One of the first actions this Government took upon assuming office was to establish an independent expert advisory panel, the New Towns Taskforce, to support the delivery of our manifesto commitment to build a new generation of new towns.
A key purpose of this new generation of new towns is to create new and expanded places and thereby boost economic growth and the supply of new homes—spreading opportunity and supporting strong communities. With that ambition in mind, the taskforce was commissioned to make recommendations to Ministers on the location and delivery of new towns.
The Government made it clear that the taskforce should consider not only large-scale, stand-alone new communities, but also urban extensions and urban regeneration schemes that would work with the grain of development in any given area. We specified that each of the new settlements should contain at least 10,000 homes, but made it clear that we expected a number to be far larger in size. We also commissioned the taskforce with ensuring that any proposals would deliver well-connected, well-designed, sustainable and attractive places where people want to live, with the infrastructure, amenities and services necessary to sustain thriving communities.
On 28 September, the Government published the taskforce’s final report as well as an initial response to it. In its report, the taskforce recommended 12 potential new town locations to the Government. In line with its remit, the taskforce has identified sites across a range of typologies that share core characteristics and reflect the Government’s ambition for new towns to unlock economic growth and deliver housing at scale. Collectively, they have the potential to deliver up to 300,000 homes over the coming decades.
In our initial response, we welcomed all 12 of the recommended locations. Prima facie, each has the clear potential to deliver on the Government’s objectives, with Tempsford, Crews Hill and Leeds South Bank looking particularly promising as sites that might make significant contributions to unlocking economic growth and accelerating housing delivery.
We also made clear that we support the placemaking approach recommended by the taskforce and are encouraged by the aims of its recommended placemaking principles. These include links to high-quality public transport, access to nature, and infrastructure like schools and hospitals, support for business growth and job creation, and the aim to achieve 40% affordable housing, with half of this social rent. The final selection of placemaking principles will be subject to environmental assessment and consultation.
The Government agree with the taskforce that the preference for new town delivery should be through the development corporation model, while recognising the need for flexibility depending on the circumstances of each site. We intend to assess the delivery vehicle options for each place, including consideration of central, mayoral and local development corporations, and the potential for public-private partnerships.
The initial response also states that planning decisions in all 12 recommended locations should consider potential impacts of other developments on the delivery of the new towns, in line with recommendations by the taskforce. We also note wider recommendations by the taskforce on ensuring that the planning system is set up to support new towns and that the legislative framework facilitates the role of development corporations in their delivery, and will carefully consider these recommendations ahead of our fuller response in the spring. In advance of this, we want to reassure local leaders that a consistent and fair approach will be taken to how local housing need targets interact with the future delivery of new towns, to support our overall aim of increasing housing supply, and we will set out more detail in due course.
The Government have commenced a strategic environmental assessment to understand the environmental implications of the development of new towns. This will support final decisions on precisely which locations we take forward as well as the final approach to placemaking and delivery. No final decisions on locations will be made until that SEA concludes, and preferred locations could change as a result of the process.
Ministers and officials will now begin work with local partners to develop detailed proposals and enhance our understanding of how different locations might meet the Government’s expectations of what a future new towns programme can deliver, with all promising sites and reasonable alternatives assessed and considered through the SEA process. Appropriate assessment under the habitats regulations will also be undertaken when required.
The Government will publish draft proposals and a final SEA for consultation early next year, before confirming the locations that will be progressed as new towns later in the spring alongside a full response to the report of the New Towns Taskforce.
In our initial response, we set out the Government’s intended approach to land. This includes the fact that the ‘no-scheme principle’ of compensation for compulsory purchase will apply, so compensation will not include any land value generated by the new town scheme. Any value associated with the potential for planning permission that arises as a result of the relevant new town scheme, including from potential created from the planning framework for the new town scheme, will also be disregarded in accordance with this principle.
Delivering the next generation of new towns will be a cross-Government effort and central to the Government’s agenda, not just in terms of building homes but in order to drive economic growth and spread economic opportunity across the country. It will be a priority across all Government Departments to ensure that new towns are built with the infrastructure and amenities required to create successful new places, with the long-term certainty of funding. We are determined to get spades in the ground on at least three new towns during this Parliament, and the Government are prepared to progress work on a far larger range of locations if it proves possible.
Finally, I would like to thank Sir Michael Lyons, Dame Kate Barker and all members of the New Towns Taskforce for their diligent work over the last year in producing such a considered and comprehensive set of final recommendations.
[HCWS948]