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Autumn Statement 2023: funding to tackle planning backlog and mitigate nutrient neutrality
Chancellor Jeremy Hunt has announced a series of wide-ranging measures to tackle the planning system, which he claimed would “unlock” the building of thousands more homes.
In his Autumn Statement today, Mr Hunt pledged to invest £110m over the next two years on “high-quality nutrient-mitigation schemes”, which he said would help deliver 40,000 homes.
Nutrient-neutrality rules have become a political battleground, with the government believing the measures are blocking the development of more than 100,000 homes.
The rules mean house builders must ensure there is no nutrient pollution in areas where there is already some pollution.
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However, it was reported in September that Rishi Sunak, the prime minister, had abandoned plans to scrap the rules after an amendment in the Levelling Up and Regeneration Bill was defeated in the House of Lords.
The £110m will be made available through the Local Nutrient Mitigation Fund to help councils affected by the rules, with the 40,000 homes estimated to be delivered over the next five years.
The chancellor announced an extra £32m in funding which he claimed would “bust the planning backlog” and deliver thousands of extra homes, including in new “quarters” in Cambridge, London and Leeds.
The money will go towards addressing backlogs at local planning authorities.
The full Treasury document on the statement also revealed that, under new plans, councils will be able to offer “guaranteed accelerated decision dates” for major developments in England in exchange for a fee. Refunds will be issued if the deadline is not met, the document said.
Measures to improve transparency and reporting of planning authorities’ records in delivering “timely decision-making” will also be in the plans being put forward by the Department for Levelling Up, Housing and Communities.
Speaking in parliament, the chancellor also said he would consult on a new permitted development right to “allow any house to be converted into two flats, provided the exterior remains unaffected”.
The planning backlog has been widely blamed for slowing housebuilding, as the government remains committed to a target of delivering 300,000 homes a year by the middle of the decade.
Elsewhere in the Autumn Statement, the government pledged to unfreeze Local Housing Allowance and increase benefits, and announced new funding for the Affordable Homes Guarantee Scheme.
