Starmer sets councils 370,000 homes a year target and five golden rules Mortgage Finance Gazette

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Councils must build a combined total of 370,000 homes a year following five ‘golden rules’, under new planning rules published by the government.

The Ministry of Housing, Communities and Local Government says its updated National Planning Policy Framework is “turbocharging growth with new, mandatory targets for councils to ramp up housebuilding across the country.

“The planning overhaul is set to tackle the chronic housing crisis once and for all and will mean hard graft at work will be rewarded with security at home.”

The move is part of the government’s election manifesto pledge to build 1.5 million homes over the next five years.

The housing department says under the new framework:

  • Councils will be set “new immediate mandatory housing targets for councils to ramp up housebuilding”
  • Regions with the “highest unaffordability for housing and the greatest potential for growth will see housebuilding targets increase”
  • Councils must adopt a brownfield first approach, but must “review their greenbelt boundaries to meet targets, identifying and prioritising lower quality ‘grey belt’ land”
  • Councils and developers must give “greater consideration to social rent when building new homes and local leaders have greater powers to build genuinely affordable homes”

The housing department, led by Deputy Prime Minister Angela Rayner, adds that greenbelt development must meet new ‘golden rules’, “which require developers to provide the necessary infrastructure for local communities, such as nurseries, GP surgeries and transport, as well as a premium level of social and affordable housing”.

Its golden rules are:

  • Brownfield first
  • Grey belt second
  • Affordable homes
  • Boost public services and infrastructure
  • Improve genuine green spaces

Prime Minister Keir Starmer says: “Reform is desperately needed if we are to build 1.5 million homes.

“Under the current planning framework just under one-third of local authorities have adopted a local plan within the last five years and the number of homes granted planning permission had also been allowed to fall to its lowest level in a decade.”

The government has also consulted on increasing planning fees for householder applications and other applications, alongside allowing local authorities to set their own fees.

Together director Chris Baguley says: “Ambitions are great but delivery is the essential component if we are ever going solve the UK’s housing crisis.

“Angela’s Rayner’s plans for the green belt development and extension into ‘grey belt’ sites may ruffle a few feathers – but it is only through direct action will we ever see the pressures on the UK housing market eased.

“Our own research found 12% of the public think the government’s efforts should be directed towards more help for first time buyers. And the potential release of this land could see about 100,000 homes a year being built, supporting first-time buyer demand, job creation and pumping investment back into the property sector.

Baguley points out: “What we want to see in Rayner’s planning ‘framework’ is a specific strategy and a clear framework for smaller developers, as these targets can only be achieved with their support, given their ability to provide housing on smaller parcels of brownfield and ‘grey belt’ land.

“Consideration of the number of construction workers needed to carry out these ambitious targets is also vital.”

Landmark Information Group chief executive Simon Brown adds: “The publication of the updated National Planning Policy Framework is a significant moment to tackle long-standing challenges in housing and infrastructure to deliver the government’s ambitious 1.5m home target.

“However, systemic barriers—such as fragmented processes, overburdened professionals, and limited information-sharing—still impede progress.”