UK announces planning overhaul to help meet 1.5 million new homes target

Britain on Thursday outlined details of an overhaul to its planning system to boost growth and hit a target of 1.5 million new homes in the next five years, including ordering local authorities to build more houses. The housebuilding target was one of six “milestones” announced by Prime Minister Keir Starmer a week ago as he pledged to revamp a planning system he described as having a “chokehold” on growth.

Starmer said on Thursday the housing crisis meant the “dream of homeownership feels like a distant reality” to many people.

“Our plan for change will put builders not blockers first, overhaul the broken planning system and put roofs over the heads of working families and drive the growth that will put more money in people’s pockets,” he said in a statement.
The Local Government Association said planning reform must be coupled with efforts to tackle workforce challenges, construction costs, and local authorities and housing associations’ financial state. Swifter planning decisions did not guarantee more housebuilding, it said.

The government said there would be new mandatory housing targets, including building more homes where housing is least affordable. Local authorities will have 12 weeks to come up with timetables for new housebuilding plans or else risk intervention from ministers.

Previously developed land, known as “brownfield” sites, would be prioritised for development. Councils must also review boundaries of the green belt – a designation intended to prevent urban sprawl – to meet targets, and look to develop lower quality “grey belt” land.

The government said green belt development must ensure necessary infrastructure was prioritised. Councils, which will be given an additional 100 million pounds ($127.60 million) to support their work, said government needed a collaborative approach, rather than just imposing changes.

The Confederation of British Industry welcomed the updated plans.

“A faster and more agile planning system can unlock increased private investment and bolster the UK’s competitiveness,” CBI Interim Chief Policy and Campaigns Officer Jordan Cummins said. “We also welcome the increased focus on the need to identify land that will deliver economic growth ambitions.

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