Neighbourhood Plans: Planning Decisions

Luke Evans Excerpts

Wednesday 9th July 2025 Westminster Hall

[Dr Luke Evans (Hinckley and Bosworth) (Con)]

I beg to move,

That this House has considered the role of neighbourhood plans in planning decisions.

When we come to this place as representatives of our communities, it is our job to hold the Government to account for things that really matter. I must admit that when I entered Parliament I never thought that planning would be something I would lead on, but for my community it is so important because it impacts their daily lives all the time. I do not go through a week without someone raising a planning concern with me, so I thought it would be useful to have a debate yet again on the importance of neighbourhood plans. First, I will say a little about the national context of neighbourhood plans and their roles and why they matter to me and my community.

As a country, we know we need to deliver more housing—both sides of the House believe that. The Conservatives and Labour pledged 150,000 houses in their manifestos and Liberal Democrats pledged 180,000. But the Liberal Democrats who campaigned against me locally have blamed the Government under both the Conservatives and now Labour for a build, build, build agenda, campaigning against local housing despite the figure in their manifesto being far higher. Here is where the national divides from the local, which is really important.

Before the Minister makes his prepared speech about 14 years of what the last Government could or should have done, I should say that since I was elected I have raised many planning issues, had debates on this topic and lobbied from the Back Benches to try to deliver change, because the planning system does need to change. Despite a change in Government, we are still struggling to deliver the houses—we have only to look at what the Chancellor said in her Budget speech:

“Changes to the national planning policy framework alone will help build over 1.3 million homes in the UK over the next five years, taking us within touching distance of…1.5 million homes in England in this Parliament.”—[Official Report, 26 March 2025; Vol. 764, c. 951.]

I am no mathematician, but that is 200,000 short and deals only with the UK when the Labour manifesto was to deliver in England.

On top of that, the Government have brought in changes, but they make my community feel hard done by. The national statistics and changes to the national planning policy framework show that Hinckley and Bosworth’s housing target has to rise by 59%. With the boundary changes, I take in some of north-west Leicestershire, which has to rise by 74%. We are prepared to build our fair share of houses, but it sticks in the throat when we see Leicester city dropping by 31%.

[Wendy Morton (Aldridge-Brownhills) (Con)]

I am grateful to my hon. Friend for making that point because that is not just happening in his local community. Does he agree that we see the same thing right across the country? The same is happening in Birmingham, where the housing target is going down, yet in places such as Aldridge-Brownhills it is going up by some 27%, with no infrastructure and no brownfield remediation funding to support it.

[Dr Evans]

My right hon. Friend is spot on. That is why I wanted this debate, and many colleagues are here to raise that exact point.

[Sir Ashley Fox (Bridgwater) (Con)]

Is my hon. Friend aware that in the south-west the house building target for Somerset has risen by 41%, but in nearby Bristol, recently controlled by the Labour party, it has gone down by 11%?

[Dr Evans]

I am grateful to my hon. Friend for raising yet another point. I am sure we could go round the House and get examples of city areas having housing targets go down, whereas countryside areas have them go up. We know we need more houses, and everyone must take their fair share, but we have brownfield sites that need redevelopment and already have the infrastructure in place. The last Government chose to prioritise those sites for housing, because they are connected and have the amenities that the local population needs. That makes a lot of sense. I look forward to this Government explaining their decision.

Neighbourhood plans were brought in under the Localism Act 2011, to give local communities the chance to shape what their community looks like.

[Stuart Anderson (South Shropshire) (Con)]

I thank my hon. Friend for securing such an important debate. Neighbourhood plans give local communities a voice. They know their areas better than anybody else. With this withdrawal of funding, the Government are basically saying that they know better. People will no longer have a voice or a say in their area, which is devastating for local communities.

[Dr Evans]

My hon. Friend is spot on. In the planning system, there is a constant feeling that things are being done to people, not with them. The idea of localism and neighbourhood plans was to fight that. We know that local plans deliver more housing with neighbourhood plans, because the neighbourhood chooses where it goes, so it is in keeping with what the local village or parish wants. I will come on to that, because that is the key point.

