Planning and Infrastructure Bill

Chris Hinchliff Excerpts
2nd reading
Monday 24th March 2025

(3 months ago)

Commons Chamber
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Chris Hinchliff Portrait Chris Hinchliff (North East Hertfordshire) (Lab)
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The origin of Britain’s planning system is as deeply rooted in the legacy of the post-war Labour Government as that of the national health service and the welfare state. Like those great Labour institutions, it has faced relentless underfunding, attacks and dismantling from the Conservatives, who prioritise the rights of wealthy landowners over the entitlement of working people to affordable housing and quality infrastructure.

I commend the Government for bringing forward a Bill that offers the opportunity to at last get to grips with the appalling mess made of the planning system by the parties opposite; after all, it was they who allowed more than 14,000 hectares of our best farmland to be lost to development since 2010. The reality is that while we now have substantially more homes per capita than 50 years ago—a surplus that has grown rapidly in recent years—house prices in the UK have risen by 3,878% since 1971. Whatever may be said by their lobbyists, the housing crisis is not a straightforward issue of supply, and it will not be solved by simply putting more powers in the hands of profiteering developers. Waiting for a market solution to this societal emergency would be an exercise in utterly extravagant futility.

Neil Duncan-Jordan Portrait Neil Duncan-Jordan (Poole) (Lab)
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For the past 30 years, successive Governments have attempted to deliver affordable housing through the private sector, and they have failed. Does my hon. Friend agree that it is time for a publicly funded council house building programme?

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Chris Hinchliff Portrait Chris Hinchliff
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I completely agree.

The Government need to deliver a coherent vision for development in this country that matches the clarity and boldness of Labour’s 1947 vision, putting democratic control and social justice back at the heart of the planning system.

First, we must contend with the fact that more than 1.2 million homes that were granted planning permission since 2015 have not been built. Rather than waiting for developers to drip feed land into the system at their convenience, keeping prices high and profits maximised, we must introduce firm financial penalties for land banking to spur on construction and dampen price inflation.

Secondly, in towns like Buntingford and Royston, although thousands of houses have been built in recent years, local people remain stuck on sky-high waiting lists, with enormous knock-on costs for those families and our wider communities. We must therefore address not just the aggregate quantity of building but the types of homes we are providing with a new era of council housing, especially in our small towns and villages.

The housing crisis is also about the concentration of land ownership in the hands of the super-rich. Half of England is owned by less than 1% of its population. Between 1995 and 2022, land values rose by more than 600% to £7.2 trillion, now representing more than 60% of the UK’s total net worth. I welcome the Bill’s expansion of powers for local authorities to prevent developers cashing in on inflated land prices at the cost of the taxpayer. We must maximise the public capture of land value uplifts to provide the necessary funding for genuinely affordable homes that are linked to local incomes and based in well-designed communities that benefit from easy access to all the facilities we need in our daily lives.

Simultaneously, the Government must also grasp this opportunity to reshape how councils develop local plans. Empowered councils with well-resourced planning departments should be able to take an active role to assess the needs of local families, identify appropriate sites and proactively use compulsory purchase orders for genuinely strategic land assembly to meet the needs of their communities.

Finally, given the collapse of nature in our country, we must use this legislation to recognise the very real environmental limits on growth. It is high time our planning system ensured that a presumption in favour of sustainable development ceases to act as a presumption in favour of any development whatsoever.

I look forward to working with Ministers to advance this legislation and secure the strongest possible Bill, which restores our role as custodians of the countryside, compels the private sector to deliver and places the power to meet our housing and infrastructure needs firmly back in democratic hands.

Planning and Infrastructure Bill

Chris Hinchliff Excerpts
Dan Tomlinson Portrait Dan Tomlinson
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I will make a bit more progress.

Let us take the example of nutrient neutrality. It is estimated that no fewer than 160,000 homes across the country have been blocked by Natural England on that basis. That is because on-site mitigation on a site-by-site basis is often virtually impossible, and those homes remain stalled. The environmental delivery plans that Natural England will produce will mean that rather than homes being held up by those rules, the very issues causing nutrient neutrality challenges can be addressed in a strategic way—better for building, for nature and for people. EDPs take the challenge of nutrient neutrality seriously and mean that builders can get stalled sites built, providing much-needed new homes.

