Lord Lansley Portrait Lord Lansley (Con)
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My Lords, I want to say a word or two about self-build and custom housebuilding, in support of my noble friend Lady Coffey—although I also want to ask a question about the precise terms in which her amendment is phrased.

I declare an interest, in that my nephew is seeking to build his own family home and has been on the register in Tandridge for a number of years now. He has received nothing from Tandridge by way of an offer of any plot anywhere, although he is entirely eligible, including being a locally connected person and so on.

I remember that we discussed this during the Levelling-up and Regeneration Bill—I remember talking to Richard Bacon about the provisions. My noble friend is absolutely right: we put a regulation-making power in with the objective of trying to ensure that the development permissions that were granted for self-build and custom housebuilding were genuinely for that and not for something else. The question to Ministers is whether, at this stage, they will use this power and how they will they use it.

The phraseology in my noble friend’s amendment, in so far as it says that only the specific development permissions that are referred to are to be treated as meeting a demand, may have the benefit of excluding some things that should not be treated as such but may have the disbenefit of excluding some things that should be treated as such, including people who bring forward their own plots for this purpose that do not form part of a wider development. It is rather important that we bring in what should be part of development permissions that meet demand for self-build and custom housebuilding and exclude those that do not and get the structure of it right.

Where we need to think more, if I recall correctly, is about what we do in relation to local planning authorities that have persistent unmet demand on that basis for self-build and custom housebuilding. There is an enormous potential benefit here. Look at other similar countries that have very large numbers of self-build and custom housebuilding. If the Government are looking for an opportunity to add to the extent of building, and indeed to support small housebuilders, this is absolutely the right territory to be working on.

To return to a familiar subject for me, the use of national development management policies in relation to decisions on planning applications for people who wish to build for themselves may well be one of the routes that the Government might like to consider for taking this issue forward.

Lord Best Portrait Lord Best (CB)
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My Lords, I support Amendment 135, proposed by the noble Baroness, Lady Coffey. I piloted the Self-build and Custom Housebuilding Bill through your Lordships’ House in 2015, so I have an ongoing vested interest in the progress that this has made. I am grateful to the noble Baroness, not just for a full account of where this has come from and where it might be going to but for the technical detail that she explained very fully, which saves me struggling to do the same.

I can add two things. One is this: why should the Government be interested in this? The self-build and custom housebuilding sector has so much merit and is so undeveloped. It does the following things. It adds additional homes toward the 1.5 million target. It introduces diversity and competition to the speculative housing model that has let us down on so many occasions. It brings back the small and medium housebuilder. It makes use of small sites that are of no interest to the large-scale developers. It supports the fledgling modern methods of construction—or MMC—sector. It enables people to create the homes they really want, not what is served up to them by the volume housebuilders. It does so many good things all at once and it is certainly worthy of support, especially as it does not cost the Government anything to provide that support, which is a rarity.

The Government initiated an equity loan scheme, through Homes England, which enabled people to borrow on preferential terms. That finished in April of 2025, leaving the sector without any real extra support or governmental backing. This amendment would be one helpful step forward for a sector that is providing between 5% and 10% of all the homes we are creating, so it is not insignificant in its scale.

If this particular amendment is not the way by which the Government could be more helpful in the future, is there any intention in government to do anything at this stage that would support the self-build and custom housebuilding sector? It is deserving of a bit more backing. I support the amendment.