England’s Housing Minister Brandon Lewis’ speech to the RESI housing conference in Newport this week told his audience not to blame planners for housing market challenges and revealed that 261,000 new homes had been approved by Council’s in England this year (the highest annual total for 8 years) with planning permissions for new homes are up 50% since 2010.
Government reports the speech as follows:
It’s a pleasure to join you again for my second RESI conference. We’re back at Celtic Manor, but one small difference from last year is that there is no longer a general election looming on the horizon. It will come as no surprise that I believe the election result was the best outcome for the housing market and the country. It removed the threat of rent controls and blanket regulations that would have seriously damaged the private rented sector, and undermined the potential for investment. For me personally it meant another opportunity to serve as Minister of State for Housing and Planning. I was delighted when I got the call from the Prime Minister confirming my reappointment, because I believe housing is one of the most important jobs in government. In the election campaign we made it clear that improving the housing market would be a top priority. That goal is only possible because we cut the deficit by half and laid the foundations for economic recovery. For the second year in a row we are growing faster than any other major advanced economy, and our job creation is the envy of the developed world.
Our country is rising again, and that includes the performance of the housing market. Housing starts and the number of first time buyers have doubled since 2009. Last year alone the number of first time buyers rose by 20%. But we all know the job is far from complete. A better housing market will be vital for meeting the aspirations of working people, and raising the productivity of our country.
On 7 May the British public recognised that fact. They asked us to finish the job, and we are determined to repay their trust. That’s why this government is committed to encouraging homeownership, building homes people can afford to buy, and investing in all areas of the housing market – including the private rented sector. We will serve as a one nation government. One nation – so whoever you are, and wherever you live, you can benefit from a home of your own, whether you buy or rent. One nation – because for Britain to prosper every part of the country must contribute to its success Our commitment for one nation is why this government is dedicated to devolving greater powers away from Whitehall to local areas.
To ensure we continue rebalancing the economy, and help local communities use their dynamism and local leadership to fulfil their potential, and provide the homes their area needs. During the last parliament we made great strides towards reversing the failure of centralisation, devolving powers on planning, housing and economic growth. We reached an agreement with the 10 councils in Greater Manchester to devolve significant powers, and recently extended this deal to include a land commission to release public land to build new homes. Earlier this summer we agreed a devolution deal for Cornwall – the first for a county – and we are negotiating deals to devolve powers to the Sheffield City Region, Leeds, West Yorkshire and its partner authorities, and the Liverpool City Region. This is just the start. The Cities and Local Government Devolution Bill will enable us to negotiate with cities, towns and counties across the country. To give them the power they need to galvanise their local economies, and take greater control and responsibility over many areas of policy, including housing. We want local areas to develop their best case for increasing housing delivery, perhaps by contributing their own assets and capital funding. This will undoubtedly change the landscape of the housing market, but we’ve already seen why devolution works, by providing a fertile environment for investment in housing.
During the last parliament our planning reforms put local people in control. Today they are developing their own plans for house building, and the planning system is faster and more efficient. Since 2010, planning permissions for new homes are up 50%, while the number of Local Plans in place has more than doubled. And since we introduced the National Planning Policy Framework, the number of new homes planned for in Local Plans has risen by 23%. Neighbourhood planning has captured the imagination of communities across the country, and support for new homes has doubled over the last 4 years. I was able to release figures at the end of June that showed that the numbers of homes that were granted planning permission in the year to March, was higher than before the 2008 economic crash.
Last year, councils across England granted permission for 261,000 new homes – the highest annual total for 8 years. It is all too easy to blame the planning system, and planners, for the challenges facing the housing market in particular. All too easy and it would appear, wholly wrong. So our reforms are helping to boost housing supply, but they are also good for investment. The National Planning Policy Framework is clear that councils should look at the viability of Build to Rent schemes when setting Section 106 obligations and the Community Infrastructure Levy. The result is that councils are starting to play a more direct role in bringing schemes forward. Again, Manchester is a pioneer here, setting up Matrix Homes as a joint venture between the city council and the Greater Manchester Pension Fund to bring forward new homes for rent. In London Wandsworth Council granted planning permission for a 114 home Build to Rent scheme within a 500 home development by Bellway Homes in the Nine Elms regeneration area in Battersea. It’s now time for other local authorities to look at innovative ways of marrying their land holdings with third party capital to bring forward new homes. I am convinced that councils will rise to the challenge of devolution, and this will mean delivering the homes their communities need, and providing more opportunities for institutional investment in housing.