Chris Hinchliff Portrait Chris Hinchliff (North East Hertfordshire) (Lab)
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My hon. Friend may have slightly confused the point of amendment 69, which is merely to address the concerns raised by the Office for Environmental Protection and to ensure that the nature restoration fund works to deliver exactly the points that he describes with the right nature protection.

Dan Tomlinson Portrait Dan Tomlinson
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I will come to the point my hon. Friend raises in a second.

If the amendment were adopted, the homes that have been blocked to date would continue to be blocked, and vast numbers would face unacceptable delays or, indeed, never be built. What would happen under the amendment, as we can interpret it, is that we would first have to wait for the EDP to be drafted, for the relevant funding to be secured and for the funding to be distributed to the relevant farmers or others who can help with the mitigation. The works would then have to take place; the impact of the mitigation would have to be monitored; and the monitoring would then have to conclude that it had been a success before any new homes in an area could be built where nutrient neutrality is a concern.

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Chris Hinchliff Portrait Chris Hinchliff
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I rise to speak in favour of the amendments in my name, particularly amendment 69, which has 53 supporters from across the House.

Every family stuck on a housing waiting list, and every child suffering the insecurity of temporary accommodation, represents a moral stain on our country. I welcome Ministers’ urgency in seeking to address those corrosive failures, which, for millions, underpin a lingering sense that our country is deeply broken. However, I fear that the Government have misdiagnosed the root cause of the housing crisis, which is fundamentally that private capital will never deliver the public good that we need.

The evidence is clear that processes that uphold democracy and nature are not the problem; profit maximisation is. The planning system consistently approves more homes than the private sector delivers, and when homes are built, they are too often unaffordable for those at the sharp end of the housing crisis. Last year, less than 2% of homes delivered through section 106 were for social rent. After 20 years of deregulation, hoping that just one more wave will finally make the market deliver is simply not credible. It certainly does not justify stripping away the few protections that we have left for our natural environment, especially when the Government’s own assessment could provide no concrete evidence that it would work.

We are already one of the most nature-depleted nations in the world, and we can spend what little remains of our natural inheritance only once. If the Government press ahead with their proposals, the national account will soon be empty. There is the kernel of a good idea in a nature restoration fund, but the weight of evidence against the way that it has been drafted is overwhelming: nature organisations, academics, ecologists and the Office for Environmental Protection have all raised serious concerns. I welcome the tone of earlier commitments from Government Front Benchers, but amendment 69 gives Ministers the opportunity to rescue something positive from the wreckage of this legislation by ensuring that environmental delivery plans serve their purpose without allowing developers to pay cash to destroy nature, and that conservation takes place before damage, so that endangered species are not pushed close to extinction before replacement habitats are established.

The amendment outlines that conservation must result in improvements to the specific feature harmed. That will protect irreplaceable habitats such as chalk streams. Our natural capital, which underpins all prosperity in this country, declined by a third from 1990 to 2014. This is a chance to reverse that trend. Given that Letchworth Garden City in my constituency sprang into life without a single mature tree being felled, we can build the homes that we desperately need to clear our housing waiting lists in harmony with nature.

To conclude, the primary value to which our politics has sought to appeal has for decades been self-serving ambition, but as the party of change and of the people, Labour has a duty to serve a higher virtue: hope. I am talking about hope for a future in which our nation no longer imagines housing as an ever-appreciating financial asset, and instead builds homes that provide the secure and healthy environment essential for our physical and mental wellbeing, and that allow everyone to put down the roots necessary to grow and fulfil their truest potential; hope for a future in which we create connected communities of friendship and co-operation, rather than having the grey and miserable utilitarianism of commuter dormitories; hope for a future in which we take every possible opportunity to restore the glories of British nature and can meaningfully say, for the first time in generations, that we have left the nation richer than we found it; in short, hope that we choose by design to surround every man, woman and child in these islands with constant proof that life is beautiful.

