Planning

The planning system has been substantially revamped in 2004, but in 2005 the changes will start to become concrete as the implications that were talked about last year start to make themselves felt.

The Planning & Compulsory Purchase Act, the most significant piece of planning legislation for more than 30 years, will be fully enacted in the spring. The development control sections will be implemented through various orders and regulations; the many key issues that will be finalised include:

• a reduction in the life of planning permissions from five to three years
• a reduced ability to renew or extend planning applications
• removal of the ability to “twin track” by submitting identical applications
• the introduction of standardised planning application forms and check lists
• a requirement for more detail on outline applications
• a requirement for statements of community involvement for significant projects
• more sophisticated targets for determining planning applications
• the potential for local permitted development rights through local development orders.

At the same time, we will get the first indications of how the changes to the development plan system, enacted in September 2004, are working.

The big change was the enhancement of regional planning guidance into regional spatial strategies.

The political tensions arising from the implications of long-term housing needs have already manifested themselves and will undoubtedly continue: it will be interesting to see the effects of the integration of the regional housing boards with the regional assemblies.

The merger of the regional housing strategy and the regional spatial planning processes was one of the recommendations of economist Kate Barker’s report for the Treasury on housing supply. Few of her other proposals have yet been implemented, but several of these will see the light of day in 2005.

The most notable legislation for 30 years is enacted this spring

Not least of them is the idea of a planning gain supplement – that is, a tax on increases in land value as a result of development – which is due for consideration at the end of the year.

This year will also bring the moment of truth for the recommended radical review of planning policy guidance note PPG3, the cornerstone of the government’s approach to planning for housing. A new draft planning policy statement PPS3 is due before the end of the year, but no doubt this will be after the general election.

In the mean time, more detailed practical advice on the delivery of affordable housing through the planning system is long overdue. Early in the year, expect to see the finalisation of the interim proposed changes to PPG3 that were first issued for consultation in July 2003. Advance notice has been given this month that the rural exceptions policy will be reprieved; most interest now surrounds the proposed reduction in site size thresholds for negotiating affordable housing and the extent to which local authorities will be able to prescribe the tenure and type of housing to be provided by developers. The proposed changes are expected to be accompanied by a good practice guide on delivering affordable housing through the planning system.

Also expected early in the year is a review of the guidance on local housing needs assessment, providing an integrated approach to housing market and housing needs assessment.

On the planning obligations front, consultations will continue. Although the threat of tariffs apparently still looms, it seems increasingly likely that the emphasis will be on improving the existing system.