A new paper by the professional estate and letting body titled Meeting UK house demand, moving beyond the planning system, has warned that much more is needed
The paper states that, while UK planning reforms are welcome, they will not be enough to reach the 1.5m new homes target.
To this end, the paper identifies three key issues that, if addressed, could have much more of an impact on the number of houses built.
Planning reform will not be the primary solution
Propertymark’s paper highlights that previous changes to the planning system have not had a major impact on the number of homes built in the past, neither increasing or decreasing.
Furthermore, it points to the many homes that have been granted approval through recent changes to the planning system, and the fact that there is still a lack of homes being built despite those being approved, with some years seeing fewer than half of the approved developments reaching the construction stage.
The three key issues Propertymark identified are as follows:
- The diminished role of local authorities in housebuilding, despite their historic contribution during periods of high housing delivery
- The growing number of homes with planning permission that remain unbuilt, highlighting a lack of effective incentives to deliver approved developments
- Severe skills shortages and low productivity in the construction industry, limiting its capacity to build at scale, regardless of planning approvals
Timothy Douglas, head of policy and campaigns at Propertymark, said: “There is no doubt that the planning system needs reform, but it is not the sole reason the UK is failing to build enough homes. For decades, homes were delivered at scale under the same planning framework because local authorities were building, skills were available, and developments were incentivised to progress quickly.
“If we continue to treat planning reform as the single solution, we risk ignoring the wider structural problems that are holding back delivery. To genuinely meet housing demand, governments across the UK must take a more holistic approach that supports builders, councils, and communities alike.”
The Propertymark paper can be read in full here.
Planning reforms affect infrastructure projects too
In October last year, it was announced that planning reforms had removed enough red tape to allow a previously delayed major infrastructure project to go ahead – the Falmouth Docks.
This project is valued at £150m, and focuses on expanding the docks, repairing, and upgrading to utilise clean energy.
Secretary of state for environment, food and rural affairs, Emma Reynolds, said: “Communities across the country have been let down by a bureaucratic planning system that chokes enterprise, does little for nature and leaves hardworking people waiting for the jobs and investment they deserve.
“Having one clear regulator in charge speeds up approvals and helps projects like Falmouth Docks to progress at pace, without compromising our ironclad commitment to the environment. This is a win-win situation for jobs, prosperity and nature.
“Through our Plan for Change, this government is fast-tracking the infrastructure Britain needs to secure national renewal.”
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