Investment zone sites can already have outline planning permission

The ‘investment zones’ outlined in Friday’s mini-budget can include sites that already have outline planning permission, according to guidance published over the weekend.

On Saturday, the Department for Levelling Up, Housing & Communities (DLUHC) and the Treasury published further details of the policy, which will see a streamlined planning process and reduced tax on specific sites to boost growth.

The government said it has been in talks with local authorities and has identified 38 mayoral combined authorities (MCA) and upper tier local authorities (YUTLA) that could set up a zone (see box below).

The guidance said: “Sites may be aligned with existing local growth strategies and transport plans.

“Sites that already have a masterplan, development order or outline permission could be considered by MCAs and UTLAs as a potential Investment Zone, as could sites where planning consents are not yet in place”

But the government said the zones would need to create additional development, even where the sites have already been given outline approval.

“There is a strong expectation that investment zones will bring forward additional development, and that they bring forward a mix of both commercial and residential development. Both of these will be considered in the expressions of interest assessment process.”

The government said zones will benefit from removed ‘burdensome’ EU requirements, reduced consultation with statutory bodies and a relaxing of “key national and local policy requirements”. It said developer contributions will be focused on essential infrastructure.

Sites could also benefit from reduced tax for a time-limited period, this could include business rates relief and full stamp duty relief on land and buildings.

The government will legislate for powers to create tax and development sites in the investment zones.

It said: “For developments which already have permission, we will work with developers and local planning authorities to ensure planning is not a barrier to the accelerated delivery of these sites.”

The guidance comes as DLUHC confirmed it is pressing ahead with its levelling up and regeneration bill, currently going through parliament.

This is despite the government pledge a new Planning and Infrastructure Bill to accelerate priority major infrastructure projects across England. It is proposing to minimise environmental assessments; make consultation requirements “more proportionate” reform habitats and species regulation and increasing flexibility to make changes to a Development Consent Order once it has been submitted

Housing sector figures on Friday called for planning reform across the whole country and not just in specific zones.