[Jim Shannon (Strangford) (DUP)]

I thank the hon. Gentleman for securing this debate. I told him beforehand that I am not speaking today and will only make an intervention because neighbourhood plans specifically apply to England. In Northern Ireland, community planning partnerships bring together public services, residents and businesses, but they do not directly determine specific planning decisions. Does he agree that planning applications could be passed quicker through greater integration with the public and that we should look at a UK-wide strategy? He has lots of wisdom and knowledge, and he has explained this issue for all our benefit today. Does he agree that that might be a way forward?

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[Esther McVey (in the Chair)]

Can I check the hon. Gentleman’s wellbeing, as he is not making a speech today? Is he fine and dandy? [Laughter.]

[Dr Evans]

I thank the hon. Gentleman for that intervention. For someone who is not speaking, he articulates his point very well. He makes a really important point: different parts of the UK have a different approach, and there should be shared learning. Joining up community hubs is really important, especially in rural areas, where there are limited numbers of sports fields, doctors, shops and schools. The ability to bring businesses and the community together is good not only for the Government, so that they can deliver the housing, but for the local populace, to better understand and buy into what is being delivered. That is the whole point of neighbourhood plans.

At the end of March 2025, the Government were aware of 1,800 neighbourhood plans being in place. The Locality website states that over 2,400 communities have initiated neighbourhood plans and over 1,000 plans have been successful at referendum. CPRE says that 5,800 local green spaces have been designated in neighbourhood plans, showing that local communities are deciding what is best for them. That is all well and good, but why are these plans important and are they making any tangible difference? An assessment of the impact of neighbourhood plans in England for the University of Reading in May 2020 showed that

“Neighbourhood planning’s contribution to housing supply can be significant. Neighbourhood plans which are allocating housing sites are providing sites for an average additional to local plan allocation 39 units per neighbourhood plan.”

I like to think of this in terms of percentage gains, as the Sky cycling team did. These are huge percentage gains in local communities, which go on to choose to have this housing. We know that these plans will deliver about 11% more houses, and they have community buy-in, which is fundamental to getting people on board to say they will take more housing. That is why we need these plans. However, the Government announced last month that the funding is stopping.

[Daisy Cooper (St Albans) (LD)]

The village of London Colney in my constituency is under siege from top-down housing targets, with a huge development being dumped on the border by the neighbouring local authority and an enormous rail freight terminal the size of 480 football pitches. My local residents in London Colney want their voice to be heard on the location and type of homes, but after three years of having access to the locality budget in developing a neighbourhood plan, the parish council has been told that there is no funding left to finish that plan. Does the hon. Member agree that where local parishes have made significant progress, funding should be reinstated so that they can complete those plans?

[Dr Evans]

The hon. Lady makes a vociferous defence of her area; actually, she could have been speaking about my constituency in Leicestershire, which suffers all those things. The only thing I would say is that in my constituency we fought the national rail freight hub, won and pushed it back. The population was very pleased about that, but that speaks to people’s engagement and what they can do. The concern that we have to raise with the Government is about what happens when the funding stops. As I will say later, we need to understand where the Government stand on neighbourhood plans. Do they support them? Do they want them to be taken away? Do they want to see them wither? Will they strengthen them? The Opposition’s argument is that strengthening them would deliver the housing that people want in the way they want it.

On the funding that is stopping, Locality—the membership organisation that the Ministry of Housing, Communities and Local Government commissioned to deliver support services to neighbourhood forums to prepare their neighbourhood plans—has announced that it cannot proceed with new neighbourhood planning support services from 2025, and it has until the end of March 2026 to complete all existing technical support packages agreed with MHCLG. It believes that

“it will be difficult for some groups to progress their plans…we are not able to support the Champions Network and other learning and development opportunities”.

The National Association of Local Councils said:

“We are bitterly disappointed by the Ministry of Housing, Communities and Local Government’s (MHCLG) decision to stop funding for the neighbourhood planning support programme…This decision is a significant setback for localism and the highly successful neighbourhood planning initiative”.

CPRE nationally says that that it is

“concerned about the government’s decision to end support for preparing and updating neighbourhood plans, as this is likely to lead to planning decisions becoming less responsive to the needs and aspirations of local communities.”

