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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“Plans should take a proactive approach to mitigating and adapting to climate change, taking into account the long-term implications, in line with the objectives and provisions of the Climate Change Act 2008. Our consultation in the summer of last year on changes to the NPPF deliberately sought views on whether carbon can be accurately measured and accounted for in plan-making and planning decisions to establish industry readiness and identify any challenges to widespread use of carbon assessments in planning. We received a wide range of views on this topic, and based on the responses received, we do not consider it appropriate to make carbon assessments a mandatory requirement using a standardised methodology at this stage.”
“I thank the hon. Lady for tabling this new clause, and I very much recognise the challenge that she has outlined. The Government are committed to the 2050 net zero carbon emissions target, and we recognise that embodied carbon can account for a significant proportion of a building’s whole life carbon emissions. Climate change is obviously one of the greatest challenges facing the world today, and managing carbon emissions and carbon storage is vital to mitigating the speed and impact of climate change. The national planning policy framework is clear that the planning system should contribute to and support the transition to a low-carbon future.”
“As we discussed with the pre-application stage, the times have nearly doubled since 2013 to over two years, and we estimate that our proposals could save businesses up to £1 billion over the lifetime of this Parliament. For this reason, as we have already debated, the Government have tabled amendments to remove all statutory consultation requirements during pre-application. This includes amending the acceptance test in section 55 of the Planning Act 2008 to remove the adequacy of consultation test.”
“We recognise the crucial role that communities’ engagement and consultation can play in building infra-structure that mitigates impacts and increases benefits for communities, but the Government do not agree that a statutory test is the right way to achieve that objective. Evidence shows that the statutory consultation requirements —as debated at length in an earlier part of the Bill—which are unique to the NSIP regime, are creating perverse alternatives. Risk-averse developers end up producing lengthy documentation that is aimed at lawyers and not communities. Moreover, developers are disincentivised to change their schemes in light of responses to those consultations for fear that they would have to go out to consultation again. Let us be clear; this slows down delivery and increases cost to all our detriment.”
“I thank the hon. Gentleman for moving the new clause. Without testing the patience of the Committee too far, I will speak fairly briefly to set out the Government’s position, because I recognise the concerns that were expressed in previous debates. As he described, the new clause would result in the Secretary of State having to take into account how community consultation has taken place in the determination of whether an NSIP application should be accepted for examination. Specifically, the new clause would require the Secretary of State to consider whether the application has sought to resolve issues, enabled interested parties to influence the project during early phases, obtained relevant information about the locality, and enabled appropriate mitigation through community consultation.”
“On that basis, I hope that he is reassured, although I recognise the point he makes.”
“Easing permitting requirements for low-risk activities will help to speed up consenting and construction, as well as incentivise more investment in infrastructure. Further operational and service improvements to the Environment Agency’s permitting service will enable permits to be issued faster. Additionally, we will provide clearer guidance to applicants and consenting authorities to improve the usage of section 150 in its current form. I hope that the hon. Member for Taunton and Wellington accepts that we recognise the problem, but think that there is a different way to address the challenges he has highlighted that does not involve a full repeal of section 150. We agree that change is needed, but we are focusing on alternative and what we consider more effective solutions.”
“I therefore disagree—the Government took this view on the balance of serious consideration, after engaging with a wide range of stakeholders—that repealing section 150 would be beneficial. Instead, we will reduce the permitting burden by reforming the permitting system. Many NSIPs need environmental permits for low-risk temporary construction activities. Our wide-ranging reforms will modernise, accelerate and simplify decisions to get projects and developments moving, while upholding protections for the environment and local communities. The reforms by the Department for Environment, Food and Rural Affairs will further empower regulators to make risk-based decisions on which activities should be exempt from needing environmental permits.”
“As the draft DCO is submitted at an early stage, most applicants do not have enough information about their project to underpin a permitting decision, and consenting bodies would need to evaluate applications based on incomplete information. The Secretary of State making the decision on the DCO would likely have insufficient information to make a robust and legally sound decision. In particular for environmental permits, there is a risk of regression on environmental standards. Some consents are also not suitable to be included in the DCO, because they relate to ongoing activities that a regulating body needs to monitor, and where permits may need to be amended or revoked.”
