Business and Planning Bill — House of Lords, 2020-07-14
Topic: Housing
Andrew Lansley (Conservative, Centre-right): My Lords, I should draw attention to my interest as chair of the Cambridgeshire Development Forum, as entered in the register. As other noble Lords have done, I express my thanks to my noble friends for their discussions following my speech at Second Reading and for the very helpful letter from my noble friend Lord Howe I confess that all 13 amendments in this group are mine, but they are to achieve two purposes. The first is to substitute June for April, so extending time limits on permissions and listed building consents. Clause 17 relates to planning permissions; Clause 18 relates to outline planning permissions; Clause 19 relates to listed building consents. In all three cases, the Government have given a three-month extension from December to the end of March. My amendments would take that from 1 April to 1 June. Nine of the amendments are to achieve that in relation to these three clauses. The other amendments, which I shall come to later, are to deal with the circumstances in which those planning permissions should be revived or extended where additional environmental approval has been sought and given I start with the question of adding two months to the proposed three months' extension. There is a balance to be struck, and I quite understand the thinking of my noble friend and the Government. They want to reflect the fact that there has been a delay—a serious interruption—to the delivery of the project pipeline for development; equally, they do not want to extend so far as to allow for such developments to be delayed when they could and should proceed. I completely understand that. From my point of view, this is not a probing amendment; it is my assessment of what a practical decision is in the light of all the circumstances As I mentioned on Second Reading, practical issues may have been lost sight of in substituting the three months lost—essentially, April, May and June—with three months gained: January, February and March. The most obvious, which I mentioned on Second Reading, is that the industry has lost three months of prime building season in the middle of late spring and early summer and is receiving, by way of compensation, time in the middle of winter. We do not know what seasonal effects January, February and March 2021 will have but if they were particularly inimical to development, it would mean quite a significant deficit in the opportunity for development. From my conversations with housebuilders it is not the case that on returning to site, generally in late June, they were able to do so on the basis of achieving full capacity. Many were starting at 50% capacity; those who I talked to only a week ago were generally at 80% capacity. The pipeline will have lost a further few weeks by the end of December. Adding that together, one might say "If not three months, perhaps four—or even five". It depends on how one looks at it My noble friend Lord Howe has very helpfully said that in any case, all one needed to do is to implement a planning permission. He said: "Digging a trench or pegging out a road may suffice". I have to tell him that I have looked into this and the courts have often taken a view about what commencement might be. Digging a trench might be sufficient; pegging out a road probably is not. The point is that neither takes account of two significant additional factors. First, when one commences development, often one also commences a legal obligation for community infrastructure levy, so significant costs may then arise. One does not commence a development simply by digging a trench, walking away and saying, "I’ve done what the planning permission requires". That is not sufficient and, in the eyes of many developers, would be quite an unwise thing for them to do. Secondly, one cannot simply commence development until one has received the discharge of pre-commencement planning conditions I checked with the Greater Cambridge Shared Planning service and as of the beginning of last week, on 6 July, it began to look at applications received on 15 April for the discharge of pre-commencement planning conditions. That is a 10-week delay. Of course, discharge of conditions under these circumstances would generally take eight weeks, so there is an 18-week potential delay. When one begins to add these things together—they are not necessarily in series but may be concurrent—none the less it is far from obvious, in my view, that these particular three months at the beginning of next year are a sufficient addition to the time which developers need to compensate for the time they are losing in the course of 2020 My point here is that my practical view was, "Let’s add two months". In this respect, I shared the exact view—which I reflected in asking my noble friend some weeks ago whether he would add six months to planning permissions beyond the end of December—of the Home Builders Federation. It has welcomed what the Government are doing and is grateful for their bringing forward this legislation, but in fact asked for 1 July, not 1 April. I have not asked for 1 July; I have asked for 1 June. I think there is a practical answer somewhere beyond 1 April, in the light of all the circumstances.