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Authority area is unquestionably a good
thing, however since its introduction in
2018 it has been riddled with problems
and has given rise to a signicant northsouth divide in the distribution of housing
need across the country. For example, the
existing Standard Method produces a
gure of just 44,000 new homes per year
across the whole of the North of England
(North East, North West, Yorkshire and
Humberside) representing just 14% of the
overall national target. That is despite
28% of the national population living in
the North of England and average housing
delivery rates substantially exceeding this
gure historically.
Paragraph 14 of the “Changes to the
Current Planning System” consultation
document states that one of the main
reasons for proposing to change the
Standard Method is to achieve a better
distribution of new homes across the
country. But is the proposed new formula
better?
Based on initial impressions it is
suggested that the changes would be
successful in overcoming some of the
concerns with the existing Standard
Method. However, there remain some
very real problems with the new proposal
with one of its most fundamental failings
being that it appears unlikely to do
anything to address the neglect of
housing need in the North. Indeed, under
the proposed changes to the Standard
Method, and whilst the overall national
number would increase by 27% up to
337,000, the increase in the North would
be just 13% increasing by 6,000 new
homes per year from 44,000 to 50,000.
That would be an extremely small
addition to an already disproportionately
low number for the North of England,
especially in the context of the signicant
increases otherwise being proposed in the
South.
When drilling down to a regional level
ISSUE 10 : AUTUMN 2020
in the North East the picture is no less
worrying, with the proposed new
Standard Method likely to result in an
increase in housing need of just 16% from
6,250 new homes per year to around
7,280 based on initial calculations
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undertaken by fellow planning consultants
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Lichelds. For a region that is highly
dependent on new housing delivery to
support the local economy, create
exibility in the local job market and drive
urban regeneration, such a marginal
increase is clearly a cause of alarm.
In some North East areas the housing
need looks likely to increase signicantly:
for example, Northumberland would see a
huge increase of around 80% leaping from
650 to 1,170 new homes per year whilst
the likes of South Tyneside, Sunderland
and Middlesbrough would also see
increases in the region of 25 - 35%.
However, in contrast Newcastle would see
a drop of around 24% in its housing need
from 1,035 to 774 new homes per year
which cannot be considered acceptable
for the region’s capital and main focus for
economic growth. In a similar vein,
County Durham would see a reduction of
some 11% from 1,260 to 1,140 new
homes per year which again would do
nothing but undermine an area with some
of the most aspirational economic growth
projects.
The Government’s aspiration to
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support the renewal of towns and cities,
especially those in the North, whilst also
addressing areas with the greatest
aordability pressures is to be
commended and is widely accepted as
being a key driver behind the proposed
changes to the Standard Method. The
ability to achieve the desired outcomes is
seriously called into question however
when hugely ambitious and unrealistic
housing gures will continue to be placed
on local authorities in the South while
authorities in the North remain stuck with
disproportionately and inappropriately
low gures in comparison. Further tweaks
to the Standard Method formula should
therefore be explored prior to the
proposed changes being implemented to
properly level up the North, including the
North East, and ensure that the proposed
new Standard Method does not continue
to undermine investment and
housebuilding capacity in the region as
has been the case in recent years.
To speak to Mark Ketley please
call 0191 232 8080 or email
mark.ketley@bradleyhall.co.uk
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