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Osborne seeks planning changes to boost house-building Planning shake-up to get more homes built
(about 1 hour later)
Automatic planning permission would be granted on many brownfield sites in England in an attempt to boost house-building, under government plans. Developers could get automatic planning permission to build on disused industrial sites in England.
Ministers would also get powers to seize disused land, while major housing projects could be fast-tracked, and rules on extensions in London relaxed.Ministers would also get powers to seize disused land, while major housing projects could be fast-tracked, and rules on extensions in London relaxed.
Business Secretary Sajid Javid said it would speed up schemes and preclude the need for building on Green Belt land. Business Secretary Sajid Javid is announcing the plans as part of a broader push to Britain's productivity.
But critics have warned it may lead to the "nationalisation" of planning. But critics warn it will rob local people of a say over planning and effectively "nationalise" it.
And analysts have also questioned whether there is enough brownfield land - a term which refers to land that has previously been developed but is vacant or derelict - available to meet the UK's housing needs over the next 15 years. There is also a question mark over whether building more homes will boost productivity as much as ministers claim.
The housing proposals feature in a 90-page document to address Britain's productivity record, to be released later. Treasury sources say workers are more productive when they live closer to their jobs - but critics say increasing airport capacity and electrifying the Transpennine rail line would have a much bigger effect.
It is aimed at boosting British workers' output levels, which experts say lag behind other leading nations - an issue dubbed the "productivity puzzle". 'Suitable sites'
The chancellor's Fixing the Foundations package, which also includes measures on higher education, transport, devolution of powers to cities and trade. has been billed by the Treasury as the second half of the Budget. Emran Mian, a director of the Social Market Foundation think tank, said: "I think if I was thinking about a productivity plan, housing wouldn't be the first issue I would leap to."
Upwards extensions Electrification of the Trans Pennine line between Manchester and Leeds and a section of the Midland Mainline has been delayed and a decision on a third runway at Heathrow, recommended by an independent commission, will not be made until the end of the year.
BBC political correspondent Ross Hawkins said Treasury sources argue house-building boosts productivity, as it is helpful to have workers living close to their workplaces. Analysts have also questioned whether there is enough brownfield land - a term which refers to land that has previously been developed but is vacant or derelict - available to meet the UK's housing needs over the next 15 years.
Last year, Mr Osborne said 200,000 permissions for new homes would be made possible by 2020 as councils put in place orders to provide sites with outline planning permission. Under the new proposals - which will need to be approved by MPs - automatic planning permission would be granted on all "suitable" brownfield sites under a new "zonal" system.
The Treasury said the new plan went further - in effect stripping away the need for any planning permission in some brownfield locations, with the aim of ensuring 90% of viable brownfield sites have permission to build by 2020.
Under the new proposals - which will need to be approved by MPs - automatic planning permission would be granted on all "suitable" brownfield sites under a new "zonal" system, the Treasury said.
'Plenty of land'
Another change would see ministers seek to scrap the need for planning permission in London for developers who want to extend buildings to the height of neighbouring properties, which they say will "add dynamism" to house building in the capital.Another change would see ministers seek to scrap the need for planning permission in London for developers who want to extend buildings to the height of neighbouring properties, which they say will "add dynamism" to house building in the capital.
Green belt land
Planning powers will be devolved to mayors in London and Manchester, while enhanced compulsory purchase powers will allow more brownfield land to be made available for development.Planning powers will be devolved to mayors in London and Manchester, while enhanced compulsory purchase powers will allow more brownfield land to be made available for development.
There would also be new sanctions for councils that do not deal with planning applications quickly enough, and the government would be able to intervene in councils' local development plans.There would also be new sanctions for councils that do not deal with planning applications quickly enough, and the government would be able to intervene in councils' local development plans.
Mr Javid told the BBC that "new ways" had to be found to speed up housing projects, as the 141,000 new homes built last year were a fraction of those needed to meet demand. Mr Javid told the BBC the 141,000 new homes built last year were a fraction of those needed to meet demand.
"Local people will still have control over planning," he said."Local people will still have control over planning," he said.
"The point of this is to make sure we build more homes, that local people are still rightly involved in those decisions and we find ways to speed it up.""The point of this is to make sure we build more homes, that local people are still rightly involved in those decisions and we find ways to speed it up."
There was "no need" to build on green belt land, he insisted, to meet the government's targets.There was "no need" to build on green belt land, he insisted, to meet the government's targets.
"The green belt can be rightly protected. There is plenty of land which is not green belt that we can build on and which is suitable for housing and we need to get on with it. We need to find new ways to encourage it.""The green belt can be rightly protected. There is plenty of land which is not green belt that we can build on and which is suitable for housing and we need to get on with it. We need to find new ways to encourage it."
'Shying away' 'Tougher choices'
But planning consultancy Nathaniel Lichfield & Partners said 90% of the UK's land mass was undeveloped and "tougher choices" would have to be made if more than two million homes were to be built by 2030. The government's Fixing the Foundations package, due to be published shortly, also includes measures on higher education, transport, devolution of powers to cities and trade. has been billed by the Treasury as the second half of the Budget.
Mr Javid said that if the UK's output per worker was the same as the US, the country's total economic output would be 30% higher.
Planning consultancy Nathaniel Lichfield & Partners said 90% of the UK's land mass was undeveloped and "tougher choices" would have to be made if more than two million homes were to be built by 2030.
"In some areas release of Green Belt is required alongside development on brownfield land," said its managing director James Fennell"In some areas release of Green Belt is required alongside development on brownfield land," said its managing director James Fennell
"If government continues to shy away from this issue the housing crisis cannot be addressed." Professor Tony Travers, a local government expert at the London School of Economics, said the proposals were a step towards the "nationalisation of planning decisions" and a "shift away" from the localism agenda of the coalition government.
And local government expert, Professor Tony Travers from the London School of Economics, said the proposals were a step towards the "nationalisation of planning decisions" and a "shift away" from the localism agenda of the coalition government.
Mr Javid said the productivity gap was not merely a question of economic statistics but affected wages and living standards. If the UK's output per worker was the same as the US, he said the country's total economic output would be 30% higher.
This week, the Office for Budget Responsibility warned government plans for rent reductions in social rented homes would hit housing investment. The OBR said 14,000 fewer affordable homes would be built and cut its forecast for investment in private housing by 0.7%.
A Treasury source said the OBR assessment considered only the impact of the Budget and did not reflect the new policy.
Have you been affected by issues covered in this story? Do you work in the housing or construction industries? Send your comments to haveyoursay@bbc.co.uk.Have you been affected by issues covered in this story? Do you work in the housing or construction industries? Send your comments to haveyoursay@bbc.co.uk.
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