Farmers hold the key to the supply of land for housing development in England

With an ambitious target for the construction of 1.5 million 'net additional dwellings' over the next five years to stimulate the flagging UK economy, radical planning reform is being introduced. The Government's revisions to the Planning Policy Framework open up significant new opportunities for farmers and rural landowners.

Sir Keir Starmer's government has identified the need to rapidly accelerate housing land supply by relaxing planning controls. Already targets for local housing needs have been revised upward by many councils. Of England's total land mass, nine million hectares (or 63% of the country) is in the hands of its farmers. This figure includes 102,400 separate farm holdings (Defra 2023). It is therefore our farmers and rural landowners who hold the key to the supply of most of the land and buildings from which new dwellings can be constructed.

The importance of Development Plans for rural landowners

The Town and Country Planning Act of 1947 established a 'plan-led' approach to the use of land and buildings in England, with councils required to create Development Plans and grant planning permission based on these plans.

When making an application for planning permission, the starting point is always the Development Plan - whether it is a District or a Neighbourhood Plan. These plans are of fundamental importance as they set out where development can and cannot occur. They also contain policies against which planning applications are to be tested.

Landowners should always be encouraged to engage in the promotion of their land during the process of updating their local Development Plan. This is because land identified for development, which has been allocated in a Development Plan, carries considerable weight when the council comes to deciding whether or not to grant planning permission.

The recently updated National Policy Framework states that where a Development Plan is out of date, and there is an under supply of housing land in a particular area, there is a presumption in favour of granting planning permission for sustainable housing. This means that it is now possible to bring forward sites for development which had not previously been identified in the Development Plan.

The Planning and Infrastructure Bill currently before Parliament will further strengthen the importance of these plans.

Special Permitted Development Rights for Farmers

Since the 1970's farmers have benefitted from Permitted Development Rights to extend, erect or alter new farm buildings and other structures without the need for full planning permission. However full planning permission was still required for the change of use of agricultural buildings to other uses. Everything changed in 2014, when Parliament extended Permitted Development Rights for farmers and planning permission was no longer required to convert agricultural buildings for residential and business uses.

This change in legislation has presented enormous and unprecedented development opportunities for farmers in locations, and for types of buildings and uses where planning permission would not previously have been considered suitable by councils.

In May 2024 the Government's focus on housing growth led to further legislation to expand Permitted Development Rights for farmers, most notably the right to convert farm buildings into up to a maximum of ten dwellings. These rights apply throughout England. Sites within designated Green Belt land are included, but national landscapes and protected heritage buildings are not.

Grey Belt

In December 2024 the Government introduced some relaxation in the rules relating to the control of development in the Green Belt. Degraded land in the Green Belt, known as ‘Grey Belt,’ will now be allowed for housing development. This right does not extend to the redevelopment of farm buildings unless they have a history of non-agricultural use.

Other opportunities open to farmers?

It is not uncommon for farmers to allow staff to occupy caravans on a farm, or businesses to occupy farm buildings, or even agriculturally-tied properties to be occupied by non-farm workers, without having first obtained planning permission. The Law allows these breaches in planning control to be immune from planning enforcement, provided the breach has occurred continuously for ten years or more. There are, however, some circumstances where this can be reduced to four years. The procedure to be followed to establish lawful use is rigorous. If successful, it can unlock additional development opportunities, either by retaining the existing use or using it as leverage to achieve something more ambitious.

Planning policy and law is extremely complex and ever-changing. As a result of the current Government's drive for economic growth through the planning system, numerous openings are emerging for the farming community. It is always advisable for farmers and landowners to seek the advice of a Chartered Member of the Royal Town Planning Institute (RTPI) to identify and help realise development opportunities that may be available to them.

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(This article first appeared in The Farmers Club Spring 2025 Journal)