New Towns

Gideon Amos Excerpts

Thursday 15th January 2026 Commons Chamber

[Gideon Amos (Taunton and Wellington) (LD)]

I express my gratitude to the hon. Member for Cumbernauld and Kirkintilloch (Katrina Murray) for a really engaging speech about how it is the people who invest their lives in the community who make it what it is—a sentiment that I am sure we all share. I have learnt a great deal more about new towns from hon. Members across the House, and it has been a privilege to listen to the debate.

In our manifesto, the Liberal Democrats committed to 10 new garden cities, so we welcome this debate and the Government’s ambitions for new towns—depending on how they are implemented, of course. It is vital to have a new generation of major communities, given the terrible state of affordability that the housing sector got into under the Conservative Government. That is why we have a big ambition of 150,000 social homes per year, which is above the Government’s current target. However, new towns must not come at the expense of existing communities and towns. My hon. Friends on the Liberal Democrat Benches are engaging in a positive and constructive spirit with a range of new towns on their boundaries, alongside the Government and local communities.

New towns must deliver in social terms—the homes provided—but also environmentally and economically, as the mark 1, 2 and 3 new towns did so successfully. In our view, three critical principles need to be met: new towns must be environmentally ambitious, they must be successful in social terms—that means infrastructure— and there must be long-term financial investment. That investment must be sufficient to ensure that housing is genuinely affordable and will offer a decent home in a good environment, in all senses of that word, as hon. Members have expressed it in many different ways throughout the debate.

On environmental ambition, I regret to say that garden cities seem to have been airbrushed out of this programme —unintentionally, I hope—in ways that are out of keeping with the post-war new towns programme. What was originally called the town garden in Stevenage was a great reflection of how the garden city principle informed and provided the basis for the new towns. The Garden City Association campaigned for a new towns programme before the war. Now it is the Town and Country Planning Association—I should probably declare an interest as an honorary, voluntary vice-president of that organisation.

Garden cities are not just words; as we have heard, they were the basis of the new towns of Letchworth and Welwyn, and of many others. “Let the countryside invade the town” was one of Ebenezer Howard’s cries. I often wonder whether he wrote those words at the very desk that is in front of me, because his day job was as a parliamentary Clerk. In his spare time, he wrote a radical piece called “To-morrow: A Peaceful Path to Real Reform”. It did not sell very well, so a year later he renamed it “Garden Cities of To-morrow”, and that book laid the foundation for the garden cities and new towns that were to be built throughout the country. He was surely right to espouse a vision of how people and nature, town and country, and society and the environment can thrive together. He was right then, and surely that vision is right now.

These new towns must set the highest standards for nature protection. They need well-insulated homes that are cheap to run, with solar panels on the roof, as promoted by the sunshine Bill tabled by my hon. Friend the Member for Cheltenham (Max Wilkinson). They need district heating and cheap heat, as the hon. Member for Bishop Auckland (Sam Rushworth) pointed out—that is good for the planet, as is good public transport that does not pollute and jam up the roads.

Those ideas were pioneered by many of the garden cities. As the hon. Member for North East Hertfordshire (Chris Hinchliff) explained well, the Letchworth Garden City Heritage Foundation endowed the environment with assets and resources so that it would continue to be protected into the future. For over 100 years, as he said, that trust has been able to fund and care for the environment and put money back into Letchworth as a community. That provided a great model. In another reflection of how garden cities provided the basis for new towns, Milton Keynes’ Parks Trust does exactly the same thing. Where such estates have not been sold off, as has been described in relation to other new towns, that is an incredibly successful model. As Members have said, it is vital to endow the public realm and the environment with the resources and investment needed to sustain them for 100 years.

Turning to social impacts and infrastructure, we Liberal Democrats would like to ask the Minister how councils and communities are going to make decisions about the impacts of the new towns. Any spatial development strategy is going to come after the event, as the new towns have already been designated. Parish councils such as Somerton in Oxfordshire, which my hon. Friend the Member for Bicester and Woodstock (Calum Miller) is working hard to advocate for, have pointed out a range of simultaneous proposals in Oxfordshire, including the Oxfordshire strategic rail freight interchange, 280,000 square metres of warehousing at Baynards Green—which, coincidentally, is being considered today by Cherwell district council—the Puy du Fou leisure park, and many other developments that will collectively generate 47 million additional trips per year. The Government are engaged in the ongoing strategic environmental assessment, which I welcome, and it may assess some of the impacts, but there is no plan that involves local authorities in resolving these decisions, in taking decisions about how the new towns, such as Heyford Park in Oxfordshire, will land in their midst, and in considering how such developments will affect the existing network and hierarchy of towns and communities. There is a missing link with strategic planning, and it needs to be put back. That would allow the community-led approach to these developments that we want to see and allow affected local authorities to have their say. After all, the location for Milton Keynes was negotiated between central and local government.