That is the rub: it feels like a slap in the face for local communities that want to take on the responsibility of making change. That is often done by volunteers who do not have technical experience but aspire to change their area for the better. That is why it hurts.

This is not just some nebulous concept that we discuss down here in Whitehall and Westminster. My constituency is a primary example that is living this out. We do not have an up-to-date local plan under the Liberal Democrat borough council—this has been ongoing for six years—or an up-to-date five-year land supply. The Liberal Democrats’ local campaign says, “Stop building,” but the national campaign says, “We need to go even further than the Labour and Conservative pledges.”

[Daisy Cooper]

The hon. Gentleman will recognise that the housing debate is about not just the number of homes but who determines where they should be built. He continues to point to the Liberal Democrats, but I gently remind him that our policy is not just about numbers, but about having a bottom-up approach whereby local authorities work out the homes they need in their local area, in contrast to the top-down approach pursued by his former Government and the current Labour Government.

[Dr Evans]

I am grateful to the hon. Lady for pointing that out; I hope she will get in contact with her colleagues in the Liberal Democrat-run Hinckley and Bosworth borough council to make that exact point. They could take more control if they had an up-to-date local plan and learned from their neighbours in North West Leicestershire—part of which is now in my constituency—which does have a five-year land supply and an up-to-date local plan, and is making the best of that because it is able to take in business rates and turn that into a positive. The community chooses where development goes and has control over it. The mechanism is there, and I have been raising this issue with the last Government and this Government.

I am keen to ensure that the Government are able to kick local decision making in the right direction to prevent failings. Neighbourhood plans are the protective mechanism that can deal with that. I argued with the last Government, and will argue with this Government, that neighbourhood plans should have more weight, especially where there is no up-to-date local plan, because that would do exactly what the hon. Lady is asking for. They allow communities to have infrastructure and amenities, in keeping with the their heritage and environment, without top-down speculative developments that place 100, 200, 300, 500 or 1,000 houses on top of them. Communities just will not swallow that. That is the key and why I secured this debate.

Let me continue with the example of my constituency. We now have the prospect of devolution, with 21 councils getting a legal invite to change the way in which they structure themselves. I am not sure about other Members, but if I got a “legal invite” from the court, I would not ignore it. This is being imposed on local governments. In my area, we have at least three different versions of what devolution will look like. This will have a drastic impact on planning, yet we have no idea of what the neighbourhood plans or planning authorities will look like, especially if we are divided into one, two or three different unitaries.

[Mr Gregory Campbell (East Londonderry) (DUP)]

I congratulate the hon. Member on securing the debate. On the devolved issue, which is slightly different in Northern Ireland compared with the rest of GB, there has been a planning proposal in my area for about seven years to develop a good-quality hotel close to where the Open golf championship will take place next week. That has been delayed not by problems, complaints or objections from local residents, but by a politically inspired complaint extraneous to the constituency. Does the hon. Member agree that we need to address the issue in a more holistic way, to try to get development that most people can agree with and want to see progressed as quickly and effectively as possible?

[Dr Evans]

The hon. Member makes a fantastic point. It is about getting that balance. There will always be nimbys, but I find that many of my constituents understand that we need more housing for the young and for older people to downsize into, and more businesses and infrastructure for jobs and creating wealth. The question is their involvement and the understanding of the community, and being plugged into decision making.

The whole idea of localism is that local communities know best. The Government cannot do everything, so we should empower the people at the bottom to make choices, and they will do. The evidence backs that up, which is why I would like to know why the Government seem to be reneging on localism. In response to parliamentary questions, the Government’s answers have been ambivalent:

“Government remains of the view that neighbourhood plans can play an important role in the planning system. Communities can continue to prepare neighbourhood plans where they consider that doing so is in their best interests.”

The Government believe:

“Support for neighbourhood planning groups should be possible without further Government funding.”

They also state:

“The Government has no target for neighbourhood plan take-up.”

This is why I secured this debate: do the Government want to scrap neighbourhood plans, or simply phase them out? If they believe in neighbourhood plans, why are they taking away the funding? How do they expect volunteers to deliver the change that the Government and the Opposition want to see, without the means to deliver it?

