What the new Government means for Housing and Planning

"Planning reform will be a central component of Labour's first tranche of legislation – with a first draft of revised NPPF expected by the end of this month. We anticipate London-style housing powers being extended to the Metro Mayors, as set out in the Gordon Brown-led review of devolution, enabling them to adopt a holistic approach to addressing their areas' housing needs.

"The specifics of the new planning regime are not yet clear, but it must prioritise speed and empower councils to swiftly approve policy-compliant developments. This streamlined process is crucial for meeting the urgent housing demands and supporting Labour's ambitious housing targets.

"They need to get this right if they're going to have any chance of delivering the New Towns they've promised. They will need to be bold and risk turning voters in the chosen areas against them by effectively taking the decision out of the hands of local councils. Will they do it when they'll have an eye on the next General Election and all the local elections before that? Only time will tell."

Commenting on Green Belt and Grey Belt, Max Camplin from Cavendish said:

"Labour needs to take advantage of its substantial majority and stay true to its pledge to reform the green belt. Labour is in a strong position to adopt a common-sense approach, something the Conservatives struggled to achieve. However, it cannot give into potential concerns from its new MPs in former Tory heartlands, as well as Labour councillors, who might fear that being too aggressive on green belt reforms could jeopardise their prospects in the next election."

Build to Rent

Commenting on what the new Government means for BTR, Max Camplin from Cavendish said:

"The influx of new Labour MPs, many with experience in local Government, should bring valuable insights into the Build-to-Rent (BTR) sector. We hope this translates into a better understanding and acknowledgement of BTR as distinct from traditional Private Rented Sector (PRS).

"The potential for housing announcements in the early days of a new Labour Government, alongside the Party's commitment to building new towns to meet acute housing needs, is encouraging. The BTR sector, as a provider of new, long-term rented homes, will play a crucial role, provided the Government recognises its benefits.

"Yet, recent research from Cavendish, which polled MPs in the previous Parliament, found that only 11% would prioritise BTR homes for their constituency. This figure must rise if we are to realise secure, long-term, high-quality rental homes under the next Government.

"To fully capitalise on the BTR sector's potential to provide new, high-quality homes for long-term renters or those saving for a private sale home, the new Government must consider the BTR sector as distinct from the traditional PRS in policy terms. This distinction will ensure the sector's growth is not hindered by housing policies that do not account for its unique impact.

"As the BTR sector grows, the influence of metro mayors over housing and planning decisions will also increase. It is essential for metro mayors, local councillors, MPs, and civil servants to understand the BTR sector if we are to continue expanding the availability of long-term, high-quality rented homes.

"However, capacity issues at the local planning authority level have long frustrated councils and impacted all housing tenures. Regardless of who is in Government, there must be a long-term, coherent, and holistic plan to support current planning officers and inspire future ones to help build the homes our nation needs."

Affordable Housing

Commenting on Affordable Housing, James Bird from Cavendish said:

"Labour should be a more natural ally to the social housing sector, with the relationship having been largely rebuilt following the damage caused by the Voluntary Right to Buy.

"Polling conducted by Cavendish with YouGov in 2023 indicated that Labour MPs would prioritise affordable housing in their constituencies, with housing association homes ranked second, just 1% behind council housing, with affordable home ownership coming in third.

"Furthermore, Labour MPs demonstrate a stronger understanding of the funding challenges faced by housing associations. According to recent Cavendish polling, the lack of available funding was the third most cited obstacle for housing associations when delivering new homes, behind only the planning system and local objections.

"Despite this understanding, Labour has been vague on its approach to future funding for affordable housing, and the implications of reforming Section 106 following the Party's decision to scrap the Infrastructure Levy. Therefore, the social housing sector will need to make a strong case for long-term and enhanced funding early in the new Parliament.

"Importantly, Labour is highly ambitious on housing and delivery. The sector's countercyclical nature positions it well to support Labour's housing targets if provided with the right support. This is especially relevant to Labour's new towns plan, which is not driven by market forces and can form the foundation of this development."