As the hon. Member for Cumbernauld and Kirkintilloch said, it is vital to respect the identities of the places in which these new towns are located. Will the Minister commission a rapid sub-regional plan process for the councils in each of these locations so that they can resolve the issues? He has already indicated that he may, but will he visit in due course all these locations, so that he can engage with the local communities concerned? As other Members have asked, will he confirm—I think he said he said that he was thinking about it—that the planned housing numbers will indeed count towards local plan targets imposed by the Government’s standard method? It will be impossible for local leaders and local councils to develop these new towns at the same time as trying to deliver the impossible housing targets that many of them are facing. There is a 41% increase in local plan numbers in my Somerset council area alone, for example.

On social impacts within towns, the pre-war garden cities and post-war new towns were 90% social housing. In the Select Committee, the Minister indicated that the Government may be walking back from the 40% affordable housing target. What is the minimum that they will accept?

Infrastructure is needed by new and existing towns, particularly those affected by these plans. For example, Ardley station is needed to serve the Heyford Park new town and the existing community. Other forms of infrastructure also too often go missing, and that is true not just of new towns. For urban extensions, promised and needed GP surgeries have never come forward, including in Orchard Grove in my Taunton and Wellington constituency and in Bicester in the constituency of my hon. Friend the Member for Bicester and Woodstock. Will the Government ensure that existing communities will not lose out on GP surgeries as a result of new towns being given those facilities? These vital relationships with existing communities need to be resolved. Infrastructure for transport, water, energy, health and active travel must come first, and before the housing.

Let me turn to the financial support that these developments will need if they are to be successful. All these things cost money—we recognise that. We are therefore disappointed that the Minister, I think, said to the Select Committee that there is no pot for new town funding, and that poses a real risk that the £3.9 billion a year funding for the affordable housing programme will be used to fund the new towns programme, inevitably taking money away from other areas. Although the land value capture model that the Government are promoting is welcome and we support it, it will not be enough.

As many Government Members will know, the original post-war new towns had significant, 60-year Treasury loans. They were worth about £4.7 billion; that is about £140 billion today. Those loans were repaid—not just in full, but with a surplus coming back to the Treasury. The bulk of it was repaid in 1999. Since then, almost another £1 billion has been repaid from further land sales and receipts from that investment. It is a sound investment. No doubt the Treasury will say, “Don’t worry, the market can deal with this. We don’t need any public money.” But markets do not look 50, 60 or 100 years ahead. Markets do not know how to build communities with facilities for real people—the kind of people that the hon. Member for Cumbernauld and Kirkintilloch spoke about. We need long-term financial investment from the Government so that these schemes will be successful. Without it, we risk repeating some of the failures of the past.

We stand ready to work with this Government in a constructive way on their new towns programme, but only if it provides the financial investment that is needed so that it is a success and, crucially, so that existing towns do not lose out. It must commit to long-term investment over and above land value capture, so that local councillors and mayors are not left out in the cold, trying to promote these projects with one arm tied behind their back. Finally, the programme must recognise that, in a society under threat from climate change, environmental ambition needs to be at the forefront, learning from the very best of the garden city ideals.

[Madam Deputy Speaker (Ms Nusrat Ghani)]

I call the shadow Minister.

--- Later in debate ---

[The Minister for Housing and Planning (Matthew Pennycook)]

It is a pleasure to close this debate for the Government. I congratulate my hon. Friend the Member for Cumbernauld and Kirkintilloch (Katrina Murray) and thank her for securing the debate, and I thank the Backbench Business Committee for granting the House an opportunity to debate this incredibly important matter. I was struck, in what was a strong opening speech by my hon. Friend, by her emphasis on people and the ability of “planning done properly” to change lives. That is a hugely important statement and a principle that guides the Government in all areas. I thank all hon. Members for contributing to the debate. We had a series of thoughtful, passionate and in many cases personal contributions, and I think the most references to concrete animals of any debate in my nearly 11 years in this place. It has been a thoughtful and important debate, rich with history.

