John Howell
Main Page: John Howell (Conservative - Henley)Housing and Planning Bill
John Howell Excerpts
Robert Neill (Bromley and Chislehurst) (Con)
I hope that I can trespass on the House’s time for a little while to offer perhaps a starter and a bonus as far as the Bill is concerned. I am talking about the discrete issue of nationally significant infrastructure projects, and in particular about clause 116 and amendment 78, which stands in my name. The bonus is that it deals with fairness in relation to land compensation, which is something that we have talked about on a number of occasions.
The particular issue is that under clause 116, the development consent orders, which are part of the nationally significant infrastructure project regime, are extended beyond the infrastructure projects themselves to related housing development. It can be housing development that is adjacent or linked to the scheme. Equally, it can be housing development that is physically very close to the scheme. I do not have a problem with that, and there will be a number of instances where the creation of a piece of infrastructure either opens up land sensibly for access to development for housing or may sever land that might be farmland or similar from the rest of the agricultural holding. In that case, it is more sensible then to use it for housing as it is not viable as an agricultural unit or some other type of business unit. There is no problem there.
The unique feature of development consent orders is that they combine both the granting of planning permission and the making of a compulsory purchase order for the acquisition of the land. The issue that amendment 78 seeks to deal with is that under current compulsory purchase law, land acquired compulsorily—be it for this purpose or whatever—is compensated at current use value. In the majority of cases, that is likely to be agricultural value. Under certain circumstances, it might be a business value, but it is highly unlikely ever to be housing value. If the land had permission for housing, it would be dealt with by private treaty and there would not be the need to seek a compulsory purchase order anyway. What we are seeking to deal with is the anomaly that, for perhaps perfectly good reasons, an acquiring authority—it could be a public authority or it could equally be a private developer bringing forward a scheme either on their own or in partnership with a public agency—could, by getting a development consent order, acquire land from a small business at agricultural value and immediately get a significant uplift to housing value.
Under current arrangements, there is no means for the landowner or the business person, who may have seen their holding or business disrupted, to acquire by way of compensation any of the uplift in that value that comes from the granting of housing permission. That seems to me and to many to be unfair, which is why it has been raised by the Country Land and Business Association. The amendment seeks to address that by requiring the guidance, which clause 116 already says must be put in place, to include specifically the payment of the proper land value compensation at housing value.
The Minister may say that there are other means of dealing with that matter other than by primary legislation, but I hope he will accept that this is a real issue. In fairness to many small businesses and landowners who are affected by these important proposals, which are broadly for the public good, there should be some means of enabling them not to lose out on the uplift in value, which will, in effect, be a windfall to the acquiring authority.
I would welcome it if the Minister looked favourably on this amendment. If he does not, I hope that he will at least be prepared to talk to those who are concerned about this matter and see whether there is some other way, short of primary legislation, to take it forward and seek to resolve it.
John Howell (Henley) (Con)
I understand completely where my right hon. Friend the Member for Arundel and South Downs (Nick Herbert) and my hon. Friend the Member for Cleethorpes (Martin Vickers) are coming from, but I take a slightly different view. Let me start with finalised neighbourhood plans. I have some sympathy with their argument that there should be a community right of appeal in these circumstances, but when we looked at this in the context of the Localism Act 2015, we originally did not include it to avoid the situation where part of a community would appeal against something that the rest of the community had just voted on. I urge Ministers to look at the issue again in the context of the Bill to see whether that problem can be worked out.
On emerging plans, I take a completely different view. First, such plans already have protection. The closer they get to finalisation, the stronger that becomes. Secondly, if communities undertaking neighbourhood plans start off at the end point rather than at the beginning, they are likely to have lots of help along the way, including at appeals.
John Howell
I will not take interventions at this late stage.
The end point is not the inspection, but the referendum. Many communities in my own constituency have started the process of producing a neighbourhood plan and for one reason or another have abandoned it along the way, in some cases fairly close to the referendum. There is many a slip before the referendum takes place and votes are counted. To take the view that emerging plans should have a greater degree of protection would sterilise a whole area from development while that neighbourhood plan was theoretically an option. Plans have a proper place and they are being followed at appeal. There are examples of front-runners in my constituency where development has been proposed that was not in accordance with the neighbourhood plan and it was rejected at appeal.
Neighbourhood plans share responsibility with the district or borough council for the development of the planning system for their location. It is not just a matter of protecting a village. It is a view of the development of the village for the future, and in my experience the planning inspectorate is fully prepared to back those plans as they proceed.
