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“Stop blaming local government for the housing crisis”

by Ian Shires on 25 February, 2020

More than a million homes granted planning permission in the past decade have not yet been built, according to new analysis by the Local Government Association.

Latest figures show that 2,564,600 units have been granted planning permission by councils since 2009/10 while only 1,530,680 have been completed.

The number of planning permissions granted for new homes has almost doubled since 2012/13 with councils approving 9 in 10 applications.

While in some cases there will be a time lag between permission being granted and homes being built, new build completions have only increased by half as much in that time. Encouragingly, completions last year were the highest in any single year in the past decade.

Councils recognise the shortage of housing and the need to build more homes.

However, the backlog of unbuilt homes shows the planning system is not a barrier to house building. Removing the key role of Councils in the planning system – being hinted at by this Tory government – will create a “free for all” system which will divide communities, set neighbours against each other, and end up creating the “slums of tomorrow” as we have seen with the relaxation of permitted development rules. Councils would never have have allowed properties to be built without windows as we saw in Watford recently.

The Local Government Association is calling on the Government to use its forthcoming planning white paper to give councils powers to take action on unbuilt land which has planning permission.

This includes making it easier to compulsory purchase land where homes remain unbuilt, and to be able to charge developers full council tax for every unbuilt development from the point that the original planning permission expires.

With the right powers and funding, the LGA is convinced that councils can play a lead role in helping the Government tackle our national housing shortage.

As part of its submission to the Treasury ahead of next month’s Budget, the LGA is also calling for the Government to reform Right to Buy, by allowing councils to keep all of the receipts of homes sold under RTB to replace them and to have the flexibility to set discounts locally. We as Liberal Democrats also want to see Councils given additional powers to force developers to build out the sites with planning permission.

The planning system is not a barrier to house building. The number of homes granted planning permission has far outpaced the number of homes being built.

Councils need powers to tackle our housing backlog and step in where a site with planning permission lies dormant and house building has stalled.

If we are to solve our housing shortage, councils need to be able to get building again and resume their role as major builders of affordable homes.

It is also vital that the planning process is protected, so that councils and communities can ensure we build good quality and environmentally sustainable homes with the necessary infrastructure and more affordable housing.

* Councillor Ruth Dombey OBE is the Leader of the London Borough of Sutton and the Liberal Democrat Deputy Group Leader at the Local Government Association. The LGA is a politically-led, cross-party organisation that works on behalf of 415 councils to ensure local government has a strong, credible voice with national government.

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