The post-war new towns programme was the most ambitious town building effort ever undertaken in the UK. It transformed the lives of millions of working people by giving them affordable and well-designed homes in well-planned and beautiful surroundings. The 32 communities it created are now home to millions of people, including a number of hon. Members who made contributions this afternoon. I stress that the Government will continue to invest in the regeneration of our existing new towns. My hon. Friend made reference to some of the investment currently being made in hers. My hon. Friends the Members for Telford (Shaun Davies), for Rugby (John Slinger), for Welwyn Hatfield (Andrew Lewin) and for Stevenage (Kevin Bonavia) all made the case for what is happening, and what they want to see happen in the years ahead, to further revitalise the places they represent.

Alongside those efforts, we are determined to bring forward the next generation of new towns, as per our manifesto commitment. In so doing, we have taken inspiration from the proud legacy of the 1945 Labour Government who, through the New Towns Act 1946, initiated the first post-war wave of new town building, as well as the subsequent waves in the 1960s. But we have also sought to learn crucial lessons from those previous efforts, for example—this was a point made by several hon. Members—the fact that previous new town initiatives did not always embed long-term stewardship into their development and the detrimental consequences that has had for those locations.

As the House will know, to progress the next generation of new towns, the Government established an independent new towns taskforce within months of taking office. That taskforce, chaired by Sir Michael Lyons, with Dame Kate Barker as his deputy and eight other highly regarded expert members drawn from across the built environment sector—I pay huge tribute to all their work in producing their final report—was given a clear mandate: to make recommendations to Ministers on the location and delivery of new towns, with the objective of supporting and unlocking economic growth, as well as making a significant contribution to meeting housing demand in England.

The Government made it clear that the taskforce should consider not only large-scale stand-alone new communities of the type Tempsford might be, but urban extensions and urban regeneration schemes that would work with the grain of development in a given area. We specified that each of the new settlements should contain at least 10,000 homes, but made clear that we expected a number to be far larger in size. We also commissioned the taskforce to ensure that any proposals would deliver

“well-connected, well-designed, sustainable and attractive places where people want to live and have all the infrastructure, amenities and services necessary to sustain thriving communities.”

Let me be clear, and hon. Members are right to have raised this: success on those criteria will be integral to the success of the programme as a whole.

Last September, the Government published the final report of the taskforce, as well as their initial response to that report and immediate next steps. In that initial response, the Government warmly welcomed all 12 of the locations recommended by the taskforce on the basis that, prima facie, each has the clear potential to deliver on the Government’s objectives. We also made it clear that Tempsford, Crews Hill in Enfield and Leeds South Bank look particularly promising to us as sites that might make significant contributions to unlocking economic growth and accelerating housing delivery. We are determined to get spades in the ground on at least three new towns in this Parliament—I stress the words “at least three”, because three is not the limit of our ambition. I think the shadow Minister incorrectly assumed that it will be just the three locations we have cited as promising. We are determined to deliver at least three, but we are prepared to progress work on a far larger range of locations if that proves possible.

As the House will be aware, we are now in the process of conducting a strategic environmental assessment to better understand the environmental impacts of new town developments in the locations recommended by the taskforce, as well as refining the scope of the programme more generally. Again, I want to stress that no final decisions on locations will be made until the SEA concludes and that the prioritised locations could change as a result of that process.

To respond directly to the shadow Minister’s point, we intend to consult on the programme alongside the completed SEA report in the coming weeks. The feedback to that consultation will inform final decisions on the locations we intend to adopt, as well as other matters such as how we allocate funding between sites and how we define and support new town locations in planning policy. When we are at the point of making decisions, we will publish a comprehensive response to the taskforce’s final report.

Hon. Members have raised a number of specific points in today’s debate, which I will respond to as fully as I can within the constraints of the ongoing SEA and programme scoping process. The hon. Member for North Bedfordshire (Richard Fuller) and the Liberal Democrat spokesperson, the hon. Member for Taunton and Wellington (Gideon Amos), raised the matter of local housing need and how housing targets interact with our new towns programme. We have been clear that our starting assumption was that new towns should deliver over and above the targets produced by the standard method, not least because we expect construction of the new towns that move forward as a result of this programme to begin in earnest only towards the end of the Parliament. However, I have been reflecting on this matter—not least in response to representations made by hon. Members—and I want to ensure that when we come forward with our final position on LHN, it is fair and consistent across the country and provides the necessary incentives for communities to want to see new towns come forward.

