News & Blog

There were a number of key announcements made as a consequence of the Government’s Spending Review announced today that have ramifications for the planning system and the property market as a whole. These are set out below:

 

The Government has stated its intention to increase ‘housing supply by reforming the planning system so it is more efficient, effective and supportive of economic development.’ As well as the Localism Bill the Government will seek to publish a White Paper early next year on further reforms to decentralise power and give communities the right to run their own services.

 

The Chancellor has announced that there will be no new spending for Homebuy Direct or Kickstart. The National Affordable Housing Programme (NAHP) budget will be cut by 74% by the end of the Review period (2014/15). However, there will be continued provision for mortgage support schemes coming from the NAHP, estimated to be around £200 million.

 

Registered Social Landlords (RSLs) will be given the opportunity to offer shorter term and more flexible tenancies between social and market rates as part of a major reform of the social and affordable housing system. These suggestions will be discussed further in the forthcoming White Paper on affordable housing reform.

 

A New Homes Bonus (NHB), containing £900 million of funding over the Review period will take effect from the start of the 2011/12 financial year in April, with £200 million available in the initial financial year. This replaces the current Housing and Planning Delivery Grant and consultation on the NHB will be launched in November of this year.

 

One of the casualties of the Spending Review is CABE, with the Department for Culture Media and Sport (DCMS) confirming that it will cease its funding of the body. Approximately £5 million of CABE’s budget was received from the DCMS last year, which amounts to almost 40% of its entire budget. The withdrawal of funding will see the body wound up with the remaining budget provided for the associated cost of shutting CABE down. English Heritage is also facing a funding cut of almost a third.

 

The Spending Review identifies £30 billion for key rail and highways investments. Key projects such as Crossrail, LUL improvements and congestion easing programmes on the M62 and M25 were seen as imperative to the Government’s long term transportation strategy and ring fenced.

 

The speed at which Regional Policy was removed and the current removal of Agencies and Quangos has created justifiable concern.  The result may be the same but the manner in which the Government is seeking to stamp its authority on planning is of concern.  The current watershed in approach will see a sea change in ownership and responsibilities but that remains is still the very essence of Planning.  Spatial planning on a strategic footing is no less complex and few have the skill sets that make them true regional planners.

Regional agencies or no regional agencies is not a planning issue that is of a high priority to me.  Neither am I worried for the loss of the numerous management jobs in terms of it adversely impacting on the role of planning.  However, I worry for the potential significant loss regionally and strategically of experienced spatial planners.  These are the planners and surveyors that have a low profile within regional bodies and local authorities but remain the backbone of spatial planning.  I would suggest that the management levels that could be lost are not planners orsurveyors but management tiers that seek only to manage other managers.

To my mind ‘Certainty’ has always been the key to any planning service being viewed positively.  In Alliance Planning, I believe our success has been telling the whole story both the good and the bad that then allows Clients to make an informed decision.  Localism will undoubtedly be successful when undertaken and provided as part of a sound understanding of strategic spatial planning.  Chartered Planners and Surveyors must ensure that they remain actively involved, apply their experience and never allow the loudest voice to be considered the right answer when it is ill informed.

The RTPI and RICS are a leading world standards in town planning and regeneration that are flexible enough to embrace new approaches and processes.  Our role is to act in a manner that does not undermine a specialism that few have.  Hopefully we will be viewing the changes retrospectively with the hindsight that localism was a positive force and not a political expedience that we need to unpick.

Alliance has been instructed to prepare the UK's first Low Carbon Renewable Energy Centre at Eco Sustainable Solutions in Dorset.  The porposals comprise a 30ha Solar Energy Park and two new Anaerobic Digestion Plants, which will add to the proposals already in planning and due for determination in November for a Biomass Plant.  

In total, the Renewable Energy Centre has the potential for around 15 to 20 Megawatts of electricity generation, the size of a traditional small power station.  The main constraints that we are addressing are Green Belt and nearby designated SPA/SAC.  The applications are due to be submitted in phases in November and December 2010.