UK government to extend 'starter home' planning relaxations to rural areas in England

Proposals included in the UK government's first ever 'rural productivity plan' would allow communities to approve the construction of new homes on rural exception sites, which are areas of the green belt that may be used for affordable housing if there is a proven unmet local need. These homes could then be made available to people with an existing connection to the area, whether employment, family or residence.

UK communities secretary Greg Clark said that the plans would help rural villages to thrive and grow.

"We're determined to ensure anyone who works hard and aspires to own their own home has the opportunity to do so – whether they live in cities, towns or rural communities," he said. "That's why we're putting power directly in the hands of rural councils to give the go-ahead for new starter homes in their area, so local young first-time buyers can continue to be a vital part of their communities."

The starter homes initiative allows first-time buyers under the age of 40 to purchase a home at a 20% discount. The initiative is funded by local planning authorities not requiring developers to make the usual affordable housing contributions, or other tariff-based infrastructure contributions, when developing starter homes. Councils will still be able to seek other section 106 contributions, such as the provision of infrastructure, to mitigate such development and make it acceptable in planning terms. The government's target is that 200,000 such homes will be built under the scheme by 2020, mostly on brownfield land identified by the government as suitable for development.

According to the policy paper, the government intends to make it easier for local areas to establish their own neighbourhood plans. They could then use these to allocate land for new homes, including starter homes on rural exception sites. The government also intends to review the existing threshold for agricultural buildings to convert to residential buildings, and will further review planning constraints affecting rural areas.

Further high-level measures included in the rural productivity plan will "boost the rural economy by investing in education and skills, increasing wages [and] improving infrastructure and connectivity", the government said. They include improved rural transport connections, fairer funding for rural schools and work with private sector providers on "alternative solutions" to make broadband internet access available in the most rural areas.

The government said that it would continue to cut regulatory 'red tape' hampering rural business growth, including by reducing the need for farm inspections. It also intends to triple the number of food and farming apprenticeships from 6,000 to 18,000. Existing targets requiring 98% indoor 4G mobile coverage by 2017 and 95% superfast broadband coverage by 2017 would also benefit businesses based outside of the major cities, it said.

Around 60,000 people move from urban to rural areas every year, according to government analysis. 

"Our rural areas could be generating billions more for the UK and providing many thousands of new jobs – this plan will make that a reality," said Elizabeth Truss, the environment secretary.

"We're connecting the countryside to make it just as simple to run a business from Cornwall as it is in Camden. But it's not just about transport and technology. Our plan will help us create thriving towns and villages where generations of families can open and expend their businesses, buy a home and educate their children at first class schools," she said.