Matthew Pennycook
MP for Greenwich and Woolwich · Labour · United Kingdom
“It is a pleasure to serve with you in the Chair, Dame Siobhain. I congratulate the right hon. and learned Member for Kenilworth and Southam (Sir Jeremy Wright) on securing this debate.”
“I will address the right hon. and learned Gentleman’s specific question in due course. Before I do so, I want to put on the record the policy in relation to villages. He can rest assured that I will address the point; if he is unsatisfied, he is more than welcome to intervene again. A number of hon. Members mentioned villages.”
“I will say two things in respect to that, and I will come on to detail how the approach works in relation to decision making very shortly. In general terms, developers can make whatever claims they like about any particular site across the country; it is for the local authority to assess whether, in its view, that site constitutes grey be…”
“and learned Gentleman’s point about what is likely to constitute grey-belt land. Let me directly address his other two specific points. Is this a significant policy? Absolutely, and it has been judged as much by the Office for Budget Responsibility and other external commentators. Is it deliberate? Absolutely. We want, as the right hon.”
“Where authorities may wish to restrict development in villages for other reasons, a range of tools are available, such as conservation areas or normal development management policies. On the right hon.”
“We have to put in place policies that, through the decision-making route, allow homes still to be brought forward in that interregnum, but then we have to push heavily to drive towards universal plan coverage. At that point, the protections are in place.”
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“My hon. Friend is a doughty champion for his constituency, and he continues to make a powerful case for the renewal of Hanley city centre as the commercial heart of north Staffordshire. I have had a series of constructive meetings with him and other local leaders about the Hanley masterplan. I know he will welcome the £8 million of investment in Burslem town centre, delivering 800 homes. I am more than happy to continue the conversation with him about the possibility of a new locally led development corporation to take forward the regeneration of the city centre.”
“While I appreciate my hon. Friend’s concern, we have strengthened policies in the draft national planning policy framework, which is currently out for consultation, that will ensure that major residential schemes are built out in reasonable time. I am more than happy to have a conversation with her about how that may impact developments in her constituency.”
“I thank my hon. Friend for that question. We have made proposals in the draft NPPF, which is out for consultation, to set new, higher requirements for authorities to deliver more accessible housing. This includes proposals to make meeting accessibility standards mandatory for 40% of new builds, and to ensure that local plans provide for wheelchair-accessible homes. I am more than happy to have another conversation with my hon. Friend on this issue.”
“I am sorry to hear about the challenges that my hon. Friend’s constituents face at the hands of their landlord. Tenants who are unhappy with their landlord’s handling of complaints can go to the Housing Ombudsman, and the Regulator of Social Housing can investigate evidence of systematic failure. My hon. Friend is welcome to keep me updated on whether his constituents see any improvement in the services being provided over the coming months.”
“We are committed to reinvigorating council house building, which is essential to boost and sustain higher rates of housing supply in the years ahead. We have already taken decisive action to support councils to build at scale once again, including reforming the right to buy and launching the council house building skills and capacity programme, but we will of course keep the matter under review to see what further support we can provide.”
“As I have said, we are intending to switch on the relevant provisions in the Leasehold and Freehold Reform Act 2024 that provide consumers with protections. I would encourage the hon. Lady to submit her views to the consultation, and I am more than happy to pick this up with her outside the Chamber.”
“There is a wealth of evidence that building more housing for private market sale makes other types of housing more affordable now. Such is the mismatch between housing supply and demand—the result of successive Governments not building enough homes of all tenures, and I include my own party as well as his in that. Tenure obviously still matters. We look primarily to local planning authorities to set the tenure mix in their own local areas, but the draft framework that we published yesterday includes firmer expectations in relation particularly to housing sites over 150 units. We want to see the right type of housing come forward.”
“That is why the NPPF, published last year, introduced a new standard method for assessing housing need that is aligned to our stretching plan for change target of building 1.5 million new safe and decent homes in England by the end of this Parliament. I gently say to the shadow Minister: if he calls that number unrealistic, in his own manifesto, in the bidding war that was pursued during the general election, his own party came out with a 1.6 million number. How a Conservative Government would have set about achieving that is a question for another day. The right hon. Gentleman mentioned affordability with both a capital and a lower case “a”; in its lowercase sense, I say to him that boosting the supply of homes of all tenures has to be at the heart of any strategy to address affordability.”