Pippa Heylings Portrait Pippa Heylings (South Cambridgeshire) (LD)
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I declare my interest as co-chair of the all-party group on local nature recovery.

When the Government first introduced this Bill, they branded it a win-win. They said that we could build the homes and infrastructure that this country desperately needs and protect and restore nature. We have seen in my constituency—one of the fastest growing areas of the country, with a Liberal Democrat-run local planning authority—that it is indeed possible to demand from developers both ambitious house building and high environmental standards that restore nature. We Liberal Democrats believe that a healthy childhood for all children includes homes that are energy-efficient and warm, not cold and damp; access to green space for mental and physical health; and infrastructure, including public transport, GPs and schools.

When done well, nature is a partner to the healthy homes and green energy that our country needs. However, through this Bill, the Government risk taking a wrecking ball to good-quality development. Nature is not a blocker to development. We are pointing the figure at the wrong culprit, and this is cheap, false rhetoric. Nature is not to blame. The Government’s own watchdog, the Office for Environmental Protection, has publicly warned that the Bill in its current form will be a regression from current environmental protections, rather than increasing the number of homes, helping nature and helping us to meet our binding climate and nature pledges. Instead it will remove vital safeguards and put protected sites and species at risk.

Over 30 leading environmental organisations, including the RSPB, the wildlife trusts and the National Trust, have raised the alarm about part 3 of the Bill, with its very worrying plan to move to a “cash to trash” model for the nature restoration fund. I know the Minister has rejected that characterisation, but in the Environmental Audit Committee we heard robust evidence from expert witnesses that we could call it a “pay some amount later for something, somewhere” fund.

Planning and Infrastructure Bill

Chris Hinchliff Excerpts
Gideon Amos Portrait Gideon Amos
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The amendment of my hon. Friend the Member for Henley and Thame would definitely provide a much stronger justification for a CPO that enabled footpaths and cycle paths to be made. As he said, it would create a more level playing field with the compulsory purchase powers already in use for highways. I certainly agree with my hon. Friend the Member for Honiton and Sidmouth (Richard Foord). New clause 22 is a very logical amendment, and there is no logical reason why Ministers should reject it, although that has not stopped them so far; I hope that they break the habit of a lifetime.

We are clear in our amendments that communities should lead, and should be in the driving seat, when it comes to development and land. When people see the infrastructure for which they have been calling, it drives more community consent for the homes we need and the communities that we want to build. We need infrastructure for nature as well. Good places to live have gardens, open spaces, parks and meadows, so our new clause 114 would charge development corporations with ensuring those things.

I remind the shadow Minister that development corporations discharged planning powers under Conservative Governments, just as under Labour and coalition Governments. It is not always local authorities that deliver development. It is therefore right to ensure that development corporations discharge their duties as effectively as possible. If and when they build new towns and major developments, as the Government want them to, they must ensure open spaces for nature—spaces that work for people and our environment. Amendment 151 would require them to report regularly on their environmental and climate duties.

The first garden cities were supported by a Liberal Government and built without felling a single tree, as the hon. Member for North East Hertfordshire (Chris Hinchliff) confirmed yesterday. Their successes were emulated, and they are still emulated in the best developments, right up until today. The vision was a radical one of bringing people and the environment, town and country, and nature and humanity closer together. Those pioneers ensured healthier places to live in, an objective that our new clause 6, promoted by the Town and Country Planning Association, would insert in the planning objectives. Today, however, we face the much greater challenge of saving nature, as well as community cohesion and consent, before it is too late.

These amendments may not pass, but make no mistake: there are no greater threats to our way of life than the breakdown of trust, which risks destroying communities, and the breakdown of our environment, which is destroying nature. Those are the challenges that our amendments would tackle head-on, and I humbly urge Members to support them.

Chris Hinchliff Portrait Chris Hinchliff (North East Hertfordshire) (Lab)
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Once more unto the breach. I rise to speak in favour of amendment 68 in my name, and I hope to find as much common ground with Ministers as possible. I fully agree with the Government that we need bold reform of the planning system to tackle the housing crisis, and that is what even stronger reform of CPOs would deliver.