The Chair of the Housing, Communities and Local Government Committee, my hon. Friend the Member for Vauxhall and Camberwell Green (Florence Eshalomi), and other hon. Members raised the issue of affordable housing. I assure the House that we are not walking back or watering down our commitments on affordable housing. We have been very clear that new towns should have a range of housing types available, including adequate proportions of genuinely affordable homes.

It is worth stressing that the taskforce endorsed the Government’s commitment on affordable homes in its final report—it was a Government gold standard to aim for a target of 40% affordable housing. The taskforce was very clear in its final report that it endorsed that target and that it wanted to see 40% as a minimum, with half of those being social rented homes. We desperately need social rented homes, which is why that is such a priority for the Government.

The taskforce clearly said that where viability makes achieving that 40% target challenging, the Government should look to meet the requirement through grant funding, which is something the Government have to consider as we scope the programme, in particular in locations with low land values, where meeting that affordable number will be more challenging. Again, we will bring forward further detail on that and the other place-making principles in the taskforce’s final report after the environmental assessment and consultation, when we can provide hon. Members and the public more widely with more detail.

My hon. Friend the Member for Vauxhall and Camberwell Green also referred to delivery models. The Government agree with the taskforce that the preferred model for new towns should be the development corporation model. I think the House well understands the benefits that come with that. There are, of course, a range of development corporation types, including centrally led, mayoral and even locally led development corporations —it all depends on the location of the town, its devolution settlement and the capacity and capability of the delivering authorities. Again, we are assessing which delivery vehicle options are most appropriate to individual locations and will come forward with further information on that point in due course.

Several hon. Members raised the issue of funding, challenging me to make it clear why there has not been more detail on funding and why there is not a dedicated pot of funding for new towns. It is because the funding required for new towns in this spending review period will vary according to the needs of the places that the taskforce has recommended and that we ultimately adopt through the scoping process.

I want to make it clear to hon. Members, however, that the delivery of new towns will be backed by funding across the Government’s landmark housing programmes, such as the £39 billion social and affordable housing programme and the hundreds of millions of pounds of grants that are available through our national housing delivery fund for land and infrastructure investment; there is also the additional capital funding that will be managed by the new national housing bank, which will invest in house building across the country. Even though there was no specific new towns fund announced in the Budget, there are funding sources to draw upon.

[Gideon Amos]

The Minister is always very generous with his time. Can I press him a bit further on whether the Treasury has ruled out the long-term loans that were there for the post-war new towns programme?

[Matthew Pennycook]

I will come on to talk about financing in more detail, in particular the options that we are considering, but I am afraid that the hon. Gentleman will, again, have to wait for the publication of the SEA report and the programme that will go out to consultation. He and other hon. Members, as well as their communities and the neighbouring communities to the sites proposed for adoption, will then be able to feed into that process more widely. Long-term funding is available in this spending review period and going forward, because many of these propositions are for new, large-scale communities that will have to be built out over decades, in some cases.

I will touch on two or three other issues. Most importantly, several hon. Members raised the theme of public engagement. What the taskforce heard through its call for evidence and engagement with local leaders and local areas—the Government were kept up to date with that, as Sir Michael Lyons reported to me regularly on the taskforce’s work, as the House would expect—was that there is a huge appetite for new new towns to come forward. There are lots of parts of the country that would desperately welcome a new town.

I recognise, however, that in other areas, particularly in small villages such as Tempsford, there is trepidation about what may come and there are questions that residents want answered. In some cases—my hon. Friend the Member for Macclesfield (Tim Roca) has been forthright and honest about this—there is outright hostility and objection to the proposed locations. We have met and had several conversations about his particular case, and I assure him that I recognise the strength of feeling in his community. His residents can be in no doubt that he has conveyed the strength of feeling about that location very forcefully to me.

The taskforce’s report is clear that existing communities should be a key part of any new town development; community engagement is one of its core recommended place-making principles. The Government are working closely with local leaders as part of the scoping process of the programme and building our evidence base to understand the impacts of potential new town locations. As I have said, we will carry out the appropriate assessments and public consultations before any final decisions are made about locations. I must stress—we have been candid about this fact from the outset—that ultimately, decisions on new town locations will be made in the national interest.