Further planning reforms position infrastructure as a key driver for growth
Chancellor Rachel Reeves has made further proposals for major changes to the planning process in the run up to the budget on 26 November, designed to fast-track delivery of infrastructure including new roads, railways, airports, reservoirs and housing.
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In the first announcement, the government has put forward amendments to the Planning and Infrastructure Bill that will “streamline the planning process, reduce delays, and bolster economic growth”.
Key reforms include granting ministers the authority to override local council refusals, limiting legal challenges to planning decisions, and expediting approvals. The government also plans to simplify ecological assessments by reducing Natural England's involvement in minor decisions.
Responding to the proposed amendments John Foster, CBI Chief Policy & Campaigns Officer said, "The CBI welcomes the latest amendments to the Planning and Infrastructure Bill as an important signal that the government wants to go further and faster in reforming our inefficient planning system.
“Action that cuts delays to planning processes and simplifies environmental approvals is critical to getting projects moving faster and unlocking the economic growth the country needs. Allowing ministers to act decisively on major applications, streamlining Natural England oversight, and broadening investment to key assets will unlock significant investment across the country."
The revised bill is now scheduled to return to the House of Lords for its Report Stage.
Secondly the government confirmed it will work with the judiciary to cut the amount of time it takes for a judicial review to move through the court system for nationally critical infrastructure projects by around half a year.
Judicial reviews can currently take well over a year to be resolved and have seen some major projects left in limbo. Treasury figures suggest major road projects are paying up to £121m per scheme due to delays in legal proceedings, with the cost of workers’ wages, legal fees and weakened investor confidence fuelling overspend.
Chancellor of the Exchequer, Rachel Reeves, said, “Our planning reforms are set to benefit the economy by up to £7.5bn over the next ten years, so whether through reducing the length of the judicial review process, tearing up burdensome regulations, or streamlining planning permissions with AI, we want to go further still by backing the builders not the blockers and deliver national renewal by getting Britain building.
Housing Secretary, Steve Reed, said “Serial objectors have held Britain’s future to ransom – we can’t let frivolous legal challenges gum up the courts and grind our economy to a halt.
“Just four out of 34 judicial reviews since 2008 were actually upheld. It’s clear the system is being abused by those who want to stop progress at any cost. We’re backing the builders, not the blockers, and getting Britain building again.”
Katy Dowding, President and CEO Skanska UK said, “I welcome this announcement to curb the delays to major infrastructure delivery – it is a crucial step in enabling construction as a key driver for economic growth. I encourage government to work closely with industry to consider how to unblock other issues that equally hamper infrastructure delivery so we can get Britain building again.”
Chris Ball, President, UK & Ireland, AtkinsRéalis said, “Critical infrastructure is the lifeblood of the economy: it powers homes and businesses, moves people to places and goods to markets, creates capacity for new homes and industrial zones and enables sustainable, resilient growth. The faster these projects move into delivery, the sooner their economic impact can be felt locally and through the jobs and investment in supply chains across the country.”
Richard Whitehead, AECOM’s regional CEO for Europe & India, said, “The government faces urgent challenges in delivering infrastructure fast enough to meet the ambitions outlined in the infrastructure strategy and drive growth. Speeding up project delivery will be a key element to ensuring the highest return on the planned infrastructure pipeline.
“The UK’s consenting process can be subject to legal challenge which can cause substantial delays to projects resulting in scheme benefits not being realised within anticipated timescales as well as rising costs to the Exchequer. The government has been making commendable progress with its planning reform agenda, and the focus must now be on ensuring the reforms can translate into success through effective implementation and adequate resourcing. We commend any moves that can lead to faster approvals whilst also maintaining environmental and community safeguards.”