Councils threatened with losing planning powers

Writing in the Sunday Times, Housing Secretary Sajid Javid warned that councils could be stripped of planning powers if not enough homes are being built in their areas.

Javid’s article, which came the day before Prime Minister Theresa May is expected to encourage developers to ‘step up and do their bit’, claimed that a new planning policy framework will contain new rules to determine how many homes councils must build - taking into account local house prices, wages and key worker numbers.

The minister said that, as well as setting higher targets for areas where house prices outstrip annual earnings, the framework will also hold council to account on house-building promises they make. If councils fail to meet their targets they could be stropped of the power to decide what is built within their boundaries, with inspectors handed control instead.

In her speech in London, due to be made the morning of 5 March, May will says that housing has become unaffordable to anyone without the support of ‘the bank of mum and dad’ as she warns that sitting on land as its value rises is not acceptable at a time of chronic housing need.

Having announced £2 billion for new council homes in England in October, the Prime Minister will highlight the ‘perverse’ financial incentives that developers have to hoard land once it had been approved for development rather than actually build on it.

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