“Gentleman was perfectly clear in his remarks that they are at the heart of his concerns, but I will also touch on the interesting points made on affordability more generally and on tenure mix. In the NPPF published on 12 December last year, we restored mandatory housing targets that were abolished by the previous Government. We restored them, as our manifesto committed us to doing. It means local authorities must use the standard method as the basis for determining housing requirements in their local plans. However, we have almost always made it clear that a mandatory method is insufficient if the method itself is not adequate to meet housing need.”
“We also had—as he made reference to—what I hope he will agree was a useful meeting back in March with officers from East Hampshire district council to discuss the challenges his local planning authority faces in setting housing requirements, given the proportion of it covered by the South Downs national park. In the time I have available to me I intend to address the main points raised by the right hon. Gentleman and other hon. Members, with the usual caveat that I am unable to comment on individual local plans or planning applications, given the role of MHCLG Ministers in the planning system. I will start with some general comments on housing targets, given that the right hon.”
“It is a pleasure to serve with you in the Chair, Mr Twigg. I congratulate the right hon. Member for East Hampshire (Damian Hinds) on securing this important debate today, and for introducing it with his customary clarity and civility. It has been a thoughtful and considered debate and I thank all other hon. Members for the contributions they have made. Whether it is simply the result of good fortune or the product of the right hon. Member’s powers of persuasion, this is not the first time we have debated house building in his constituency this year.”
“Gentleman, give a pithy and straightforward answer. The Government have no intention of withdrawing or modifying the standard method that is now in operation. On the specific point he raised, where affordability ratios fall, the uplift would also fall because it applies over an affordability ratio of 5:1—that is the Office for National Statistics affordability threshold. I think I understood the right hon. Gentleman’s point about the short-term impact, but the only way to bring the affordability ratio down is to build many more homes of all types, and that is what the target is intended to do. However, it is a complex and technical point and he may wish to write to me on it.”
“The point was well made and well understood, and I will address it shortly. The new standard method that we introduced relies on a baseline set at a percentage of existing housing stock levels to better reflect housing pressures right across the country. It uses a stronger affordability multiplier to focus additional growth on the places facing the biggest affordability challenge. In general terms, it is a vast improvement on the standard method it replaced, which was based on household projections that were volatile, subject to change every few years and subject to unevidenced and arbitrary adjustments, with the result that local planning authorities found it extremely difficult to plan for housing over their 10 to 15-year plan periods. I did, in response to the question put to me yesterday by the right hon.”
“Member for East Hampshire knows about this, as we have discussed it before: local authorities are able to justify a lower housing requirement than the figure that the standard method sets, on the basis of local constraints on land and delivery, such as natural landscapes, protected habitats and flood-risk areas.”
“Because authorities with an up-to-date local plan will typically meet the five-year housing land supply, which is what is required to pass the examination in the first place. Having a local plan in place supports a much more comprehensive approach to considering cumulative impacts of development, so we need those local plans in place across the country. It is not my party’s fault that we do not have universal coverage of local plans. I remember standing for years where the shadow Minister is now, telling Conservative Housing Ministers on this side of the Chamber to take effective action to use the full range of their intervention powers to drive up local plans. We are not there, but this Government are committed to doing that. The right hon.”
“We have built on that with the announcement of a default “yes” for development on land within reasonable walking distance around train stations. Local plans have been mentioned a number of times; in some ways, this gets to the heart of the matter. I would first say to the Liberal Democrat spokesman that, far from undermining the plan-led system, the announcements we made yesterday will strengthen the plan-led system. The clear, rules-based policies in that new draft framework will make it easier for local authorities to come forward under the new system of local plan making and get those plans in place more quickly and effectively. Why do they need to be in place more quickly and effectively?”
“London was referenced; under the previous Government, housing targets in London were deliberately set at entirely unrealistic levels because that arbitrary 35% standard method was applied not just to the core of our capital city, but to every London borough. We have revised that number down, but London still has a stretching house building target, which we increased in response to feedback to the consultation we received. In the draft framework yesterday, as the shadow Minister and other hon. Members recognised, we also gave more support for a brownfield-first approach to housing. We welcome responses to the draft framework, through which we now have in-principle support for development within settlements, subject to specified exemptions where there could be unacceptable impacts.”
