Select Committee on Office of the Deputy Prime Minister: Housing, Planning, Local Government and the Regions Written Evidence


Memorandum by the Office of the Deputy Prime Minister (HIS 50)

INTRODUCTION

  1.  This memorandum aims to provide the Committee with information relevant to its inquiry into the Role of Historic Buildings in Urban Regeneration. The note comprises general background information, followed by information on the specific points highlighted by the Committee as issues it wishes to address. Although it has been submitted by the Office of the Deputy Prime Minister, it reflects inputs from the Department for Culture, Media and Sport (DCMS) who share policy responsibility for the historic environment.

BACKGROUND

  2.  The historic environment, a term that extends beyond but encompasses historic buildings, makes a vital contribution to the quality of everyone's life and is central to our sense of local, regional and national identity. It plays a key role in delivering broader Government objectives for sustainable development by promoting economic prosperity, environmental protection and enhancement, as well as social inclusion and community cohesion.

  3.  Conservation can play a crucial role in promoting economic prosperity by ensuring that an area offers attractive and distinctive living and working conditions which fosters existing businesses and encourages both internal and inward investment. By acting as a focus for regeneration schemes, the historic environment can help revitalise areas by celebrating local identity and encouraging more sustainable patterns of living. Conservation has an important role to play in regenerating run down areas. The conservation approach to regeneration means retaining the special qualities of an area, re-using vacant buildings and floor space, enhancing the public realm with well-considered streetworks, introducing high quality new development and involving local communities in planning places for people.

  4.  The planning system provides the mechanism for enabling historic buildings to play a part in urban regeneration. Planning Policy Guidance Note 15 Planning and the Historic Environment provides a full statement of Government policies for the protection and use of historic buildings and other elements of the historic environment. It recognises that historic buildings are a valuable material resource that can be put to good economic use, either as individual assets or as part of a regeneration scheme.

  5.  The Government's Urban White Paper, launched in November 2001—which built on the recommendations of the Urban Task Force report Towards an Urban Renaissance—recognises the contribution that historic buildings make to the character, diversity and sense of identity of urban areas. It notes that even small scale improvements to the historic fabric of an area can help generate a market-led return to urban living, supporting existing communities and adding to the economic base.

  6.  The White Paper sets out the Government's policy for ensuring that historic buildings play the role envisaged, and identified two delivery bodies, English Heritage, and the Heritage Lottery Fund.

    —  English Heritage is the Government's adviser on all matters concerning the conservation of England's historic environment. Operating on a regional basis, it advises owners, developers and government on matters relating to the historic environment.

    —  Urban regeneration is also a key objective of the Heritage Lottery Fund, particularly in its Urban Parks and Townscape Heritage Initiatives. By the end of 2002, the Urban Parks Initiative had provided £255 million to restore and improve parks and gardens in the UK. The Townscape Heritage Initiative has already allocated £62 million for the regeneration of historic towns and cities across the UK including many in deprived areas.

  7.  The contribution of the historic environment to regeneration and in optimising economic potential was a key feature of the Government's statement of policy on the future of the historic environment The Historic Environment: A Force for Our Future (AFFOF), published in December 2001. This strengthened the vision of the historic environment as a force for the revival of towns and cities going beyond the previous understanding relating to the role of formal planning guidance and traditional statutory funding, to embrace an emphasis on education, social inclusion and access. This has led to the publication of annual state of the historic environment reports by the sector. The 2003 report Heritage Counts was published on 26 November. These reports are mapping for the first time data and trends relating to the historic environment. This year's report has published new research on the contribution the historic environment makes to sustainable development and regeneration.

  8.  The Planning Green Paper Planning: Delivering a Fundamental Change, published in December 2001, announced a package of proposals for improving the present planning system. The Green Paper was a response to Government concerns that the present system was no longer appropriate for the twenty-first century. The current arrangements were seen as too complicated, too slow and they engaged insufficiently with local people. The proposals outlined in the Green Paper were aimed at producing a better, simpler, faster and more accessible system that served the interests of local communities and business alike, one that would be able to deliver more effectively both urban and rural regeneration.

  9.  Following an analysis of responses to the Planning Green Paper, the Government announced in Sustainable Communities—Delivering through Planning in July 2002 the package of proposals it was proposing to take forward to reform the current planning system. Primary legislation is required for the implementation of some of these proposals, and these are being taken forward through the Planning and Compulsory Purchase Bill currently proceeding through Parliament. The Commons Committee stage of the Bill was completed in October 2003 and the remaining stages are expected to be completed soon, with Royal Assent expected in March 2004.