We have substantially more homes per capita than we did 50 years ago, yet over that time, house prices in the UK have risen by 3,878%. The Minister for Housing and Planning was right to argue that housing supply is not a panacea for affordability. There have been 724,000 more net additional dwellings than new households in England since 2015, so the Deputy Prime Minister was right to argue that there is plenty of housing already, but not enough for the people who desperately need it. The fundamental planning reform we need is an end to the developer-led model, which Shelter estimates is on track to deliver just 5,190 social rented homes per year, despite those being the very properties that we need to reduce waiting lists and get families out of temporary accommodation.

The housing crisis is one of inequality. We must move away from reliance on the vested interests of private developers, whose priorities will never align with the public good. Amendment 68 is intended to ensure just that. Half of England is owned by less than 1% of its population. Between 1995 and 2022, land values rose by more than 600% to £7.2 trillion, which amounts to more than 60% of the UK’s net worth. The amendment would build on Government proposals to give councils the land assembly powers necessary to acquire sites to meet local housing need at current use value, and so would do away with speculative hope value prices, which put taxpayers’ money into wealthy landowners’ pockets. That would finally make it affordable for local authorities to deliver the new generation of council homes that is the true solution to this nation’s housing crisis.

If we coupled strengthened compulsory purchase powers with a more strategic approach to site identification and acquisition, we could not only increase the amount of affordable housing built, but achieve genuinely sustainable development, and would no longer be beholden to whatever ill-suited proposals developers chose to bring forward.

The failings of our developer-led planning system are writ large across my constituency. In the 10 years from 2014 to 2024, North Hertfordshire and East Hertfordshire delivered a significant expansion of housing supply—3,973 and 7,948 net additional dwellings respectively. What happened to local authority housing waiting lists over the same period? They rose from 1,612 to 2,449 in North Hertfordshire and from 2,005 to 2,201 in East Hertfordshire. There have been more than enough new homes in my area to clear housing waiting lists, but the affordable homes we need are simply not delivered by a profit-driven model. A further fact stands out: over that decade, during which housing supply and waiting lists grew simultaneously in North and East Hertfordshire, not a single council house was built in either authority.

It is time for a genuine alternative to this farce. I urge the Government to look closely at the amendment, and to push onwards to create a planning system that once again puts people before profit.

John Lamont Portrait John Lamont (Berwickshire, Roxburgh and Selkirk) (Con)
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I will speak to the amendments relating to compulsory purchase powers, and to my new clause 128. I note that much of the Bill and most of the clauses will not affect Scotland, but, unusually for a planning Bill, there are components that do affect it.

Before I talk about the detail of my concerns about compulsory purchase powers, I want to set out a little of the context, and say why the issue is exercising so many of my constituents. I am privileged to represent the Scottish Borders—the place I call home. It is undoubtedly one of the most beautiful parts of the United Kingdom, but it is under attack. The net-zero-at-all-costs agenda of this UK Labour Government, backed by the SNP in Edinburgh, is causing huge concern to my constituents. Massive pylons, solar farms, wind farms and battery storage units are ruining the Scottish Borders as we know them, and compulsory purchase powers are a key part of delivering many of those projects.

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Matthew Pennycook Portrait Matthew Pennycook
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It is a pleasure to respond to what has been a thoughtful and, largely, well-informed debate about a piece of legislation that is, to quote the shadow Minister, “groundbreaking”. I thank all hon. Members for their contributions this afternoon. Can I take the opportunity to thank the shadow Minister and the Liberal Democrat spokesperson, the hon. Member for Taunton and Wellington (Gideon Amos), for their robust but civil and fair approach to scrutiny in Committee?

I want to respond to the key amendments and the arguments that have been made this afternoon. Among other reforms and interventions, the Government are clear that significantly boosting our housing supply requires a renewed focus on building large-scale new communities across England. Development corporations are vital vehicles for delivering large-scale and complex regeneration and development projects. The Bill creates a clearer, more flexible and more robust framework to ensure that they can operate effectively. While there is clearly widespread support across the House for the effective use of development corporations where appropriate, a number of amendments have been tabled that seek to impose specific requirements on them.