What protections can be put in place for villages and parishes that are using neighbourhood plans, especially when there is no up-to-date local plan? How can we hold to account local councils, such as Liberal Democrat-run Hinckley and Bosworth borough council, for not delivering a local plan? The plans were almost designated under the previous Government, but that would be a big step to take. Fortunately, we have seen progress in planning improved, but at the end of the day we are open to speculative development, and there does not appear to be a mechanism to hold local councils to account.

Finally, what does the Minister say in response to the thousands of plans, with likely tens of thousands of volunteers who have given hundreds of thousands of hours to deliver on a vision for their community that brings the houses that the Government need and of which local people can be proud? Westminster might write the targets, but it is our neighbourhoods that deliver the homes. If the Government cut the lifeline in neighbourhood planning, they sever the link that turns policy into places and houses into homes. We must not lose sight of their value or ignore the warning signs.

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[Dr Evans]

That was the argument made to me when I solely represented Hinckley and Bosworth, but stepping across and taking in north-west Leicestershire, when they are able to deliver a local plan that has the five-year land supply that brings in the business rates, there is chalk and cheese to be seen. Everyone can see that. So I am not so sure that the targets are the problem. There is the local accountability. The Government need to step in to say that where councils are failing on delivery, they should be held accountable. Unfortunately, what happens is that people come to their MP to say, “What are you going to do to sort it out?”, when of course it is councils that deliver the plan. They just need to be held accountable. Does the hon. Member agree?

[John Milne]

Not entirely, although I thank the hon. Member for his intervention. The standard method was intended as an objective way to calculate local housing targets. It is objective in the sense that it is mathematical. However, the question has to be asked: does it give appropriate targets? I would say it very much does not. The reason for the pressure on the green belt—there could be 1,000 reasons—is that the mathematical calculation does not actually calculate housing need; it is a proxy for housing need, which is completely inaccurate and has been the cause of many problems. So it is very disappointing to see that the standard method has been retained by the current Government, and in fact made even worse by another round of mathematical jiggery-pokery that has very little to do with calculating genuine housing need.

The policy of reducing house prices by sheer number of planning permissions did not work for the last Government, and it will not work for the current one. It will do irreversible damage along the way to local communities before it will inevitably be changed again. An extra layer of difficulty has been added by local government reorganisation. In many areas, such as my constituency of Horsham in West Sussex, the forthcoming abolition of district and borough planning authorities means that the local plan process will be even more remote from the community.

It really is hard to see what role, if any, remains for neighbourhood plans in future. Why would anyone bother with all that work when they do not have any obvious statutory role? Neighbourhood plans can take years to draw up, and most of that is unpaid. The only clear benefit seems to be as a way of securing the higher rate of CIL, or community infrastructure levy payments, but to me it no longer makes sense to incentivise neighbourhood plan making in this way. Perhaps the Government should simply remove that hurdle and make the higher rate automatic.

It is extraordinary to see the complete absence of any mention of neighbourhood plans and their role in the new legislation. We can draw no other conclusion than to assume that the Government’s intention is to let them wither away altogether by a gradual process of neglect. To repeat: at their best, neighbour plans are a remarkable demonstration of people power—but not the people this Government want to listen to, apparently.

The Liberal Democrats believe that the best way to get Britain building the housing infrastructure we need and bring down costs is to give local communities a real voice and a real stake. To do so we want to ensure that strategic planning authorities consult on a statement of community involvement, which guarantees the right to be heard at an examination; that the Secretary of State takes this consultation into account when deciding an application for development consent; and that parliamentary approval is required for the removal of statutory consultees from the planning process. The Liberal Democrats would also like to see planning committees retain their current powers. When we look at this alongside the emasculation of neighbourhood plans and all the measures that take away or compress local consultation, it is clear that this Government believe that local residents are just a nuisance who need to be locked out of the room while the grown-ups make all the decisions.

We are deeply disappointed by the Government’s lack of commitment to boost nature’s recovery and tackle climate change in the planning process, despite promising in their manifesto that changes to the planning system would create places that increased climate resilience and promoted nature recovery. Neighbourhood plans have played a particularly effective role in identifying and protecting existing green spaces, which often have unclear legal status—lost in the mists of time—and are now under threat from the rapacious development industry.

