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LPA demands planning investment plan from budget



The London Property Alliance (LPA) has urged the chancellor to include a funding plan for planning departments in tomorrow’s autumn budget.


The LPA has made the plea to “ensure there is capacity” to help meet the government’s housing delivery target of 1.5 million homes over the current parliament.

According to government statistics released in March, between July and September 2023 only 21% of major applications were decided upon within the statutory 13 weeks.

Such delays are pronounced in the capital. According to LPA analysis, the number of major applications determined in the Central London Activities Zone in the 10 years to 2023 was 54% lower than the preceding decade.

Ahead of the autumn budget (on 30th October), the LPA is calling for funding for local planning departments to be ringfenced and for any increase in planning fees to be reinvested in these same departments.

The LPA also wants additional funding to be made available to bolster planning departments and skills — the organisation’s CEO Charles Begley said a “real commitment” needed to be made by chancellor Rachel Reeves.

“In London, and in cities across the UK, we are facing a shortage of the high-quality, sustainable workspace favoured by leading businesses,” said Charles.

“We will not be able to grow the high-productivity sectors identified in the industrial strategy or attract world class talent if we do not properly resource the planning system and accelerate development to meet this demand.”

The LPA’s comments come soon after chancellor Rachel Reeves revealed her budget would include £500m in new funding for the affordable homes programme.

This, she argued, would help deliver an additional 5,000 affordable new homes. A new five-year social housing rent settlement will also be made to secure more long-term funding.

Existing stock will be protected by reducing right to buy discounts, she added.

“We need to fix the housing crisis in this country,” said Reeves.

“It’s created a generation locked out of the property market, torn apart communities and put the brakes on economic growth.

“We are rebuilding Britain by ramping up housebuilding and delivering the 1.5 million new homes we so badly need.”

The £500m addition to the affordable homes programme is part of the government’s new housing strategy due in Spring 2025.



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