New clause 114 in the name of the hon. Member for Taunton and Wellington would ensure that development corporations include provision for green spaces in new developments. The Government absolutely agree that delivery of large-scale development and regeneration projects must include the provision and stewardship of green space, which has a wide range of benefits, including supporting health and wellbeing, climate mitigation and adaptation, and biodiversity and wildlife.

We do not believe that the new clause is necessary to deliver on these objections. First, development corporations have a strong track record of providing suitable green space. Ebbsfleet development corporation, for example, has a target for the delivery of parks, open spaces and recreation areas, providing almost 15 hectares of parks in recent years, and this year aiming to provide around 10 hectares of new parks and open spaces.

Secondly, development corporations that take on local plan-making powers are already subject to national planning policies, including those concerning green infrastructure. This means that where development corporations take on local planning authority powers, any planning decisions made should be informed by the national planning policy framework, which, as hon. Members will be aware, is a material consideration when determining planning applications.

As the House will know, the NPPF sets out policies to encourage the provision of green infrastructure and outlines that plans should set out an overall strategy for the pattern, scale and design quality of places, making sufficient provision for the conservation and enhancement of the natural environment, including green infrastructure. The NPPF also sets out that planning policies should be based on robust and up-to-date assessments of the need for open space, sport and recreation facilities and opportunities for new provision that plans should seek to accommodate. It is the Government’s view that the duty proposed in this new clause may unhelpfully constrain some development corporations—for example, where development corporations are designated specifically for the redevelopment of smaller commercial spaces.

On the stewardship of green spaces, each development corporation has a designated oversight authority, which is either the Secretary of State, a mayor, or local authorities, and it is for them to set specific frameworks for stewardship arrangements. Although I commend the hon. Member for Taunton and Wellington for once again highlighting this important issue, I hope that with the explanation I have provided he will agree to withdraw his amendment.

I turn to the reforms to compulsory purchase in the Bill, which are designed to improve the CPO process and land compensation rules to enable more effective land assembly through public sector-led schemes. New clause 127 and amendment 153 tabled by the hon. Member for Keighley and Ilkley (Robbie Moore) would repeal section 14A of the Land Compensation Act 1961. Let us be clear: the amendments propose to repeal a power introduced by the last Conservative Government, in which the hon. Member served and in which he voted for the specific piece of legislation containing the power.

The power allows acquiring authorities to take forward certain types of scheme by compulsory purchase and to pay a reduced value for land where it will deliver clear and significant benefits and is justified in the public interest. The hon. Member’s amendments do not seek, as proposed in the Bill, to limit the extension of the power to parish and county councils or to the use of compulsory purchase powers as they apply to Natural England. The amendments seek to repeal a power contained in a piece of legislation that he voted for, and it is frankly embarrassing to listen to him try to explain that sharp U-turn.

To support the delivery of the housing and infrastructure that this country desperately needs, we must make better use of underutilised land across the country. We know that many local authorities share this objective, but their plans are often frustrated by unrealistic compensation expectations on the part of landowners. This can result in significant amounts of developable land remaining unused and overpriced, with the result that the building of homes, transport links and schools becomes prohibitively high.

Chris Hinchliff Portrait Chris Hinchliff
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In the debate today, Conservative Members have robustly defended the principle of paying landowners the uplift from the current-use value to the value that land would have with planning permission. Given how Winston Churchill said such unearned increments in land are “positively detrimental” to the general public, are they not attacking their own best traditions?

Matthew Pennycook Portrait Matthew Pennycook
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I agree with my hon. Friend. It is a shame that the Conservative party has seemingly changed its view. [Interruption.] The shadow Secretary of State said, “Yes, that’s right. We’ve changed our view. It was a bad piece of legislation.” Many provisions in the Levelling-up and Regeneration Act 2023 were some of the best introduced by the previous Government. There is lots in the previous Government’s record that Conservative Members should rightly feel embarrassed about; these powers are not among that. Far from removing that power, we want acquiring authorities to use the power. For that reason, we cannot possibly accept the hon. Member’s amendment.