Overall, the sidelining of neighbourhood plans in new legislation fits into a pattern of diminishing local power and representation. The Government believe that it is a sacrifice worth making for the sake of pushing faster house building, but all it will do in practice is to pile on more unbuilt planning permissions to the 1.4 million that we already have. It has been demonstrated plainly that permissions by themselves do not bring down prices. Developers simply stop building any time prices start to fall.

Mandating an ambitious annual delivery of social housing would be a faster and more effective, environmentally friendly and, above all, consensual way to achieve results. That is why the Liberal Democrats are asking for a guaranteed 150,000 new social houses a year. Neighbourhood plans should be retained and strengthened as a key part of the drive to build consensus in development—not compulsion.

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[Alex Norris]

I appreciate that point and share that view. I stare at a site, and probably, I will retire still staring at it—I should not make that commitment to my constituents, as they would encourage me to—in my old council ward, Johnsons dye works, that has been brownfield and vacant for three decades. The site is of complex ownership. We need those sites developed because they are a blight on the community. I completely accept that point. I think we made clear in the spending review our significant commitment as central Government to making funding available to get sites going. I hope that gives the right hon. Lady a degree of comfort about the Government’s direction.

[Dr Evans]

Just before he took the previous intervention, the Minister was talking about the power of neighbourhood plans and the community coming together. My worry is that, if there is no funding, why would volunteers step forward for such a big undertaking, requiring legal prowess? That is a big worry, and the Government do not seem to have explained how they have filled that void. At the end of the day, this is volunteers working hundreds of thousands of hours to deliver for their communities.

[Alex Norris]

I accept that point. I hope the hon. Gentleman will show a degree of forbearance, as I will come to that point shortly—I make that commitment to him and to the hon. Member for Bridgwater.

Neighbourhood planning is a well-established part of our planning system, and we want that to remain the case. Our Department is aware of more than 1,800 plans in place and 3,150 designated neighbourhood areas. I believe that in the hon. Member for Hinckley and Bosworth’s constituency alone, there are seven made plans, with five more actively progressing, which reflects brilliantly on his constituents. I too express my admiration for those who join neighbourhood planning groups: they could be doing anything else with their lives, but they choose to put their shoes on, go out and have difficult conversations with their neighbours in the interest of the community. That is a very British and wonderful thing. I hope that, on reflection, the people of Cannington come out in their droves tomorrow to play their part in that process.

I turn now to our announcement following the spending review that we are unable to commission further funded support for neighbourhood planning groups. It was not a decision taken lightly, and I recognise the concerns it has prompted among groups, local planning authorities and hon. Members. I pay tribute to Locality, the National Association of Local Councils and other organisations that played their part in that process. I worked on it very closely with Locality, an excellent organisation that is very good at making community voice heard. We want to be clear, however, that that is not an abolition of neighbourhood planning. We believe that neighbourhood planning is an important part of the planning system.

The hon. Member for Hinckley and Bosworth asked two questions. Do the Government intend to end neighbourhood planning? No, we do not. Do we intend or wish secretly for the phasing out of neighbourhood planning? No, we do not. Communities can continue to prepare neighbourhood plans where they consider doing so is in their best interests.

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[Alex Norris]

I cannot give the hon. Gentleman succour on that point, but I hope that I can offer something in lieu. I accept that these things can become complex, but sometimes things are complex because they are complex. I do not think that we can wish that away and simplify a process in way that would mean taking away the fundamentals that require complex organisation and preparation. I think he is speaking to a wider point that also came up in the debate: complex planning matters ought to be the purview of local plans. If local plans are done properly, a lot of that complexity and difficulty will fall out and leave space for neighbourhood plans to operate as designed, rather than having to backfill the failures of local authorities.

I could not help but get the sense from the contribution of the hon. Member for Hinckley and Bosworth that a lot of the issues are due to the absence of a local plan in his community. The hon. Member for Mid Buckinghamshire talked about speculative development. The story, as he put it, in his part of the world seemed to be developing, but that is clearly a risk until the process is finished. I cannot help but think that the issue there is the same. Similarly, the point that the hon. Member for West Dorset (Edward Morello) made about infrastructure falls within the purview of the local plan. We have to get the balance right.

