Applications for planning permission fell by more than a fifth in the Spring as concerns about Britain’s economic future kept grand designs on ice.

Over lockdown – April to June – the number of Brits applying for planning permission decreased by 21 per cent compared to the same time period last year, according to analysis by bridging loans broker Octagon Capital.

The findings mark a third successive Spring decline. Planning permission applications were down 5 per cent in the second quarter of 2019 versus 2018, which was already down 3 per cent for the same period a year earlier.

North East and Yorkshire and Humber saw the largest drop in planning permission applications during lockdown (27 per cent). The South West has seen a 17 per cent decrease, which is the lowest. In the South East the decline was close to the average at 22 per cent.

Octagon Capital commercial director Dan Kettle says: “Covid-19 has impacted every aspect of our lives, but the drop in the number of planning permission applications during lockdown is particularly telling when it comes to looking at how Brits are prioritising their finances during a difficult time.”

It was good news for those going ahead with building plans, however. Of those applying for planning permission in 2020, 87 per cent gained approval, only slightly lower than the two years beforehand (88 per cent).

Planning permission applications in the North East were the most likely to be approved during lockdown, with a 94 per cent approval rating. Meanwhile, only 79 per cent of applications from London were approved, the lowest rate nationwide.

Kettle adds: “There are positives from this research for those who still want to expand, for example to build a home office to help them work from home, with the approval rate for planning permission applications high and at the similar level to 2019.

“The best way to ensure your application is approved is to do your research beforehand and bringing in an architect to ensure your plans are up to scratch.”