“We considered potential reforms, such as a deemed consent framework, or indeed to repeal section 150, to reduce barriers and increase uptake. However, after speaking extensively with stakeholders, we think that those are not viable options. The new clause repealing section 150 would allow applicants to include consents and permits in their draft DCO application without the agreement of the consenting body. The secondary consents would then be included in the DCO under section 120, which does not require permission from the relevant consenting authority. That risks, however, lessening the robustness of the permitting process for the following reasons.”
“The Government agree that the consenting and permitting process for NSIPs needs to be streamlined, and work is ongoing to achieve that. Seeking permits after the DCO has been granted causes unnecessary delays to the construction of significant infrastructure schemes. As the hon. Gentleman referenced, section 150 was intended to support the one-stop shop ambition of the NSIP regime, but in practice is rarely used. Consenting bodies require a large amount of information to decide on a permit application, but applicants rarely have such information this early in the planning application process. As we said in the planning reform working paper, the Government want to deliver the one-stop shop vision for the NSIP regime.”
“I thank the hon. Gentleman for moving the new clause. As he says, it seeks to repeal section 150 of the Planning Act 2008. I recognise the issue touched on, and it is one that the Government have considered but ultimately decided not to make the changes that he seeks, for reasons that I will outline. In addition to the planning permit granted through the DCO, NSIPs have to secure a range of other, secondary consents. Those can be temporary permits if only needed for construction, or permanent permits if needed for operating the development. Section 150 enables applicants to include those secondary consents in the DCO, instead of having to seek them separately. That speeds up the consenting process, but it is subject to the agreement of a relevant consenting authority, such as the Environment Agency.”
“We welcome an ongoing discussion about how we improve the system of developer contributions—I look forward to hearing the thoughts of the hon. Gentleman’s when we bring the Government’s proposals forward in due course—and I personally look forward to engaging with the findings of the Housing, Communities and Local Government Committee’s important inquiry into this subject. However, we believe that the Government’s focus is better directed on delivery at this stage, reporting to Parliament through the usual procedures. On that basis, I hope that the hon. Member is content to withdraw the motion.”
“There were real risks that it would, overall, have led to our receiving less affordable housing than under the present system, so we are not taking it forward. We have already made progress through the revised national planning policy framework published on 12 December last year in other areas—for example, the new golden rules for green belt development, which are designed to capture more of the land value uplift to fund central infrastructure and high levels of affordable housing—and we will legislate to give mayors of strategic authorities the power to raise a mayoral CIL, alongside the requirement to have a spatial development strategy in place, enabling them to raise revenue for strategic growth-supporting infrastructure where that is balanced with viability.”
“That is why, as I made clear previously in relation to earlier amendments and clauses, the Government are committed to strengthening the system of developer contributions to ensure that new developments provide the necessary affordable homes and local infrastructure. To that end, we chose not to implement the alternative proposal for land value capture provided for in the Levelling-up and Regeneration Act 2023—namely, a mandatory infrastructure levy, which the previous Government would have had replace section 106 and CIL—given the concerns raised by many involved in the planning system. I remember extensive debates on that point in Committee; if hon. Members think that some of the debates that we have had lasted a long time, I refer them back to the Hansard reports of the debates on that infrastructure levy.”
“I thank the hon. Gentleman for raising the important issue of land value capture. As he says, local planning authorities can use developer contributions secured through section 106 planning obligations and the community infrastructure levy to capture a proportion of the increases in land value that occur as a result of planning permission being granted. Developer contributions play a vital role in the planning system: nearly half of affordable homes delivered in England each year are through section 106 planning obligations, and contributions from developers fund essential infrastructure to support new development and mitigate its impacts.”
“We need some of that flexibility to be left in the system.”
