A coalition of over 100 companies within the UK property industry, including Landsec, Grosvenor Property, and Rockwool, is calling on Rishi Sunak to establish legislation that incorporates climate change considerations into planning decisions.
In a letter sent to the prime minister and three secretaries of state, the group outlined its concerns that the current planning system in England is hindering the property sector’s ability to deliver sustainable homes efficiently and at scale.
Property groups frequently criticize the planning system for its slow and inconsistent decision-making, which they believe has hindered the much-needed construction of houses and developments.
The executives argue that the “levelling up and regeneration bill” currently making its way through parliament provides an opportunity to address the lack of focus on climate change in planning decisions.
As it stands, the bill, which supports the government’s goals of economic rebalancing, includes some proposed planning reforms but fails to connect the system with the UK’s environmental ambitions.
The companies are urging for the bill to be amended to include a clear legal duty for planning decisions to explicitly align with the UK’s carbon budget and adaptation goals. They also advocate for the incorporation of nature restoration targets outlined in the Environment Act.
The letter states that without a new climate clause and clear legal alignment, planning policy may regress, undermining vital investment in the industry.
Louise Hutchins, head of policy at the UK Green Building Council, emphasized the current planning system’s failure to integrate the government’s climate commitments. She cited examples of restrictions on carbon emission reduction technologies, such as banning solar panels due to visual concerns and prohibiting heat pumps due to noise.
The signatories of the letter, including Allies & Morrison, JLL, and Aecom, highlight continued unsustainable and unpopular development in unsuitable locations, such as building homes on floodplains without adequate mitigation.
Mace, the construction company responsible for iconic structures such as the Shard and London Eye, also released a report on Thursday calling on ministers to discourage unnecessary demolition through planning rules.
Gareth Lewis, chief executive of Mace Construction, stated that many buildings can be transformed and renewed through retrofitting, saving significant carbon emissions.
However, tighter energy efficiency regulations for commercial properties have added challenges for property investors. The costly upgrades required to meet standards have raised concerns about the potential devaluation of properties.
Climate Capital
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