Out-Law News 3 min. read
15 May 2015, 10:51 am
Prime minister David Cameron has now formed his first majority government. His party's election manifesto contained a number of pledges related to home ownership and planning, including some specific pledges for London.
The manifesto said a Conservative government would aim "to double the number of first-time buyers, and help more people own their own home." The manifesto confirmed the extension of previous schemes as well as the creation of new ones. It said the Help to Buy mortgage guarantee scheme would be extended until the start of 2017 and the Help to Buy equity loan scheme until 2020.
The party also promised to build more homes that people can afford, including 200,000 starter homes built exclusively for first-time buyers under the age of 40 which would be sold at a 20% discount. It pledged to deliver a total of 275,000 new affordable homes by 2020. The previous coalition government delivered 217,000 affordable homes over the last five years.
The manifesto proposed extending the Right to Buy scheme, which helps Housing Association tenants to buy their homes. It said a Conservative government would fund the replacement of properties that had been sold under this scheme and "[require] local authorities to manage their housing assets more efficiently, with the most expensive properties sold off and replaced as they fall vacant".
The party pledged to introduce a £1 billion Brownfield Fund designed to facilitate the construction of 400,000 new homes on brownfield land over the next five years. It also said that it would "ensure that brownfield land is used as much as possible for new development", protecting green belt land . Local authorities will be required to have a register showing what brownfield land is available and ensure that planning permission for housing is in place for at least 90% of suitable sites by 2020.
The government announced in February that a London Land Commission would be created with a "mandate to help identify and release surplus brownfield land owned by the public sector." The manifesto said the government's housing zones initiative would be expanded to develop 95,000 new homes on brownfield sites by 2020.
Further pledges made prior to the election included "support for locally led garden cities and towns in places where communities want them, such as Ebbsfleet and Bicester" and to take forward the new Right to Build Scheme. The Right to Build Scheme requires councils "to allocate land to local people to build or commission their own home".
The party has also pledged "over £100 billion" in infrastructure spending. This includes a proposed £38bn on the railway network, with a pledge to push forward Crossrail 2, and £15bn for the road network.
Planning expert George Wilson of Pinsent Masons, the law firm behind Out-Law.com, said: "The Conservative Party's manifesto was drafted in the context of both a likely hung parliament and potential Conservative minority government, with resulting compromises. However, the surprise result may mean the new majority government has different priorities and it will be interesting to see if and how the government's policies shift over the next parliament."
"There was an emphasis on unlocking brownfield land in the Conservatives' manifesto which is good news for developers, if these pledges are implemented," said Wilson.
Cameron announced this week that Greg Clark would replace Eric Pickles as secretary of state at the Department for Communities and Local Government. Clark was first elected as MP for Tunbridge Wells in 2005 and was minister of state for universities, science and cities in the previous government and, before that, minister of state for decentralisation. Clark played a role in the introduction of the National Planning Policy Framework and Community Infrastructure Levy.
Mark Francois has been made a minister of state for communities and local government, but with Brandon Lewis keeping the housing and planning brief. David Cameron also re-appointed Patrick McLoughlin as secretary of state for transport and Liz Truss as secretary of state for environment and rural affairs, with Amber Rudd replacing Ed Davey as secretary of state for energy and climate change.
The Conservatives have also confirmed their intention to devolve further powers to the mayor of London with an aim to speed up the planning process and help tackle the capital's housing requirements. Boris Johnson will also attend the party's political cabinet in addition to his mayoral duties, following his election as MP for Uxbridge and South Ruislip. He will not be given any ministerial position until after the mayoral election in 2016.
Planning expert Nicholle Kingsley of Pinsent Masons said: "It was a surprise to many that Greg Clark replaces Eric Pickles as secretary of state at the Department for Communities and Local Government. Greg Clark is known for being a champion of localism so it will be interesting to see how many planning applications are now 'called-in' for secretary of state determination or if localism continues to affect the provision of significant new homes and large scale development. "
"In London attention will turn to Johnson's legacy in his final year, whether bold mayoral decisions will be made or not and how Opportunity Areas are used as the driving force for higher and denser developments in order to meet housing targets," said Kingsley. "While it is unlikely that Johnson's focus on London will be diminished as a result of being an MP, his position is unprecedented and there will inevitably be a focus on how he balances his role in government with his mayoral duties."