In this summary we examine some of the main effects of the Planning and Compulsory Purchase Act 2004 which received Royal Assent on 13 May 2004.
Overview
The intention behind this legislation is to encourage local communities to play a more active role in creating better places to live and work, as well as making the planning system faster, fairer and more efficient. However, as many of the key provisions come into force at different stages, it is unclear whether all these objectives will be realised.
The development plan
Planning law controls the development or use of land and to safeguard amenities. Local planning authorities exercise this control by reference to their development plans which currently consists of a structure plan and a local plan (Greater has a unitary development plan).
The new Act replaces unitary, local and structure plans with regional spatial strategies (a spatial development strategy for London) and local planning authority local development documents.
Regional planning bodies (of which 60% of members are drawn from county councils and local planning authorities) will prepare the regional spatial strategy setting out the development and use of land.
Local development documents will comprise the local planning authorities’ specific policies for the development and use of land in its area.
This new system should mean quicker adoption of development plans with greater public participation due to the involvement of a regional planning body of county council members and local planning authorities.
Life of planning consents
The new Act has reduced the time taken to implement full permissions from to 3 years. The time frame for outline permissions remains the same.
Refusal to Determine
The Act extends a local planning authority’s existing powers to decline to determine planning applications.
Currently, a local planning authority can decline to determine an application for planning permission if it is the same or very similar to an application which has either been refused (within the previous 2 years) or been dismissed on appeal by the Secretary of State.
Under the new Act a local planning authority can refuse to determine a planning application where it itself has refused 2 similar applications and there has been no appeal to the Secretary of State in the preceding 2 year period. This is intended to prevent repeat applications being submitted with the intention of wearing down opposition to development, rather than to prevent the submission of a similar application altered to address objections to the previous application.
‘Twin-tracking’ describes the practice of submitting two identical planning applications at the same time so than one application can be appealed in the event of deemed refusal whilst continuing to negotiate with the planning authority on the other. This practice is often used where local planning authorities have a poor track record in determining applications within the statutory time limits. As the Act is intended to improve efficiencies, twin tracking will be phased out by provisions which will allow local planning authorities to decline to determine an application if they think it is similar to another application which has not been finally determined (either by the authority or on appeal by the Secretary of State).
Planning contribution
The new Act will replace the existing (often protracted) mechanism for planning obligations found in Section 106 planning agreements with regulations for a more straightforward framework for planning contribution.
Developers will be able to make a payment as an alternative to, or in combination with, the provision of a benefit in kind to satisfy the planning charge.
Local planning authorities will have to specify which developments and uses will require contributions and if so for what purpose those contributions will be used.
Such planning contributions might include a development land tax based on land values or some other form of contribution e.g. the provision of affordable housing. Whilst simplification in this area will be welcomed by all, it is as yet unclear how infrastructure and affordable housing can continue to be delivered without the need for complex negotiations.
Compulsory purchase
The Act aims to make the compulsory purchase system simpler, fairer and quicker and to help acquiring authorities to assemble land more quickly for regeneration, new major infrastructure projects and other schemes. Local authorities, joint planning boards and national park authorities will have power to acquire land compulsorily if in their view it will facilitate development, or the improvement of land, provided that such acquisition is of economic, social or environmental benefit to the area. The Secretary of State will also enjoy extensive powers to call-in a planning application where it is of national or regional importance. Procedural changes will be made to make compulsory purchase orders quicker and fairer.
Clearly these changes have the potential to assist developers considerably in delivering more complex schemes.
Impact
The Government believes that the new legislation will give us a new system to make better plans, and make better planning decisions more quickly. As many of the reforms will be implemented over a period it will be some time until we can establish whether that objective has been achieved and whether it really does benefit all those involved in development of land.
This article first appeared in NewsBrief, Autumn 2004