“The policies ensure that playing fields can be lost only where the facility is no longer needed, or where there is a justified and appropriate alternative, such as equivalent or better provision elsewhere. Given those existing safeguards, we do not believe it is necessary to duplicate them in primary legislation. The risk is that doing so could lead to an overly rigid framework that limits the ability of local planning authorities. We have had a number of debates where in a sense we are trying to restrict the ability of local planning decisions—I do not think advertently, but perhaps inadvertently. We think local planning authorities are best placed to make some of these decisions. We do not want to overly restrict their ability to respond to the specific needs and circumstances of their communities.”
“Gentleman’s claim that the in-principle decision to look to consult on the removal of Sport England means that the Government are determined to develop on every playing field across the country. The Government agree that access to recreational spaces, including playing fields and pitches, is vital for the health and wellbeing of communities. Those spaces play an important role in supporting physical activity, social cohesion and opportunities for young people. The national planning policy framework already includes strong protections for playing fields and pitches. It sets out clear and robust tests that must be met before any development affecting such space can be approved.”
“I will start with new clause 101. I gently say to the hon. Member for Taunton and Wellington that I do not agree with his interpretation of the reforms that we set out for the statutory consultee system or our minded reforms; as I have said, we will consult on those in fairly short order. We want to look at both the scope of statutory consultees and the specific application types on which they provide advice. We know that there are lots of applications where statutory consultees are required to be consulted but do not even engage with the issues for which they have responsibility. We think there is a sensible reform there. But I take issue with the hon.”
“Furnished holiday let owners are now subject to the same income, corporation and capital gains tax rules as other landlords.”
“But we are also very aware of the concern that excessive concentrations can affect the affordability and availability of housing to buy and to rent, impact on the sustainability of local services and reduce the sense of local community. There is clearly a balance to be struck. As things stand, it has not been struck correctly. We think that change is needed in this area. To take action on short-term lets, we still intend to introduce a registration scheme for them to ensure the quality and safety of tourist accommodation, provide better data to local authorities and protect the spirit of our communities. In addition, from April 2025 the furnished holiday lettings tax regime was abolished, eliminating the tax advantages that short-term let owners had over private rented sector landlords.”
“I thank the hon. Gentleman for tabling and speaking to these two new clauses and highlighting this really important issue, which does affect a large number of rural, coastal and, it is important to say, urban communities across the country. I have had a number of extremely fruitful meetings with colleagues on both sides of the House about it—most recently with the hon. Member for Westmorland and Lonsdale (Tim Farron), who is from the same party as the hon. Member for Taunton and Wellington and whose constituency typifies the problems that can occur from incredibly excessive concentrations of both short-term lets and second homes. Short-term lets and second homes can benefit local economies. They can be incredibly important for tourism in particular parts of the country.”
“We need to explore various potential levers that could help better strike that balance between housing and the tourism economy before moving forward. We do not consider the planning changes set out in the new clause to be the most effective route to achieving that aim, but I once again reassure Members that we are taking concerns in this area very seriously and that I am more than happy to continue the dialogue with the hon. Gentleman and other Members who are affected. I know it is an extremely pressing issue in many constituencies. On that basis, I hope the hon. Gentleman will feel content not to push the new clause to a vote.”
“I note and accept the hon. Gentleman’s point, and there are a variety of considerations at play in this area. Locking in was one concern raised; enforcement was another. In response to feedback, we are considering the issue more generally. I make those points simply to say that this needs to be thought through carefully. I have made this point in the House a number of times, and I am happy to do so again: we recognise the case for further action on short-term lets and second homes. We are very carefully considering what additional powers we might give to local authorities to enable them to respond to the pressures they are facing, but this is a complex area, and we have to think carefully about introducing these types of restrictions.”
“Question proposed, That the Chair do report the Bill, as amended, to the House.”