“We recognise that the targets we have introduced are ambitious and they do mean uplifts in many areas, but such is the severity of the housing crisis in England that all parts of the country, including rural areas, must play their part in providing the volume of homes the country needs. However, it is not the case that the new formula directs housing growth away from large urban areas. We scrapped the arbitrary 35% urban uplift that the previous Government applied to the 20 largest cities and urban centres—and the core of those centres, as was mentioned. However, across city regions, the new standard method increases targets by 20%. Through it, housing growth is directed to a wider range of urban areas, including smaller cities and urban areas as well as larger city areas.”
“I do not think that is correct—at least not in the medium to long term. Going back to the point I just made about supply and demand, we have to build sufficient volumes of homes to arrest the steady rise over many years in house prices and start to gently bring them down over time. We are some way away from that, but the affordability uplift should respond over time if we start to build, in a high and sustainable manner, the large number of homes we need. I will now address the rural-urban balance, which was raised by a number of colleagues. We have had this debate before.”
“To conclude, I thank the right hon. Member for East Hampshire once again for giving the House an opportunity to discuss this important range of matters. As in our debate earlier this year, I appreciate that I will not have convinced him of the merits of the Government’s approach to planning reform or the standard method, but I hope that I have provided him and other hon. Members with sufficient reassurance in respect of local plans, infrastructure and other important matters. I too wish all hon. Members, you, Mr Twigg, House staff and officials a merry Christmas. I hope that everyone has a well-deserved break.”
“Members’ attention to the remarks I made in the statement yesterday. The previous NPPF, from December 2024, strengthened the support for infrastructure —particularly essential infrastructure such as health services and schools—and the latest draft, which we published yesterday, consolidates and strengthens that. On top of that, through the Planning and Infrastructure Bill, which should receive Royal Assent this week, we are streamlining the delivery of nationally critical infrastructure, from rail to roads to reservoirs, across the country. The shadow Minister asked me about section 106. We want to see a simpler, more transparent and more robust section 106 system. That should include standardised templates. As the NPPF published yesterday shows, we think that, in the first instance, that should be rolled out on medium sites.”
“Several hon. Members mentioned the duty to co-operate. Local authorities often face pressure from neighbouring authorities to meet unmet housing needs under the duty. I recently announced that the duty as a legal provision will cease to exist once the new planning system regulations come into force early next year. However, East Hampshire and neighbouring authorities will still be expected to show that they have collaborated across boundaries, including on meeting unmet need, in line with the current and draft NPPF, which set out policies on maintaining effective co-operation. I understand hon. Members’ long-standing concerns about infrastructure. The Government are aware that there is more to do across Government and with the sector to ensure that the right infrastructure gets built. I draw hon.”
“We will respond in due course to that report, in the usual way. I take the hon. Gentleman’s point about flood risk; I am trying to set out that local constraints can be taken into account in the context of local plans. Government provide flexibility in policy for areas that have such local constraints when calculating housing needs and setting targets, and we provided further guidance on the matter alongside the December 2024 NPPF. East Hampshire district council is availing itself of that flexibility through the use of a locally determined method, as part of its efforts to progress towards submitting its plan for examination. My officials have been actively supporting that process, including by facilitating an advisory visit for the Planning Inspectorate, and I will continue to meet with officers to discuss any further support.”
“While there is more that needs to be done to transform the failing housing system we inherited, the further changes to regulation and policy we have announced today are integral to our plans to improve housing availability, affordability and quality in this Parliament. They will not be without their critics, both in this House and in the country, but in the face of a housing crisis that has become a genuine emergency in many parts of England, we will act where previous Governments have failed to ensure that a decent, safe, secure and affordable home is the right of all working people, rather than a privilege enjoyed only by some. I commend this statement to the House.”
