Planning reforms will 'blight' nearby homes and drive down house prices, claim council officers

Published 28th Sep 2011

House prices will be driven down by Government planning reforms as properties are 'blighted' by the prospect of new nearby developments, council officials warned today.

The Planning Officers' Society has warned that supposed pro-growth rules would also make it harder for businesses to create jobs.

According to the Daily Telegraph, the society made a formal submission to a government consulation on the planning policy framework, asking for the policy paper to be rewritten.

The opposition is another blow to the government plans, which have already attracted criticism from the Campaign to Protect Rural England and the National Trust.

The submission states: 'The basis for planning for housing has not yet been clearly thought through.

'The consequences are likely to include excessive land releases, resulting in blight or sporadic development.

Mike Holmes, the POS president, told the Telegraph the framework as written would have 'detrimental effects' on house prices.

He said: 'The risk is you get a big splurge in development in an area – or the prospect of it – and prices go down for properties already there.'

Ministers have said they hope the planning policy framework will mean more houses are built.

Grant Shapps, the housing minister, has said the Coalition wants 'house price stability', leading to criticism from home owners who benefit from rising prices.

The POS formal submission also claims the government's plant would make it more difficult for small businesses to expand, as land set aside for such opportunities will instead be used for new properties.

Current legislation allows councils to designate certain areas as 'employment land', meaning it is put aside for business use rather than potentially more profitable residential development.

Critics believe the framework could even affect large firms, with Mr Holmes claiming that if the rules applied now, Jaguar would not have been able to expand their business in the West Midlands.

The Coalition has claimed that the planning policy framework should be pushed through as it will stimulate economic growth.

Those opposing the framework, which was intended to give more power to local communities, say it is unfairly weighted in favour of development.

Despite David Cameron last week promising 'appropriate protections for our magnificent countryside', a spokesperson for the National Trust said a petition calling for a rethink has now passed 100,000 signatures in two months.

Source: ' ThisIsMoney '

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