The New Planning Reforms and The Wigan Property Market

Posted on: 13 August 2020

The New Planning Reforms and The Wigan Property Market
The 1st July 1948 heralded a new dawn in how property was built, as the Town & Country Planning Act 1947 came into force, meaning no property could be built without the say so of the local authority. Now, Boris Johnson has announced a substantial change to that, by in effect, ending planning permission.
The decision of what gets built (and what doesn’t) will be removed from Wigan Metropolitan Borough Council and replaced by Westminster.
The anticipated reform will give presumptive building rights to any piece of land outside areas of outstanding natural beauty, green belt and national parks, although in the press release there was mention of protection for the countryside.
Land will be divided into three classes:
1st for growth
2nd for protection
3rd for renewal.
Anyone applying for planning permission to develop homes, offices and shops on land zoned for growth, will automatically be granted planning permission; whilst land zoned for renewal planning permission will be granted in principle while Government officers perform checks.
Local authorities have until 2024 to designate areas for the three classes and once agreed, planning departments will have little or no say over individual applications that fit the rules.
Interestingly, these changes come on top of new planning regulations coming into force this September which gives implied rights to demolish any office building and replace with a block of flats, and the right to build extra floors/storeys on your home.
The Housing Secretary has specified the motive behind the changes to the planning system is not to make planning permissions easier to get. Instead, they have been done to make the planning process quicker, less expensive and less likely to be held up by special ‘interest’
We have to hope that these changes do not encourage sub standard construction or design
One of the most important factors holding back the UK and consequently the Wigan Property Market is the lack of new properties being constructed and when they are, the lack of infrastructure surrounding them.
These new planning changes will also introduce a new method of taking a lot more money off landowners and builders, as the Government will take a larger share of uplift in land value to finance infrastructure around the development.
This would mean new housing developments would come with upgraded roads, GP surgeries, primary schools and shops that these new communities need to be viable. Also, communities will be asked to decide on their own standards on style and design for new developments in their area, allowing residents a greater say on the development in their locality.
But the devil is in the detail. We need to build more homes to keep up with the ever-growing population and the fact that people are living longer. This new planning system should lead to more housebuilding, which in turn would increase the supply of property for those trying to get on the property ladder.
Also, in the proposed legislation is the new ‘First Homes’ scheme, which would allow key workers, first time buyers and people who live or work in the Wigan area to purchase their new home at 30% less than its market value and when they come to sell it, that 30% discount would be passed on to the new buyer (if they met the criteria).
With regard to what can be built and where, Wigan people will have a say upfront (i.e. between now and 2024 when the zoning rules are drawn up) but once the zoning has been established, then hopefully we can construct the Wigan homes we are proud of for our children and for Wigan generations to come.

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