“Finally, having considered carefully the responses to the consultation undertaken by the Department for Environment, Food and Rural Affairs earlier this year, I can confirm that the Government will exempt smaller developments of up to 0.2 hectares from biodiversity net gain and introduce a suite of other, simplified requirements to improve the implementation of BNG on small and medium sites that are not exempted. DEFRA will also rapidly consult on an additional targeted exemption for brownfield residential development, testing the definition of land to which it should apply and a range of site sizes up to 2.5 hectares. This Government promised to get Britain building again, unleash economic growth and deliver on the promise of national renewal.”
“We are also setting a clear expectation that local planning authorities allocate 10% of their housing requirement to sites between 1 hectare and 2.5 hectares, in addition to the existing requirement to do so for sites under 1 hectare, to better support different scales of development. Without compromising building and residents’ safety rules, we are using the consultation to ask the technical questions necessary to determine whether to exempt this new medium category of development from the building safety levy, and we are exploring further the potential benefits and drawbacks of enabling developers of medium sites to discharge social and affordable housing requirements through cash contributions in lieu of direct delivery.”
“In May, the Government published a working paper seeking views on a new medium threshold for development of sites up to 1 hectare with between 10 and 49 homes, noting that over 80% of such sites are developed by SME builders. Having reflected on the useful feedback we received, we have decided to go further. While the 10 to 49 unit threshold will apply, we propose to increase the size of sites covered by the new medium category to up to 2.5 hectares, thereby increasing the number of SME house builders being supported. To support development activity on this new category of site, we are proposing limiting information requirements to what is necessary and proportionate.”
“We look forward to receiving feedback through the consultation. Further revisions to the NPPF are not all we are announcing today. The second main front on which we are acting is support for small and medium-sized house builders. As a Government, we are clear that ramping up housing delivery requires us to diversify the house building market. Integral to such diversification is not merely arresting, but reversing, the decline of small and medium-sized enterprise developers that has taken place over recent decades. Building on the steps we have already taken to better support SME house builders to access finance and land, we are today announcing a series of policy and regulatory easements to help them thrive and grow.”
“As a result, it now includes a clear requirement to incorporate swift bricks into new developments; the application of new national standards for sustainable drainage systems; explicit protection for our precious chalk streams; and, as a result of sustained advocacy by my hon. Friend the Member for Bournemouth East (Tom Hayes), recognition of the importance of providing new, improved, accessible and inclusive facilities for children’s play. Taken together, these changes represent the most significant reform to national planning policy since the original NPPF was introduced more than a decade ago. The proposed framework is the culmination of a sustained effort over the first 17 months of this Parliament to revamp our planning system so that it meets housing need in full and unleashes sustained economic growth.”
“There will be stronger support for rural social and affordable housing; clearer expectations will be set for accessible housing to meet the needs of older and disabled people; and more flexibility will be provided on the unit mix of housing for market sale where local requirements for social and affordable homes have been met. In addition to these and other important policy changes on matters such as design, vision-led transport and climate change mitigation and adaptation, the revised framework delivers on various commitments made either at this Dispatch Box or in the other place.”
“These include a permanent presumption in favour of sustainable development, building on the proposals outlined in our brownfield passport working paper to make development of suitable land in urban areas acceptable by default; a default yes for suitable proposals for development of land around rail stations within existing settlements and around well-connected stations outside settlements, including on green-belt land, to ensure that sufficiently dense development comes forward around existing transport infrastructure; and a targeted series of changes to drive urban and suburban densification, including through the redevelopment of corner and other low-density plots, upward extensions, infill development and residential curtilages. We will also take action to secure a diverse mix of homes.”
“Instead, we have chosen to realise their benefits swiftly through agile national policy changes, while leaving open the possibility of a future transition to statutory NDMPs should it be required. The new decision-making policies in the framework published today are therefore designed to make development management more certain, consistent and streamlined; to standardise policies that apply across the whole of England; and to reduce duplication and avoid unjustified local deviation from national policy in local plans. As well as setting out national planning policy in a clearer and more comprehensive manner, we are proposing a number of substantive reforms to boost housing supply and unlock economic growth in the years ahead.”
