Baroness Maclean of Redditch

We have committed to reduce bureaucracy for businesses by cutting the administrative costs of regulation for businesses by 25% by the end of this Parliament. We are working with taking a whole of government approach toward achieving this by asking all government departments to work with us to meet this ambitious target.

Determining the cumulative administrative costs of regulation that businesses face, has not been done for 15 years. That’s why we are undertaking a baselining exercise to understand the administrative costs of regulation to all businesses, including SMEs. We have considered different analytical options and looked to identify the most proportionate methodology to calculate the baseline for costs.

We are working across government to identify savings to deliver this ambitious target and we will set out our more detail in due course.

We are working across government and with regulators to meet our ambitious target to reduce the administrative burden of regulation to business by 25%. As a down payment on this work, we announced reforms as part of the Industrial Strategy that will contribute. This included harnessing the potential of new technology to make compliance with money laundering regulations simpler using digital identity verification checks and removing requirements and increasing the permissible size for air source heat pumps. We will continue to work with business and stakeholders to identify further administrative savings. We will set out more detail in due course.

Supporting local planning authorities to attract, retain and develop skilled planners is crucial to ensuring they provide a proactive, efficient planning service for local communities and that new developments are well designed and facilitate local growth.

The government appreciates that planning departments across the country are experiencing challenges with recruitment, retention, and skills gaps and that in many cases these issues are having a negative impact on service delivery.

At the Budget last year, the Chanceller announced a £46 million package of investment into the planning system as a one-year settlement for 2025-2026.

Our manifesto committed us to appointing 300 new planning officers into LPAs. We are on track to meet that commitment through two routes, namely graduate recruitment through the Pathways to Planning scheme run by the Local Government Association and mid-career recruitment through Public Practice.

On 27 February 2025, the government announced funding to support salaries and complement graduate bursaries. Further information can be found in the Written Ministerial Statement Minister Pennycook made on 27 February 2025 (HCWS480).

On 25 February 2025, the draft Town and Country Planning (Fees for Applications, Deemed Applications, Requests and Site Visits) (England) (Amendment and Transitional Provision) Regulations 2025 were agreed. These regulations increase planning fees for householder and other applications, with a view to providing much-needed additional resources for hard-pressed LPAs.

More broadly, the Department’s established Planning Capacity and Capability programme is also developing a wider programme of support, working with partners across the planning sector, to ensure that LPAs have the skills and capacity they need, both now and in the future, to modernise local plans and speed up decision making, including through innovative use of digital planning data and software.

Lastly, the Planning and Infrastructure Bill includes provisions that will allow LPAs to set planning fees or charges at a level that reflects the individual costs to the LPA to carry out the function for which it is imposed and to ensure that the income from planning fees or charges is applied towards the delivery of the planning function.

Small and medium sized housebuilders are essential to meeting the government's housing ambitions and supporting local economies.

The government is acting to support SME housebuilders by increasing their access to land, providing further financial assistance and easing the burden of regulation. Further details can be found in the Written Ministerial Statement I made on 2 June 2025 (HLWS670).