Brandon Lewis
This has been a worthwhile and an interesting debate. The comments of the hon. Member for City of Durham (Dr Blackman-Woods) about the amendments were a bit rich, given that we had made changes and allowed extra time in Committee for her and her colleagues, and bearing in mind that we tabled the amendments back in December. Her comments on Opposition amendments repeated conversations that we had in Committee, so I do not intend to rehearse those and detain the House further on issues that we have already discussed.
On Opposition new clause 57, I made it clear in Committee that we need a radical shift in the way the housing market supports young first-time buyers so that we do not condemn a whole generation to uncertainty and insecurity. That is why we want to see 200,000 new starter homes built over this Parliament exclusively for young first-time buyers at a minimum of a 20% discount on open market value to help them into low cost home ownership.
I thank my hon. Friend the Member for North Herefordshire (Bill Wiggin) for his contribution. I understand the points that he made and I will take them on board and review them along with my ministerial colleague, the Under-Secretary of State for Communities and Local Government, my hon. Friend the Member for Stockton South (James Wharton), who I know will be willing to meet him and interested bodies to discuss how we can take matters forward in an appropriate way.
I listened carefully to the arguments put forward by my hon. Friend the Member for Bromley and Chislehurst (Robert Neill). He is a respected former Minister in my Department with a wealth of experience and expertise. I believe that his concerns are addressed by provisions in existing legislation, but I am very willing to meet him and interested bodies, such as the CLA, to discuss making sure that the provisions in place are adequate.
I also welcome the comments from my hon. Friend the Member for Cleethorpes (Martin Vickers) and my right hon. Friend the Member for Arundel and South Downs (Nick Herbert) on ensuring that communities have a strong voice in planning. My right hon. Friend focused, in particular, on infrastructure. He is quite right to draw attention to the cost of development, so I thank him for doing so. It is right that new development should be supported by an appropriate level of infrastructure and that developers should provide support to put that in place. That is what the negotiations on section 106 and the community infrastructure levy are for. We would expect any significant infrastructure that would be needed to support a proposed new development to be a material consideration for the planning decision, and therefore covered in detail in planning reports for a local authority. We would therefore expect the costs associated with putting the necessary infrastructure in place to be covered.
I believe that the concerns expressed by my right hon. Friend the Member for Arundel and South Downs about neighbourhood plans are a clear indication of the strength of feeling that people have about ensuring that their voices are heard. I very much appreciate the intention of the amendment, as the Government place great importance on neighbourhood plans. However, I hope that I can convince him and other colleagues that these amendments are not necessary at this stage.
Neighbourhood plans give communities the power to shape the development of their area. When a neighbourhood plan is made, it becomes part of the development plan and attains the same weight in law as a local plan, as it forms the basis for decisions on planning applications. The law is clear: decisions should be made in accordance with the development plan, with material considerations taken into account. The national planning policy framework is also very clear. It states:
“Where a planning application conflicts with a neighbourhood plan that has been brought into force, planning permission should not normally be granted.”
That is well understood by local planning authorities.
I want to be clear that a “made” neighbourhood plan is a clear indication of a community’s vision for its local area, as my hon. Friend the Member for Henley (John Howell) has outlined, and it should be respected as such. I would expect local authorities and the Planning Inspectorate to give due weight to neighbourhood plans as they progress towards adoption. The NPPF itself is clear that the more advanced the plan, the greater the weight that may be given to it. Communities have their say throughout the local and neighbourhood plan-making process. Indeed, neighbourhood have the ultimate say with their referendum. Their views must be considered when decisions are taken on applications. The Bill speeds up and simplifies that neighbourhood planning process, which underlined the importance we place on it.
The system is therefore already geared towards ensuring that communities’ views are taken into account, and local authorities must respect that. If communities are concerned that their plans are not being respected as they should be, the Secretary of State has powers to intervene. I can confirm that the Secretary of State will continue to consider intervention to recover certain appeals where there is a made or submitted neighbourhood plan. I can further confirm that I intend shortly to lay a revised ministerial statement extending and confirming the current recovery criterion for a further six months. During that period, we will continue to review the measures. I hope that my hon. Friends who have spoken tonight and others who are interested will work with us and feed into that period.
The improvements that we are proposing in the Bill will strengthen and revitalise the planning system. They are a real shot in the arm, which will get new homes built with fewer quarrels and less delay. The changes that we are making will assist those who run into difficulties, for example when negotiating section 106 agreements, giving people clarity and security that homes given planning permission will actually be built, and built in good time.
We are continuing to set the bar as high as possible on how public land will be used. As the Prime Minister said on Monday, we will ensure that we get Britain building.