He agreed to change the landmark Leveling and Regeneration Bill to make it clear that centrally mandated targets are “advisory”. The new rules will mean councils will be able to build fewer homes than Whitehall thinks they need if they can show that hitting the targets would significantly change the character of an area. The Equalization Secretary has also agreed to reduce the powers of the Planning Inspectorate, making it harder for them to reject local development plans that have been agreed with the community.
And he pledged to make it clear that more homes would be built in urban areas and in the North as part of the government’s vision to raise the standard of the country. In another change, town halls will be able to introduce registration schemes for short-term holiday lets and there will be a consultation to allow them to require a change of use planning application if there is a change from residential to short-term ‘Airbnb-type use. Campaigners say the problem in places like Devon and Cornwall is that many people are turning homes into Airbnbs, which reduces the number of affordable homes available and in turn increases pressure to build more.

60 Tory MPs called for the target to be scrapped

The collapse came after 60 Conservative MPs signed an amendment tabled by Theresa Villiers and Bob Seely calling on the government to drop its target of 300,000 homes being built each year. Facing the threat of a huge loss of power for Rishi Sunak, the government last month mustered key votes on the leveling and regeneration bill. After talks with the rebels, Mr Gove has now agreed to make a series of changes to ensure the bill can go ahead. Campaigners say the changes will rebalance the planning system to give local communities a greater say in what is built in their neighbourhoods. They include a crackdown on developers who keep land unused despite being granted planning permission – a ploy that keeps prices high and pressures councils to find even more land to build on. There will also be a series of government reviews, including one to make it easier to build on land.

“These reforms will rebalance the planning system”

Ms Villiers, a former environment secretary, said: “These reforms will balance the planning system and give local communities a greater say in what is built in their neighbourhood. “The Government has listened and will amend the planning rules so that councils subject to real constraints can reduce their target. This will apply if meeting the centrally set target would significantly change the character of an area, for example from suburban to high-rise urban. “The compromise we secured shows that positive change can be achieved through control of legislation.” Mr Seely said: “We know how many communities are struggling against bad development. Supported by over 100 Tory MPs, we have helped ministers shape a housing and planning agenda that is more conservative than what we have today. “The targets will be advisory, not mandatory. The power of planning inspectors has been weakened. The rules that helped developers force councils to release land will be weakened. “The new language we have agreed will work with communities, speaking to the character of areas and celebrating the beauty of good design. It understands the need for agricultural land, will emphasize brownfield over greenfield development and help deliver youth homes.”

Degraded targets

Under the changes, local building targets will be downgraded – they will be ‘advisory’ only. They become a “starting point, a guide that is not mandatory”. Town halls will be allowed to depart from the central determination of local housing need if there are genuine constraints on its provision. It means, for example, that if the centrally set target includes building at a density that would lead to a significant loss of rural or suburban character, the council can set a lower figure. The reforms will cut the powers of planning inspectors as part of a “rebalancing of the relationship between local councils and the Planning Inspectorate”. So far, the Planning Inspectorate has in almost all cases refused to accept that exceptional circumstances exist and has indicated that the full target must be met. Their power to do so will be limited. Inspectors should take a more “reasonable” and “realistic” approach to “plans that take into account the concerns of the local community”. Mr Gove agreed that there should be more housing in urban areas and in the Midlands and North. Cities will not be able to transfer housing to neighboring suburban and rural councils.

New government review

There will be a new government review to make it easier to build on plots of land. Councils could be able to charge higher levies on greenfield sites to encourage developers not to use them. Mr Gove has promised a third review of allowing councils to refuse planning permission to developers who have previously refused to build immediately on land for which they have planning permission. There could also be a character test in the design to ensure that so-called “spiv” developers can be rejected. And there could be a new beauty test for new developments, to prevent beautiful areas being spoiled by new homes. When it comes to individual planning applications, the new planning codes will give councils a greater say in them. They will give councils stronger powers to determine the type of housing they want and set standards on issues such as scale, height, bulk and character. Councils that have performed well in previous years can take this into account in the number they propose for the future in their plans. This will alleviate the problem of councils delivering many homes being hit by even higher targets. Mr Gove agreed that a consultation on changes to the National Planning Policy Framework would be published by Christmas.