The Commons Library has produced a comprehensive briefing paper
on the Housing and Planning Bill which ARCH members may find
useful.
View the briefing paper.
A focus on home ownership
On publication of the Housing and Planning Bill,the government
said it would kick-start a "national crusade to get 1 million homes
built by 2020" and transform "generation rent into generation buy".
The supply-side measures in the Bill are primarily focused on
speeding up the planning system with the aim of delivering more
housing. There is also a clear focus on home ownership, with
measures to facilitate the building of Starter Homes; self/custom
build housing; and the extension of the Right to Buy to housing
association tenants following a voluntary agreement with the National Housing
Federation (NHF).
Starter Homes and self/custom build
Part 1 of the Bill puts into legislation the government's
commitment to provide a number of Starter Homes for first-time
buyers under the age of 40. Starter Homes would be sold at a
discount of at least 20% of the market value. Specifically, the
Bill puts a general duty on all planning authorities to promote the
supply of Starter Homes and provides a specific duty, which will be
fleshed out in later regulations, to require a certain number or
proportion of Starter Homes on site. The general response has been
largely positive. However, concerns have been expressed about the
impact on the number of affordable rented homes developed, whether
the 20% discount would be deliverable, whether these homes would be
genuinely affordable and about how this policy would interact with
other planning policies on housing provision.
Chapter 2 of Part 1 adds to and amends theSelf-build and Custom
Housebuilding Act 2015,which requires local authorities to keep a
register of people seeking to acquire land to build or commission
their own home. The Bill specifically requires local authorities to
grant "sufficient suitable development permission" of serviced
plots of land to meet the demand based on this register.
Cross-party support for initiatives to promote self/custom build
was demonstrated during the passage through Parliament of the 2015
Act, although the Local Government Association has questioned the
need for legislation in this area.
Tackling 'rogue' landlords
Parts 2 and 3 of the Bill will give local authorities additional
powers to tackle rogue landlords in the private rented sector. They
will gain the ability to apply for banning orders against private
landlords. A database of rogue landlords and agents will assist
authorities in England in carrying out their enforcement work.
Landlords will benefit from a clear process to secure repossession
of properties abandoned by tenants.
A Right to Buy for housing association tenants and sale
of high value council stock
The Bill will not, as originally expected, introduce a statutory
Right to Buy (RTB) for housing association tenants. Following the
government's acceptance of the NHF's offer to implement the RTB on
a voluntary basis,Part 4of the Bill provides for grants to be paid
to associations to compensate them for selling homes at a discount.
The Bill provides a mechanism through which local housing
authorities will be required to make payments to the Secretary of
State. These payments will be calculated with reference to an
authority's high value housing stock with the expectation that this
stock will be sold as it becomes vacant. This aspect of the Bill is
controversial. There is concern that receipts raised from the sale
of high value council stock will not generate sufficient funding to
pay off the debt associated with these properties; provide for
replacement of the sold stock; cover the cost of discounts for
housing association tenants; and finance a Brownfield Regeneration
Fund. Commentators have welcomed the government's desire to improve
access to home ownership, particularly for younger people, but many
have called for a range of measures to support a balanced mix of
tenures.
'Pay to stay' - higher rents for high income social
tenants
Part 4 of the Bill also makes provision for 'high income' social
tenants (expected to be set at £40,000 in London and £30,000
elsewhere) to pay a market rent as opposed to a social rent - this
policy is referred to as 'pay to stay'. This measure is the subject
of an ongoing consultation process which closes on Friday 20
November 2015.
Assisting local authorities' private sector enforcement
work
Part 5 of the Bill covers a range of measures including:
- changes to the 'fit and proper person' test applied to
landlords who let out licensable properties; and
- allowing arrangements to be put in place to give authorities in
England access to information held by approved Tenancy Deposit
Schemes with a view to assisting with their private sector
enforcement work.
Speeding up the planning system
Part 6 contains a number of different reforms to the planning
system, with the aim of speeding it up and allowing it to deliver
more housing. Powers are given to the Secretary of State to
intervene in the local and neighbourhood plan making process. A new
duty to keep a register of brownfield land within a local
authority's area will tie in with a new system of allowing the
Secretary of State to grant planning permission in principle for
housing on sites identified in these registers. It also allows for
major infrastructure projects with an element of housing to apply
for development consent through the2008 Planning Actregime, rather
than having to seek separate planning permission. Many legal and
planning professionals have welcomed these provisions, but there
has been some concern about the extra burdens and costs for local
authorities and about government intervention taking away local say
in local developments.
Compulsory Purchase
Part 7 relates to compulsory purchase and implements some of the
changes set out in the Technical consultation on improvements to
compulsory purchase processes published earlier in the year
including:
- giving all acquiring authorities the same powers of entry for
survey purposes prior to a compulsory purchase order being
made
- to introduce a standard warrant provision in relation to the
proposed new common power of entry for survey and to introduce a
standard notice period of 14 days for entry for survey purposes
(Clauses 111-117)
- developing targets and clearer timetables for the confirmation
stage of the compulsory purchase order process (Clause 118)
- allowing the Secretary of State to delegate decisions to a
planning inspector in certain circumstances (Clause 119)
- and making changes to the process of taking possession of the
land and on the timing of the acquisition process (Clauses
121-128).
Extent 7 application in England & Wales
Parts 1 to 4 of the Bill extend to England and Wales but will
only have practical effect in England. This also applies to Parts 5
and 6 aside from clauses 90; 91; 108; 109; and 110 which will apply
in England and Wales. The whole of Part 7 of the Bill extends to,
and will have practical effect, in England and Wales. Clause 89
(regulating estate agents) will apply to the whole of the
UK.
View the briefing paper.