I turn to local planning authorities, which have not been a feature of this debate, but have been a feature of the public debate. The end of funding for neighbourhood planning groups has created a misconception that our commitment to funding local planning authorities for their neighbourhood planning function will be affected. I want to be clear to anybody watching and to hon. Members in the Chamber that that is not the case. That again speaks to the point about the interrelationship between the local and neighbourhood planning functions. We will make announcements about the arrangements for this financial year in due course.

I turn to where neighbourhood plans sit in decision making, because I want to address the point made by the hon. Member for Horsham (John Milne). It has never been the case that neighbourhood plans are determinative in every case, always. National policy is clear that an application contrary to an up-to-date neighbourhood plan should not usually be approved. I totally accept and understand the frustration that people would feel if they are approved, but we have to be honest: under the system as it stands—this does not result from any changes that we have made—when the balance of considerations in the case outweighs the neighbourhood plan, the development can take place. That is the world as it is today. In response to what the hon. Gentleman said, we are not planning to make changes to that. Again, the best thing that communities can do is have neighbourhood plans sitting underneath a local plan for their community.

Before I finish, I turn to the points that hon. Members made about local government reorganisation and the Levelling-up and Regeneration Act 2023 reforms. I hold the hon. Member for Hamble Valley (Paul Holmes) in very high regard, but I know that to be in his company is to expect a degree of impudence, so I was not surprised that he trumpeted provisions in the Levelling-up and Regeneration Act that his Government did not turn on. There is no point in the powers being on the statute book if they are not turned on—that does not help—so I chafe a little at the characterisation that that is somehow our failure, rather than Conservatives’. Surely, they are at least equally complicit.

I want to give clarity to colleagues and those watching that no local government reorganisation will affect the status of neighbourhood plans; they will continue to have effect and will form part of the development plan for their area.

[Dr Luke Evans]

The way I see it, under devolution, more powers will be devolved down to parish councils, so indirectly they will have more responsibilities by the very nature of what the Government are trying to do in creating unitaries. Do the Government really believe that a volunteer on a parish council, which will have more responsibilities under devolution, will turn their attention to neighbourhood plans, especially when there is no funding, given the responsibility that goes with them? My concern is that there are competing issues for parish councillors.

[Alex Norris]

There are a couple of points there. I noted this and decided not to say anything about it because it might look like I was trying to be rude, and I am not. The hon. Gentleman should not conflate local government reorganisation and devolution. Although they are, of course, related to some degree, they are different. Local government reorganisation is about changing local authorities’ boundaries so that they have the right size and heft to function. The power conversation is slightly different.

I have to say that, in my experience, parish and town councillors are generally excellent, so I believe that they are able to balance competing interests. I do not accept that planning would not be seen as a priority; that is not an option for any politician in any role. I appreciate the hon. Gentleman’s point, but I hope I can assure him that local government reorganisation is not likely to drive material change in this space, not least because the plans will continue unaffected. The most important thing will be, as the hon. Member for Mid Buckinghamshire said, that the new authorities get into the local plan process to ensure they have the cover and that good organisation and order.

Neighbourhood plans can play an important part in planning decision making across the country, and we want communities to continue to prepare them if they wish to do so. We want to encourage more constructive engagement across the whole planning system. Neighbourhood planning has shown that communities are willing and eager to embrace development when given the opportunity, as the hon. Member for Hinckley and Bosworth said. I congratulate him on the case that he made and on securing this debate. I thank all colleagues for their contributions.

[Dr Luke Evans]

I thank the Minister. I know that this is not his brief, and that he fought eagerly to respond to this debate. I appreciate his constructive tone. He heard Members say that neighbourhood plans are not a luxury, that they are about local concern and that things should not be forced on communities. Members said that we want neighbourhoods that we want to live in, that local people should have a meaningful say, that we want scrutiny and, to the greatest extent possible, that they should be done with local residents. Those are the key sentiments behind neighbourhood plans.

Neighbourhood plans are not obstacles to progress; they are the architects of local consent. In fact, they are the granular centre of local democracy. To dismantle them is to forget that true planning begins not in Whitehall but in the beating hearts of our communities, which call these places home.

Question put and agreed to.

Resolved,

That this House has considered the role of neighbourhood plans in planning decisions.