“Amendment 71, in clause 96, page 134, line 34, leave out paragraph (d). This amendment is consequential on Amendment 68. Amendment 55, in clause 96, page 135, line 2, at end insert— “(ea) section (Planning Act 2008: right to enter and survey land) comes into force on such day as the Secretary of State may by regulations appoint;”. This amendment provides that the new clause inserted by NC42 comes into force by regulations. Amendment 56, in clause 96, page 135, line 3, leave out “section 8 comes” and insert— “sections (Changes to, and revocation of, development consent orders) and 8 come”.— (Matthew Pennycook.) This amendment provides that the new clause inserted by NC43 comes into force by regulations. Clause 96, as amended, ordered to stand part of the Bill . Clause 97 ordered to stand part of the Bill .”
“Amendment 102, in clause 95, page 134, line 12, at end insert— “(1A) Paragraphs 37 and 41 of Schedule 6 extend to England and Wales only.”— (Matthew Pennycook.) See the explanatory statement for Amendment 101. Clause 95, as amended, ordered to stand part of the Bill . Clause 96 Commencement and transition provision Amendments made: 68, in clause 96, page 134, line 28, leave out “1, 2 and 3” and insert “1 to 4”. This amendment has the effect that the changes made by the new clauses inserted by NC44 and NC45, and current clauses 4 and 6 of the Bill, are to come into force by regulations. Amendment 69, in clause 96, page 134, line 30, leave out paragraph (b). This amendment is consequential on Amendment 68. Amendment 70, in clause 96, page 134, line 32, leave out paragraph (c). This amendment is consequential on Amendment 60.”
“Clause 96 sets out how different provisions in the Bill will be commenced, and clause 97 reaffirms that the short title of the Act will be the Planning and Infrastructure Act 2025. I commend the clauses and amendments to the Committee. Question put and agreed to. Clause 94 accordingly ordered to stand part of the Bill . Clause 95 Extent Amendments made: 101, in clause 95, page 134, line 11, at beginning insert “Subject to subsection (1A),”. This amendment, and Amendments 102, 103, 104, 105, 106, 107 and 108, are technical amendments reflecting the fact that there are different versions of the Wildlife and Countryside Act 1981 and the Protection of Badgers Act 1992 for England and Wales and for Scotland, and making it clear that the amendments to those Acts in Schedule 6 only extend to England and Wales.”
“Government amendment 55 will ensure that the amendments under new clause 42 will come into force only when the Secretary of State introduces regulations associated with that new clause. Government amendment 56 is a consequential change related to new clause 43. The merits of new clause 43 have already been debated. A proportionate and unified process for making changes to development consent orders post consent will be developed following appropriate consultation and engagement with consenting Departments and stakeholders and set out in revised regulations. Transitional provisions will be included in the revised regulations to ensure an efficient transition to the new system. The amendment will permit the clause introduced by new clause 43 to be introduced by regulations at the appropriate time.”
“Therefore, the changes to the commencement of new clauses 44 and 45 allow the Government to adhere to commitments, ensure that guidance is in place to support changes and make the necessary changes to associated secondary legislation before the removal of statutory consultation requirements takes effect. Government amendment 55 relates to new clause 42 and the amendments that the Government are introducing to improve the process for accessing land when needing to survey it in connection with an application or proposed application for development consent, or the implementation of a development consent order. Under new clause 42, the Government will later be introducing regulations associated with the notices that will need to be served on landowners before an applicant, or proposed applicant, enters the land in question.”
“In my written ministerial statement accompanying the tabling of the amendments, I made it clear that the Government intend to publish statutory guidance setting out strong expectations that developers undertake consultation and engagement prior to submitting an application. As we have discussed, this will be an important component of how we implement the removal of statutory consultation requirements for NSIP projects. We will work with stakeholders to design the guidance and will launch a public consultation to seek input on how the guidance, regulations and transitional arrangements should be implemented. We are also aware that consequential changes to secondary legislation need to occur, so that associated legislation aligns with those changes.”
“Government amendments 68 to 71 make minor consequential changes related to new clauses 44 and 45. To summarise, new clause 44 removes statutory consultation from pre-application, and new clause 45 makes subsequent changes to sections of the Planning Act 2008 and clauses as introduced by the Bill to reflect the changes made in new clause 44, and to remove reference to statutory requirements for consultation and associated documentation. The original clauses were to come into force six months after Royal Assent. These Government amendments now mean that new clauses 44 and 45 will come into force on such day as the Secretary of State may by regulations appoint.”