“As a result, I am today setting out details of the next phase of this Government’s planning reforms. That next phase consists of action on two main fronts. First and most significantly, we are today publishing for consultation a fuller and more definitive overhaul of the national planning policy framework. This wholly restructured framework maintains and builds on the initial revisions we made in December last year. It includes a range of new measures to support key economic sectors and incorporates new clear and rules-based national policies for the making of both plans and decisions. As a result of the not insignificant risk and uncertainty that such an approach entailed, we took the decision not to proceed with statutory national development management policies at this stage.”
“In December last year, we revised the national planning policy framework, reversing the previous Government’s anti-supply changes, implementing a new standard method aligned to our more ambitious national housing target, and releasing more land into the system through a modernised, strategic approach to green-belt land designation and release. In March, we introduced our landmark Planning and Infrastructure Bill to further streamline and speed up the delivery of new homes and critical infrastructure, and I am delighted that that Bill will receive Royal Assent before the House rises on Thursday. Over recent months, we have carefully considered the extensive feedback we have received on a range of policy propositions, from a brownfield passport to reforming site size thresholds.”
“Progress towards that ambitious target of 1.5 million new homes was always going to be slow in the early years of this Parliament; after all, the Government inherited a housing market downturn, one that was exacerbated by the conscious and deliberate decisions of Ministers in the previous Conservative Government to make a series of anti-supply changes to national planning policy, including the abolition of mandatory housing targets. Such is the protracted nature of the development cycle that the corrosive impact of those changes is still in evidence today. However, on taking office, this Government acted quickly and boldly to put in place the foundations of a revamped planning system that will facilitate the delivery of high and sustainable rates of house building in the years ahead.”
“However, we remain absolutely determined to tackle this task head-on and make tangible progress towards a future in which all our people have a decent, safe, secure and affordable home in which to live. We have committed ourselves as a Government unashamedly to an incredibly stretching house building target of 1.5 million new homes in this Parliament. In the face of a housing crisis of such severity, anything less would have been a dereliction of duty.”
“With your permission, Madam Deputy Speaker, I will make a statement on the Government’s ongoing efforts to overhaul the planning system. As the House is fully aware, England remains in the grip of an acute and entrenched housing crisis. It is a crisis, first and foremost, that is blighting countless lives, not least those of the more than 170,000 homeless children living in temporary accommodation today, but it is also hampering economic growth and productivity by reducing labour mobility and undermining the capacity of our great towns and cities to realise their full economic potential. In grappling with this crisis, the Government have never been under any illusions, either about the monumental scale of the task before us or about the challenges that must be overcome and the pitfalls that must be avoided if we are to succeed.”
“Finally, the shadow Minister critiques this Government’s record on housing supply, and it is true that net additional dwellings in 2024-25 stood at 208,600, but in attempting to castigate this Government for that figure, he betrays his ignorance of the development process. The fact is that the overwhelming majority of new homes completed in 2024-25 are the result of planning applications submitted in the last Parliament. In criticising those numbers, he is rebuking his own Government’s record. He is right to do so because, as many hon. Members know, the previous Government, in abolishing mandatory housing targets, have torpedoed housing supply in this country. We are turning things around, and the draft framework will help us to do just that.”
“There are appropriate densities in the framework for all stations across the country and higher densities for specific well-connected stations in those areas. The shadow Minister asked me what we are doing on rural affordable housing. We want to see greater support for social and affordable housing in rural areas. The new framework— [ Interruption. ] If the hon. Gentleman will allow me, the framework makes it easier for rural exception sites to come forward through clearer national policy; makes it far easier for rural authorities to require affordable housing on smaller sites, including by removing the need for legislative designation; and removes the first homes exception sites as a stand-alone form of exception site, to avoid driving up land prices and crowding out wider social and affordable tenures.”
“As ever, this Government are committed to protecting the green-belt, which has served England’s towns and cities well over many decades, but we did introduce— [ Interruption. ] I am more than happy to have a debate with Opposition Members. We replaced the haphazard approach to green-belt release under the previous Government with a more strategic and modernised approach. All the draft framework does is build on that approach in a specific form by allowing development to proceed in the green-belt on well-connected stations. I should say that well-connected stations are precisely defined as the 60 highest travel-to-work areas based on gross value added. However, as with all the policies in the draft framework, we are consulting on whether that is the right number or whether it should go higher or lower.”
