United Trust Bank has explained that the government's decision to make Permitted Development rights permanent has been well recieved by many developers.

The government announced that the rights, which allow offices to be converted without the need for planning permission, would be made permanent after it was originally due to end in May next year.

Paul Keay, Property Development Director at United Trust Bank, said changes to the planning requirements were well received by many developers.

“Uncertainty over what lay beyond the expiration of the temporary order next May has, however, prevented a number of suitable schemes from progressing as quickly as they should,” said Paul.

“The government’s proposal within the recently published Housing and Planning Bill to make the temporary changes permanent, and to extend the range of buildings included within the order, will be welcomed by developers and lenders alike.”

Paul said the original rights meant that conversions covered by Permitted Development rights had to have begun their new residential use by May 30th 2016, and this had created a headache for developers when considering schemes which may not be fully completed and occupied by that time.

“Whilst the bill has yet to pass into legislature, it does send a clear signal to developers and lenders that the government remains positive about the impact of the initiative, and does not intend to leave developers high and dry next May,” added Paul.

“As a result we expect developers to recommence progressing schemes which were put on the back burner until the government had made its intentions clear and this is good news for developers, development lenders and the many hundreds of thousands of people who will be looking to buy their own homes over the next few years.”

Last week, DFT revealed that a number of lenders and brokers welcomed the government’s move to extend Permitted Development rights.