“I rise to speak to the final group of clauses and amendments. Clause 94 simply sets out the Crown application of Bill measures. Government amendments 101 and 102 make minor technical changes to reflect the fact that the amendments to the Wildlife and Countryside Act 1981 and the Protection of Badgers Act 1992 in schedule 6 extend only to England and Wales, because there are different versions of those Acts for England and Wales and for Scotland. I hope that the Committee accepts the amendments. Clause 95 sets out the territorial extent of the provisions in the Bill and whether each part of the Bill extends to England and Wales, Scotland and Northern Ireland. The devolution position has been debated in relation to each part during the discussion of that part.”
“Members for Hamble Valley and for Ruislip, Northwood and Pinner, and the hon. Members for Taunton and Wellington, for Didcot and Wantage, and for North Herefordshire for the spirited and constructive dialogue that we have had. I value all the contributions and challenges that have been made. I know we are all united in wanting to deliver the best piece of legislation that we can for our constituents and the country. I very much look forward to further engagement with all hon. Members as the Bill progresses through its remaining stages.”
“On a point of order, Mrs Hobhouse. Briefly, I want to take the opportunity to put on the record my thanks to you and the other Chairs of the Committee. I also thank our exemplary Clerks, the Hansard reporters and the Doorkeepers for overseeing our proceedings. I thank my officials and private office team who have supported me and worked tirelessly to bring forward the ambitions of the complex piece of legislation that we have debated over recent weeks. Finally, I thank my fellow Minister, the Under-Secretary of State for Energy Security and Net Zero, my hon. Friend the Member for Rutherglen, for his support on the relevant parts of the Bill that pertained to his Department; my other hon. Friends, whose valuable insights have benefited our deliberations; and the shadow Ministers, the hon.”
“By making the legislative framework clearer and more flexible, the reforms will facilitate the use of development corporations and therefore unlock more sites for development, further supporting the Government’s growth mission and the delivery of 1.5 million new homes in this Parliament. I commend the clause to the Committee.”
“The clause also expands the remit of mayoral development corporations so that they can be used to deliver new settlements, including on greenfield sites, as well as urban regeneration projects. That will ensure that mayors have the right powers to deliver the range of places their communities need. Finally, the clause creates maximum application and flexibility for new town development corporations by allowing separate, non-contiguous parcels of land to be designated for development, aligning NTDCs with the other development corporation models. A single new town development corporation will also be able to oversee the laying out of more than one new town site.”
“Existing legislation provides for five types of development corporation. It is probably worth mentioning them to aid our deliberations: the new town development corporation, the urban development corporation, the mayoral development corporation, the locally-led new town development corporation and the new locally-led urban development corporation, which was introduced in the Levelling-up and Regeneration Act 2023 and is subject to the commencement of its provisions. Clause 79 clarifies that new town development corporations can deliver urban extensions—expansions of existing urban sites—and that new town development corporations and urban development corporations can develop brownfield and greenfield sites.”
“Clause 79 strengthens development corporations by providing greater clarity and flexibility for them in terms of the variety, extent and types of geographical area over which they can operate. That will ensure that development corporations can be used to respond to site-specific challenges, without having to retrofit the scope of the project to match the development corporation model used. The changes are necessary to ensure that development corporations are suitable for modern development needs. They will enable delivery of more large-scale developments, including consented sites that have been stuck in the system for far too long. They will be vital to the delivery of new large-scale projects, such as the new generation of new towns to which the Government are committed.”
“It is a pleasure to continue our proceedings with you in the Chair, Ms Jardine. We have now reached part 4 of the Bill, which concerns development corporations. Among other reforms, the Government are clear that boosting housing supply requires renewed focus on building large-scale new communities across England. Development corporations are statutory bodies established for the purpose of urban development and regeneration. They are important vehicles for delivering large-scale and complex regeneration and development projects. The four clauses in this part are designed to create a clearer, more flexible and more robust framework for their operation.”
