With ambitious goals for housing targets and infrastructure, the focus in the Autumn Budget 2024 is on streamlining project delivery and enhancing local authority capacity. Whilst cautious on sweeping planning reforms, the Labour Party budget brings several encouraging changes for developers aiming to meet the UK's housing targets and to support regional growth.
Focus on Affordable Housing and Brownfield Sites
The Budget prioritises funding for affordable housing, with particular attention on brownfield development. For developers, this shift could be beneficial by providing new incentives to repurpose previously developed sites within urban areas. These policies aim to simplify development on brownfield land and expedite project timelines, especially for sites already in the planning process. Building on brownfield sites can offer cost benefits while aligning with sustainability goals and local support for revitalising urban areas. Developers can expect more straightforward access to funding for projects that align with these criteria, although the competition for these funds may be high.
Expanding Local Authority Planning Capacity
The government’s £46 million investment to hire 300 new graduates and apprentices into planning roles will add much-needed capacity within local authorities. For developers, this could reduce delays and improve the speed of application processing, which has often been hindered by staffing shortages. However, many in the industry remain cautious about the effectiveness of this measure, noting that retaining experienced planners is essential to truly unlock efficiencies. Moving forward, developers will likely see an incremental improvement in planning timelines, but a full resolution of council staffing issues may require broader retention strategies.
Infrastructure Commitments and Regional Development
Key infrastructure projects, such as the completion of HS2 to London Euston, the East-West Rail, and upgrades to the Trans-Pennine transport network, signal the government’s commitment to strengthening regional connectivity. For developers, these projects can drive significant opportunities by increasing the accessibility and appeal of targeted development zones. Areas benefiting from these infrastructure improvements are likely to see heightened demand for housing and commercial space, providing a clear opportunity for strategically positioned projects. Developers may want to engage with local planning authorities and planning consultancies such as Salmon Planning early on to align their projects with these emerging infrastructure plans and maximise support.
Challenges in Delivering Housing Targets
Despite these supportive measures, achieving the government’s target of 1.5 million homes remains a challenging task. Delivery will hinge on effective reforms in the National Planning Policy Framework (NPPF) and the anticipated Planning & Infrastructure Bill, which are expected to introduce further efficiencies to planning processes before the end of the year. Without these reforms in place, large-scale projects may still face delays and regulatory hurdles. Developers should keep an eye on forthcoming updates to ensure their projects can benefit from any new efficiencies these reforms bring.
Looking Ahead
While the 2024 Budget makes strides in supporting housing and infrastructure, developers will need to navigate both the opportunities and limitations of the current planning landscape. The government’s investments in planning staff and urban regeneration initiatives are steps in the right direction, though broader reforms will be essential for the sector to meet its ambitious targets fully. For developers, this Budget encourages a focus on brownfield and affordable housing projects, particularly in regions poised to benefit from transport and connectivity upgrades. Engaging proactively with local councils and staying updated on forthcoming policy changes will be key strategies for capitalising on these new opportunities.
Our team of expert chartered planning consultants are happy to discuss the development
potential of any site. With offices in Somerset and Devon, Salmon Planning helps landowners
and developers throughout the South West unlock the value of their land with both expert
planning advice and in-house architectural services.
You can contact us on 01749 671500 or email info@salmonplanning.co.uk
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