PRIVATE SECTOR INVOLVEMENT IN STRATEGIC PLANNING. John Acres RTPI Vice President 10 th January 2018

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1 PRIVATE SECTOR INVOLVEMENT IN STRATEGIC PLANNING John Acres RTPI Vice President 10 th January 2018

2 BACK TO BASICS! All parties accept we need more housing the question is how many (and for whom?) The private sector builders are the primary delivery vehicle but changes are afoot It is not just about new building use, conversion and extension of existing stock has a role The builders can t build homes without land it s a basic raw material so decisions have to be made The planning system guides and controls land release, so influences the price mechanism The planning system should be about public & private partnership working together

3 LONG TERM TRENDS The overall scale of housebuilding has fallen consistently since the 60 s It is now recovering about 200,000 per annum Public sector building has tumbled since 1979 and barely recovered Housing association building has narrowed the gap somewhat Private building has varied little since the 2 nd WW. The capacity of the industry is relatively inelastic Larger companies have swallowed up smaller companies, leaving less flexibility

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5 YOUNG PEOPLE CAN T GET ON THE HOUSING LADDER! Right Homes in the right places but for whom? targets are numbers based Affordability is not given sufficient priority in current thinking. We lack diversity in supply. Young people start with major student debts.. Incomes are currently falling short of inflation. Market rents are now the norm The average age of a first time buyer is now around 35 years. The White Paper begins to look at client groups and.

6 CHANGES IN OWNER OCCUPATION

7 STRATEGIC PLANNING - IF IT DIDN T EXIST IT WOULD NEED TO BE INVENTED Strategic planning is planning that s the whole point No-one would plan infrastructure in a vacuum without creating chaos. Housing, employment, transport, etc all need to be integrated - both sectorally and geographically Private companies wouldn t survive without a strategic plan it is basic stuff The Duty to Co-operate simply doesn t provide a worthwhile substitute a closed process The West Midlands Combined Authority currently has no planning powers and discussions take place behind closed doors. There is no formal consultation.

8 THE PATTERN OF CHANGE GROWTH & DISPERSAL 1970 S The birth of strategic planning arising from County Structure Plans Government intervened during the 1950 s & 1960 s with new & expanded towns. Redditch and Telford declared in 1968 and grew rapidly in the 70 s. Planning was geared towards overspill and catering for the motor car. Industrial unrest. Passenger Transport Authorities were created in 1974 strategic transport planning - if you like.

9 RECESSION & INDUSTRIAL DECLINE 1980 S The West Midlands bears the brunt of the industrial recession. Declining industry closed factories lost jobs with unemployment rising to 40% in poorer areas of Birmingham. A strong growth in private housing but a sharp reduction in Council housing Continued dispersal of people and jobs to new towns, main towns and suburbs, Strategic guidance issues in 1988 to tackle region-wide issues. Central crescent towns beyond the green belt take the overspill.

10 EARLY RENAISSANCE 1990 S Structure Plans & Local plans prepared against 1988 West Midlands Strategic Guidance. The birth of urban regeneration in Birmingham the beginnings of a reversal in migration trends Green belt controls the outward spread of growth - so housing development leap frogs to surrounding towns. Strong growth in private housing in towns and cities, including the new towns.

11 THE LOSS OF STRATEGIC PLANNING The Coalition Government (Eric Pickles) dismantles regional planning invents Localism. The consensus between the West Midlands authorities falls apart. Duty to Co-operate is a poor substitute The LEP s emerge but fail to replace the strategic role of Regions. New West Midlands Combined Authority emerges but without strategic planning powers. Housing growth falls short threatening the economic recovery of the conurbation

12 PRIVATE SECTOR APPROACH TO INTERVENTION Developers land traders and housebuilders follow a different business model. The private sector players need a level playing field. So the plan led system is really important They work together where it is in their interests. Don t forget they are running a business. Yet they thrive on opportunity stealing a march on their competitors where possible They therefore promote sites through Local Plans (and strategic plans) but submit planning applications and appeal as necessary The HBF pursues cases on behalf of the housebuilding industry not specific sites. Chelmer The Private sector needs an adequate supply of land but not a surplus of supply

13 LOOKING AHEAD; WHAT DO WE NEED? A planning system where everyone has confidence that it is fair, effective, efficient, and delivers progress in the interests of society A clear strategic planning framework not necessarily regional based on economic markets A suitable balance between top down and bottom up planning An opportunity for involvement and partnership at all levels and stages including the private sector builders Clear direction from Government and a firm commitment from local authorities to growth and change

14 to ensure that everyone has the opportunity of living in a decent home which they can afford, in a community where they want to live (PPS3)