“I thank my hon. Friend for those questions. To be clear, the purpose of the clause is to ensure clarity around the remit and functions of development corporations. I understand his points about legacy and the wider contributions that development corporations can make, not least to construction and other skills areas. I am happy to take those up with him outside the Committee and to provide full responses on those points, but they are slightly outside the scope of this clause. Question put and agreed to. Clause 79 accordingly ordered to stand part of the Bill. Clause 80 Duties to have regard to sustainable development and climate change Question proposed, That the clause stand part of the Bill.”
“Clause 80 will change that by amending current legislation to ensure that all development corporations must aim to contribute to sustainable development, climate change mitigation and adaptation, and good design. Through the changes, we will create certainty for local communities that development corporations working in their areas will put sustainable development, climate change, and good design at the heart of delivery. I commend the simple, straightforward and, I hope, uncontroversial clause to the Committee.”
“Clause 80 seeks to ensure that all types of development corporation must aim to contribute to sustainable development, climate change mitigation and adaption, and good design. The delivery of large-scale development and regeneration projects is vital to boost the housing supply, as I just mentioned. We must ensure, however, that large-scale new communities are delivered sustainably, with care for our climate, and that they have good design and quality at their heart. Currently, only new town development corporations are required to aim to contribute to sustainable development and have regard to the desirability of good design. The current legislative framework does not require any development corporation model to contribute to climate change mitigation and adaption.”
“It is therefore essential that development corporations are subject to the duties in this clause, independent of whether they take planning powers, to cater for the full range of uses. Question put and agreed to. Clause 80 accordingly ordered to stand part of the Bill. Clause 81 Powers in relation to infrastructure Question proposed, That the clause stand part of the Bill.”
“I will not rehearse our previous debate, in which I was clear that the Government’s intention, and what the Bill delivers, on spatial development strategies does account for mitigation and adaptation. I thank my hon. Friend the Member for Doncaster East and the Isle of Axholme and the hon. Member for Taunton and Wellington for their support of this clause. This clause is important because, in some cases, development corporations taking on planning powers will already be subject to such duties, but we know that not every development corporation will take on planning powers. Some will have a major role to play in development through master planning, for example, and we want to cater for all eventualities.”
“These measures will ensure that development corporations are on an equal footing to deliver the infrastructure to unlock more sites and co-ordinate more housing infrastructure and transport in the public interest. I commend the clause to the Committee.”
“This recognises heat as a distinct utility, alongside others such as water, gas and electricity. The addition of heat networks will also empower development corporations in their aims with respect to sustainable development and climate change, a point that we have just debated. Existing legislation also places unnecessary restrictions on new town development corporations to deliver transport infrastructure. Clause 81 therefore removes the restriction on new town development corporations so that they can provide railways, light railways and tramways. No other type of development corporation is subject to this restriction, and provision of sustainable transport systems is vital to delivering large-scale developments.”
“Clause 81 primarily seeks to standardise the list of infrastructure that development corporations can deliver to be in line with that of mayoral development corporations. The co-ordination of infrastructure with large-scale property development is essential. However, the current legislation is inconsistent concerning the types of infrastructure that different development corporation models can provide, creating unnecessary uncertainty. In particular, the existing legislation sets out a long list of infrastructure that mayoral development corporations can provide, but the same list is not currently applied to new town and urban development corporations. Clause 81 addresses that by standardising the list of infrastructure that development corporations can provide. It also goes further in adding heat networks to the list.”
“I take the shadow Minister’s point about regional variation in the sense that all this clause does is standardise the list of infrastructure that can be provided by development corporations of all types, making it equal to the existing list that applies to mayoral development corporations. It is a simple simplification to ensure standardisation across the infrastructure that can be provided across all models. Question put and agreed to. Clause 81 accordingly ordered to stand part of the Bill. Clause 82 Exercise of transport functions Question proposed, That the clause stand part of the Bill.”