The Localism Bill: Quick guide

The Bill when enacted by the end of 2011 will fundamentally change the English Planning System by decentralising control from Central and Regional Government to local authorities and now to local neighbourhoods.

 

Accompanying the Bill, the Government published Decentralisation and the Localism Bill: An Essential Guide which sets out six actions central government will take to achieve and maintain the radical shift in power from Central Government to local neighbourhoods. The guide can be found at: www.communities.gov.uk/decentralisationguide.

 

With specific reference to planning, the principle and widely expected changes through previous DCLG announcements are as follows:

The removal of the primary legislation which sets the basis for Regional Strategies - and hence the imposed housing targets set by the Regional Spatial Strategy upon individual Local Planning Authorities.

Inspectors Reports not binding upon the Authority (Clause 92)

In the examination of a Local Development Document the Inspector's recommendations to amend the development plan document are no longer binding on the authority.

The Bill replaces the Infrastructure Planning Commission with a democratically accountable system that seeks to provide a fast-track process for major infrastructure projects.

A Major Infrastructure Planning Unit is therefore to be established within the Planning Inspectorate to now determine major infrastructure projects - as established by the 2008 Planning Act - like windfarms and nuclear power stations. Ministers will ultimately take decisions on applications within the same statutory timeframe as the current regime.

The Bill also streamlines national planning policy guidance by a series of new National Policy Statements. These are to be approved by Parliament - but only the House of Commons - and therefore is hoped to minimise the risk of successful judicial review.

The Coalition Government has decided to retain (previously to be abolished) the Community Infrastructure Levy (CIL). CIL allows local authorities to set charges which developers must pay when bringing forward new development in order to contribute to new infrastructure. The Bill now also it a requirement for some CIL funds to be passed to neighbourhoods where the development has taken place.

This is a key component of the Bill introduces a new tier of spatial planning concept - namely neighbourhood planning.

 

The Bill introduces the right for communities to shape their local areas by creating "Neighbourhood Planning Authority" (NPA). The NPA could be based on existing parishes - or a group of parishes or by an organisation designated by the Local Planning Authority as a "Neighbourhood Forum. " The neighbourhood forum, once designated will take effect for 5 years.

 

Neighbourhoods can also establish general policies that will steer decisions on traditional planning applications. NPA's can therefore prepare their own "Neighbourhood Development Plan" - NDP - which will form part of the statutory development plan and therefore development will need to accord with the NDP's policies unless other material considerations indicate otherwise.

 

Neighbourhood plans are still required to be consistent with national planning policy and to conform to the strategic elements of local authority development plan documents plans - such as the Local Planning Authorities core strategy. The Localism Bill makes provision to ensure that neighbourhood plans do not override these wider ranging plans, including the proposed changes national planning policy guidance.

 

NPA's will also have the ability to have "Neighbourhood Development Orders" (NDO's) where planning permission will be granted for development which is specified by the Order applicable to a specific site. The site s where NDO's are in force are therefore likely to be indentified in the NDP. For more complex cases NDO's will be able to grant outline permission so that the right to develop would be established and only the details would need to be approved.

 

These measures are part of the Coalition Government agenda to fundamentally change the English Planning system so that local communities are incentivised to approve sustainable development - such as retaining a proportion of the Community Infrastructure Levy (CIL) and the Government's complimentary measures - such New Homes Bonus (where the Government will match the council tax raised from new homes for the first six years.

 

The Bill also introduces a "Community Right to Build Order" (CRBO) where local communities the power to take forward development in their area without the need to apply for planning permission, subject to meeting certain safeguards and securing 50% support of the community through a referendum. It will be for communities to identify suitable land, sources of finance and secure support for their proposals

The Bill introduces a new requirement for prospective developers to consult local communities before submitting planning applications for very large developments. This is intended to give local people a real chance to comment on proposed developments which may have an impact on them, and to collaborate on issues such as design at an early stage, when they still have a real change to influence proposals before they are finalised.

The measures in the Decentralisation and Localism Bill radically alter the Government's philosophy of how the planning system should operate within England. The Coalition Government's Bill significantly shifts planning policy and the planning decision making from previously unelected central and/or regional government organisations to locally elected councillors and also now to neighbourhood communities.