“I thank the shadow Minister for his questions. I appreciate that he has not had a huge amount of time to look over today’s announcement, but he has completely misunderstood one of the primary thrusts of the changes we are making, which is to double down on a brownfield-first approach. Through the draft framework, we are introducing a presumption in principle for development in urban areas. We want to make clear in principle what forms of development are acceptable in different locations. Building on our brownfield passports, that will mean that, in practice, the development of suitable urban land will be acceptable by default. That is a doubling down on a brownfield-first approach. The shadow Minister raised concerns about the green-belt.”
“It will drive up the provision of accessible housing overall—I note that some local plans at present have 0%—while ensuring that different levels of local need are met.”
“I thank my hon. Friend the Chair of the Select Committee, who makes a very good point. The Conservative party does not want development on the greenbelt, and it does not want urban and suburban intensification; in short, it does not want homes brought forward in the volume required to meet housing demand across the country. My hon. Friend asks a specific question about accessible housing. The changes we are making through the draft framework will set new, higher requirements for authorities to deliver more accessible housing. They include proposals for 40% of new builds to meet mandatory accessibility standards, and proposals to ensure that local plans provide for wheelchair accessible homes. I stress that that is a minimum, not a target.”
“We have set clearer expectations that development proposals will assess and mitigate adverse impacts on water quality, including in relation to chalk streams.”
“The framework still allows some local standards, where it makes sense to set them locally—for example, on design, parking and open space—but where we have national standards in building regulations, including in the forthcoming future homes and future building standards, which raise our ambition in this area, it does not make sense to allow duplication and variation across local areas. Lastly, the hon. Gentleman mentioned chalk streams, and again I want to push back. We have included explicit recognition of chalk streams as a feature of high environmental value, as I committed to doing during consideration of the Planning and Infrastructure Bill. Local plans will, as a result, have to identify and manage the impacts of development on these sensitive areas, such as by creating buffer zones or green corridors.”
“I have a lot of time for the hon. Gentleman, but again, I think he misrepresents what is in this new framework, with regard to local involvement and local engagement. He seeks to give the impression that there are no safeguards on development in the new framework, and that is not true. The new permanent presumption provides significant backing for development—absolutely. We want to introduce clear, rules-based policies, both for plans and for decision making, but development still has to comply with the wider policies in the NPPF, and decisions on individual applications still have to be taken. The hon. Gentleman raised a point about local standards. Our proposals support our overall aim of making policy more rules-based to streamline the content of development plans.”
“That is the power of national policy in action, but we will keep the matter under review.”
“I do not have the time to go into incredible amounts of detail on why we did not choose to take a statutory approach to national development management policies. Suffice it to say that the approach carried considerable uncertainty and risks. There has been a long debate—I can see Members who served on the Bill Committee—about what a conflict between statutory NDMPs and a local development plan would mean in practice. We were concerned about the chilling effect that might have on the system as a whole, so we have decided to proceed, as I have said, with agile changes to national policy. I remind hon. Members—Opposition Members often complain about this—that national planning policy carries significant weight. Since our December reforms, an unprecedented 80% of major residential appeals relating to grey-belt land have been approved.”
“I will say two things to the right hon. Gentleman. First, the draft framework we have published today continues to provide the protections for agricultural land that are in place in the NPPF as revised last December, including a preference that development be directed towards areas of poorer-quality agricultural land. On consented sites, he is absolutely right. We want to see more consented sites built out, and that is the whole purpose of our new homes accelerator, which we established to take forward those sites. We published a working paper on build-out transparency, but I am afraid that it remains the case that we have to oversupply consents into the system to drive up the number of houses delivered.”
“My hon. Friend is right that the new framework proposes a default yes to suitable proposals around train stations, particularly targeting well-connected train stations across the country, as I mentioned. He will know that in the revisions we made to the NPPF last December, we strengthened protections for playing fields. As I said to the Liberal Democrat spokesman, the hon. Member for Taunton and Wellington (Gideon Amos), although there is a new permanent presumption within settlements as part of this framework, development still has to comply with the wider policies in the NPPF, and individual decisions on applications still have to be taken. I am more than happy to sit down with my hon. Friend and discuss his particular concerns about playing fields.”