Levelling-up and Regeneration Bill

Lord Best Excerpts

Committee stage
Monday 24th April 2023 Lords Chamber

[Earl Howe (Con)]

My Lords, I will speak also to Amendments 281CB to 281CE. These amendments are aimed at creating greater opportunities for those people who want to build their own home by ensuring that local authorities make sufficient provision for self- and custom-build sites in their areas.

The Government believe that self- and custom-build housing can play a crucial role as part of a wider package of measures to boost home ownership and diversify the housing market, as well as helping to deliver the homes that people want. Self and custom build improve the design and quality of homes as they are built by the people who will live in them.

We are aware that, under the current legislation, some development permissions that are not necessarily for self- and custom-build housing are being counted towards a local planning authority’s statutory duty. This has meant there is an incomplete and inaccurate picture of self and custom build at a local and national level, which can distort the market and have wider impacts on small- and medium-sized enterprises and developers.

In the other place, the Government introduced Clause 115 to ensure that a development permission will count in meeting the duty only if it is actually for self-or custom-build housing. The Government have brought these additional amendments forward to further tighten up the Self-build and Custom Housebuilding Act 2015 to ensure that the intended policy aim of the original legislation is being met in practice.

Amendment 281CB ensures that only land made available explicitly for self-build and custom housebuilding qualifies towards the statutory duty to grant planning permission et cetera and meets demand for self and custom build. We have tabled the amendments to give the power to the Secretary of State to define in regulations the descriptions of types of development permissions that will count towards meeting this duty. This will ensure that only development permissions that are intended to be built out as self or custom build will be counted. The regulations are likely to require any permissions granted for self and custom build to be characterised by a condition or planning obligation making that requirement explicit. Amendment 281CE specifies that any regulations made under this new power will be subject to the negative resolution procedure.

Amendment 281CC ensures that any demand that a relevant authority has accrued for self and custom build through its self and custom build register that has not been discharged within the three-year compliance period will not dissipate after this time, but will roll over and remain part of the demand for the authority to meet under Section 2A of the 2015 Act. Amendments 281CA and 281CD are consequential, minor and technical amendments that amend the 2015 Act to ensure that Amendment 281CC works in practice. Overall, the amendments proposed ensure that the 2015 Act works as intended, without ambiguity.

These amendments, accompanied by our other interventions, including the launch of the Help to Build equity loan scheme and the Government’s response to Richard Bacon MP’s independent review into scaling up of self-build and custom housebuilding, will help to mainstream the self- and custom-build sector. This will allow more people to build their own home, help support SMEs and boost housebuilding. I therefore hope that noble Lords will support these amendments. I beg to move.

[Lord Best (CB)]

My Lords, I rise to support this group of government amendments aimed at increasing the number of homes built or commissioned by their future occupiers. I had the pleasure of piloting the Self-build and Custom Housebuilding Act 2015 through your Lordships’ House. It started as a Private Member’s Bill from Richard Bacon MP, who has tirelessly—I would say relentlessly—pursued his campaign to get the sector to scale up. Most recently, he has produced an independent review to boost the building of self-commissioned new homes across all tenures, and these amendments flow from the Bacon review to which the Minister referred.

In countries as diverse as Germany and New Zealand, much of the new housebuilding is done in partnership with its future occupiers who, if not actually building the homes, are specifying the form they take and working with an SME builder to meet individual requirements. The result in other countries is that homes are more varied, personalised, affordable and energy efficient. These amendments attempt to give this still fledgling sector further impetus by helping self-builders and custom housebuilders to get their hands on the land on which to build, rather than leaving the volume housebuilders to gobble it all up. The sector would be an important beneficiary of my earlier amendment on diversification on larger sites, but a shift to that Letwin-inspired development model is not going to happen immediately. Bolstering the existing means to get local authorities allocating land for self-build and custom housebuilding is eminently sensible. I congratulate Richard Bacon on his continuing tenacity, the Right to Build Task Force on getting the Government to take forward these amendments and the Government on accepting them.