Councils to Lose Power to Block Large Housing Developments Labour to Intervene in Planning System

Ministers have announced plans to remove local councils’ authority to block or delay large scale housing projects in England. The government aims to address the slow rate of homebuilding by allowing ministers, rather than local councils, to make decisions on developments of more than 150 homes.

The new measures will oblige councils to refer any decision to refuse planning approval for sizeable housing schemes to the government. Currently, councils only notify the government when approving developments that may conflict with national planning guidelines. Under the proposed changes, the housing secretary will be able to ‘call in’ decisions, appointing a planning inspector to assess the proposal and provide a recommendation. The final decision will rest with the secretary of state, effectively enabling the government to override local opposition.

Official figures reveal that just 29,490 new homes were started between April and June this year, representing a two percent increase on the previous quarter. The annual figure of 196,500 new homes completed marks a decline from the 221,000 homes delivered the previous year. This output remains far below Labour’s target of building 1.5 million homes before the next general election, a goal that requires 300,000 completions each year.

Government sources state that nearly 900 major housing projects have been halted by local councils in the past year. Ministers argue that the changes will expedite delivery and ensure that opposition from local authorities does not undermine national housing targets. By simplifying the process, such as resolving cases using written submissions instead of formal inquiries, the government expects to accelerate planning decisions for large projects.

The Home Builders Federation has endorsed the policy, stressing that swift approval for larger sites will reduce unnecessary delays and support increased supply. They also advocate for measures to reduce regulatory burdens and make housing more affordable, urging consideration of incentives similar to the former Help to Buy scheme.

The Local Government Association has criticised the reforms, highlighting that councils currently approve nine in ten planning applications. Council leaders caution that removing local oversight from the process will erode the democratic role of councillors and diminish local input, raising concerns for the future of planning governance in England.