In February this year, Rebecca Mushing, looked at whether English devolution would speed up the delivery of new homes. Since then, the government published the English Devolution and Community Empowerment Bill (the “Bill”) on 10 July 2025. Alongside the Bill, the government also put in place some useful guidance which can be viewed here.
In this article we will look at some of the key proposals relating to planning.
Strategic Authorities
Under the Bill a new category of authority will be created to be known as “Strategic Authorities”. There are already a number of institutions across England such as Combined Authorities, Combined County Authorities and The Greater London Authority that will become Strategic Authorities under the Bill. In some limited instances a single council may become a Strategic Authority by agreement with government. The level of devolution granted to each Strategic Authority will depend on its governance model i.e. whether it operates at the foundation, mayoral, or established mayoral tier. This tiered approach will determine the range and depth of powers available to the authority. They will be able to perform functions in a variety of areas, including housing and strategic planning, economic development and regeneration, transport and local infrastructure.
The Strategic Authorities will not replace local councils but will work alongside them to address cross-boundary and regional challenges. The aim of the government in creating the Strategic Authorities is to make devolving power from Westminster to local regions easier and quicker.
The industry seems to be welcoming the idea of a return to regional planning via Strategic Authorities to help with the bigger issues that require cross border cooperation.
Expanded Mayoral Planning Powers
Strategic Authorities will be required to publish Spatial Development Strategies (“SDS”) setting out the vision for development in their area. When a SDS is in place, Mayors will benefit from new expanded planning powers.
One of the most significant new powers includes the ability to "call in" planning applications deemed to be of potential strategic importance. This will allow Mayors to take a more active role in deciding applications that could benefit the wider area, helping to unlock development opportunities. It is also expected to cut through red tape and accelerate the planning process.
Conversely, Mayors will also have the authority to refuse applications they consider to be of strategic importance but not in the public interest. These powers provide Mayors with greater flexibility to shape development across their regions more effectively.
Mayoral Development Orders & CIL
Mayors of Strategic Authorities will also be given the ability to prepare Mayoral Development Orders (“MDO’s”) which will provide them with powers to grant planning permission for a specific development instead of an application being submitted. As part of this process local planning authorities will still be consulted and ultimately will be required to approve the MDO. If for whatever reason the local planning authority does not approve the order, then the Mayor can refer the matter to the Secretary of State for approval. If the matter is referred, then it is likely it will pass through an inquiry procedure.
Under Schedule 14 of the Bill Mayors of Combined Authorities and Combined County Authorities will have powers to charge community infrastructure levy. This means that Mayors can impose a Mayoral Community Infrastructure Levy (“Mayoral CIL”) on new developments in their area which will be used to support delivery of infrastructure locally. However, the imposition of another development tax may affect the viability of the development which is considered necessary. This does not mean that there will not be any oversight: the Secretary of State will be able to set conditions which are to be satisfied for the charge to apply. The rates for the Mayoral CIL will be set within a charging schedule which the Mayor will need to be able to convince a simple majority of constituent councils to approve.
Mayoral Development Areas
The Bill will allow the Mayor of a Combined Authority or Combined County Authority to designate Mayoral Development Areas (“MDA’s”) which will be permitted where the Mayor considers the designation is expedient to further economic development and regeneration in their area. They can also create Mayoral Development Corporations (“MDC’s”) to assist in delivering the large complex projects which will provide the ability to attract investment and private sector expertise. Through the MDC a Mayor would be permitted to grant planning permission without going through the usual planning process. Whilst this could offer a more streamlined efficient process to deliver regeneration, it may leave local councils and their constituents feeling left out of the process.
Acquisition and Development of Land
The Bill provides Mayors of Combined Authorities and Combined County Authorities with compulsory purchase powers to acquire land where the objective is to:
- improve the supply of quality housing in their area;
- secure the regeneration or development, or supporting in other ways the creation, regeneration or development of communities or their continued wellbeing; or
- contribute towards the achievement of sustainable development and good design in that area.
These new powers will allow Strategic Authorities to acquire, develop and dispose of land where necessary. These new powers could help the delivery of development and the required infrastructure particularly where there is fragmented ownership. However, the use of CPO powers can be seen as intrusive and controversial given it is the state acquisition of private property, often against the owner's will, and, handled badly, can become costly.
Community Right to Buy
The Bill introduces a community right to buy which applies to assets of community value which will look to protect pubs, community centres, community shops and sporting assets in England. Local authorities must keep a list of these assets of community value which can then be nominated by community groups. The Bill sets out the nomination procedure at paragraph 86E of Schedule 27.
Currently the Asset of Community Value scheme offers a 6 month pause on the sale of an asset but nothing more than that. After the pause, the owner may sell the asset to whom they like. This causes difficulty for local communities looking to purchase an asset particularly where there are private developers or investors with lots of ready cash. The Bill will give more teeth to this pause giving community groups first refusal to acquire assets of community value. The community group and the owner will be able to negotiate an agreed price, or the matter will be referred to an independent valuer. The first refusal however isn’t a guarantee that the community group will be able to raise the funds or indeed match the market price of the asset.
We will have to wait and see what impact this change has in the coming years, it is likely to assist in protecting and safeguarding assets of community value and in turn arguably reducing the potential to redevelop those assets.
Final Thoughts
The introduction of the call in powers and the Mayoral Development Orders seemingly provide Mayors with the opportunity to support development in their areas and generally streamline the planning process.
However, the concentration of power in the strategic mayor may have some worrying about accountability and lack of involvement by local councils and communities. Mayors must look to work together with their local communities and councils to ensure that the latter are involved in the decisions and to ensure they do not feel like the decisions are being done without their involvement sidestepping their democratic input.
The introduction of a Mayoral CIL is likely going to require a review of existing CIL charging schedules to be able to put a global charging schedule in place for the Strategic Authority. The introduction of Mayoral Development Areas should in theory assist to promote growth and development generally by focusing on areas where regeneration is needed.
The Bill is currently working its way through Parliament and went to Committee on 16 September 2025. It is likely that some elements of the Bill will be changed before it finally receives Royal Assent, following which further secondary legislation will be required to put in place some of the detail.
The information provided in this article is provided for general information purposes only, and does not provide definitive advice. It does not amount to legal or other professional advice and so you should not rely on any information contained here as if it were such advice.
Wright Hassall does not accept any responsibility for any loss which may arise from reliance on any information published here. Definitive advice can only be given with full knowledge of all relevant facts. If you need such advice please contact a member of our professional staff.
The information published across our Knowledge Base is correct at the time of going to press.
