for LPAs to produce local plans within a certain time period. Alongside the 2023 Act, the government said it will change regulations to require LPAs to produce local plans within 30 months. The government consulted on these proposals between July and October 2023. It has not yet responded to the consultation.

For further information about the proposed 30-month plan-making process, see section 3.3 of the Library briefing, Planning reforms in England: Levelling Up and Regeneration Act 2023 and further changes (December 2023).

An accelerated planning service

In March 2024, the government also published a consultation seeking views on an accelerated planning service to speed up decision-making on planning applications. The consultation closes in May 2024.

Currently, LPAs must decide planning applications for minor development within 8 weeks and major development within 13 weeks unless otherwise agreed with the applicant as part of an ‘extension of time agreement’. The government expressed concern, however, that statutory time limits are not met “in the majority of cases” and about the widespread use of ‘extension of time agreements’.

In the consultation, the government proposed requiring LPAs to offer an “accelerated planning service” for major commercial applications. Under the service, LPAs would be required to determine applications within 10 (rather than 13) weeks in exchange for a higher fee. The government also proposed removing the ability of LPAs to use ‘extension of time agreements’ for householder applications.

Reforms to national planning policy December 2023: Changes to how local housing need is assessed and met

Alongside the 2023 Act, which makes various changes to the planning system, the government announced in December 2022 that it would update national planning policies set out in the National Planning Policy Framework (NPPF).

Separate to the 2023 Act, the government In December 2023, it responded to the consultation and updated the NPPF. Among other changes, the government:

• Updated the NPPF to clarify that the ‘standard method’ (which LPAs must usually use to assess housing need in their local area) is “an advisory starting point”.
• Removed the requirement for LPAs with an up-to-date local plan (which was adopted in the last five years) to provide an annual update to their five-year housing land supply (5YHLS). The 5YHLS identifies which sites that are suitable for housing development.

For further information on how local housing need is assessed and met in the planning system, see the Library briefing, Calculating housing need in the planning system (England) (March 2024).

February 2024: Proposed presumption in favour of sustainable development on brownfield land

In February 2024, the government proposed further changes to the NPPF to introduce a ‘presumption in favour of sustainable development’ on brownfield land. It is consulting on these changes between February and April 2024.

The presumption would apply to LPAs in England’s top 20 largest cities and urban centres, which are subject to the ‘urban uplift’. This includes, among others, LPAs in London, Manchester, Birmingham, Liverpool, Nottingham, Sheffield and Leeds.

If one of these LPAs delivered less than 95% of its local housing need (according to the government’s housing delivery test), the LPA would be generally expected to grant planning permission to new developments on brownfield land. Exceptions to this presumption apply if the adverse impacts of a development would “significantly and demonstrably” outweigh its benefits.

Reforms to permitted development rights

Permitted development rights (PDRs) are rights granted by Parliament. They allow individuals and developers to make certain changes to buildings or land without the need to apply for and obtain planning permission from the LPA.

PDRs cover many different types of projects, such as common home improvement projects. There are also PDRs that allow for buildings to be changed between use classes (for example, from an office or a shop to residential use).

Between July and September 2023, the government consulted on proposed changes to various PDRs that allow for the conversion of certain buildings to residential use. It has not yet responded to the consultation in full. However, in February 2024, the government updated PDRs to allow commercial buildings of any size to be converted to residential use without planning permission from the LPA. Previously, a size limit of 1,500 square metres applied.

For further information about recent changes to permitted development rights, see the Library briefing, Planning in England: Permitted development and change of use (March 2024).

Permitted development rights for renewable energy projects

The government has also consulted on proposed changes to PDRs for other types of works, including for renewable energy projects. For example:

• Between February and March 2023, the government consulted on extending PDRs to cover the installation of solar panels on domestic and non-domestic buildings. The government implemented some of the changes proposed in the consultation in November 2023, for example, it introduced PDRs to install solarcanopies on off-street car parks.
• The government is consulting on changing PDRs for some householder projects between February and April 2024. In the consultation, it also proposed extending PDRs to install air-source heat pumps.

Further reading

For further information about changes to planning rules for renewable energy projects, such as onshore wind and solar farms, see:

• Commons Library, Planning for solar farms, February 2024
• Commons Library, Planning for onshore wind, January 2024

For further information about housing need and supply which provide broader context to planning reforms, see:

• Commons Library, Local authority data: Housing supply, December 2023
• Commons Library, Tackling the under-supply of housing in England, May 2023