  10.  The Sustainable Communities Plan Sustainable Communities: building for the future published in January 2003 set out the Government's plan for transforming communities. The Plan recognised the need to tackle the legacy of neglect in existing towns and cities, and to do this it placed better standards of urban design at the heart of policy. In particular, the Plan expanded the role of the Commission for Architecture and the Built Environment (CABE). CABE will work closely with English Heritage to ensure a more considered approach to how historic buildings and townscape might play a part in the regeneration process. The Plan recognised a shortage of the type of skills and experience needed to ensure the success of this approach. It prioritised raising standards by improving the urban design skills of professionals working right across the built environment sector ensuring wider recognition of the role of historic buildings.

11.  The Government has also announced that there should be a review to improve and refocus the way in which England's historic assets receive statutory protection. This Review of Heritage Protection is being led by the Department for Culture, Media and Sport in partnership with English Heritage in close consultation with ODPM and a range of other stakeholders. This is the subject of a separate DCMS memorandum and is looking at the existing systems for listing and scheduling. It is also considering other elements of the historic environment such as World Heritage Sites, conservation areas, historic parks and gardens and battlefields.

  12.  The aim of the Review is to deliver a positive approach to managing the historic environment and to come up with a legal framework which provides for the management and enabling of change, rather than its prevention. The Review will consider the way in which the present arrangements for designating historic assets impact on urban regeneration.

  13.  In July 2003, the Government issued a consultation paper Protecting our historic environment: making the system work better. The period for making comments on the proposals set out in the consultation paper ended on 31 October. The Government is currently considering the responses with a view to preparing a Government White Paper in Spring 2004 detailing how the Review should be taken forward.

ISSUE 1: THE CONTRIBUTION OF HISTORIC BUILDINGS TO URBAN REGENERATION

  1.1  Historic buildings and public spaces are often key to regeneration schemes. Individually they can be centrepieces, landmarks, or symbols of an area. Collectively they set a framework, a context, or an architectural standard.

  1.2  Some historic areas are based on the local vernacular building tradition, using materials locally available. This often makes them unique and helps to define the image of an area. Other historic areas incorporate buildings in a variety of architectural styles, and materials, and are constructed over several centuries; here their richness and complexity can be equally image-defining.

  1.3  A well-conserved historic environment can be used to develop heritage and culture based tourism. It contributes to social engagement and quality of life. Even those areas not associated with high quality historic environments often have individual buildings and small areas with attractions which are highly valued by their residents.

  1.4  There are a number of highly successful urban regeneration schemes in historic areas, such as Grainger Town in Newcastle. Evidence from those developing such plans is that they worked because they have placed heritage at the heart of their regeneration schemes. Emphasising the value of heritage assets means they can be used as a positive driving force. This could be wider than listed buildings and include archaeology, streetscapes, built form, traditions and communities. Putting heritage at the heart of such development additionally contributes to the sustainability agenda.

  1.5  It is not just in town centres that use is being made of historic buildings. Building for Life, sponsored by CABE, The Civic Trust and the Housebuilders Federation, recently awarded a Gold Standard to a development at Ingress Park, Greenhithe in Kent. This acclaimed housing development responds to the context of the grade II listed Ingress Abbey. The Building for Life Standard represents the drive for increasing the national standard for housing and neighbourhoods. It is awarded only to new housing projects that demonstrate a commitment to high design standards and good place making.

  1.6  The developer Urban Splash has also pioneered the use of historic buildings and brownfield sites to create new mixed-use urban spaces—and in doing so have stimulated the broader regeneration of our urban communities. Their conversion of former Victorian mill buildings into award winning loft style apartments in the Castlefields area of central Manchester, for example, has helped bring new life to a previously derelict historic area and created a new market for city centre living.

  1.7  Among the important factors needed to maximise the role of historic buildings in regeneration are:

    —  The relationship of the historic building(s) to a wider regeneration strategy. Regeneration of historic buildings should take place as part of a wider area regeneration strategy and demonstrate direct or indirect benefits to the strategic aims. These benefits might range from local amenity gains to contributing to the long-term commercial viability of a renewal initiative.

    —  Community support. Heritage projects and the regeneration of historic buildings should take place with full and active local support. Consulting and engaging with the local community is particularly important in relation to heritage buildings which are central to local history and community identity.

    —  Emphasis on design and quality of built form—these are key to regeneration. Promoting good planning and design is central to Government policies to deliver sustainable communities. PPG1 General Policy and Principles states that: "Good design should be the aim of all those involved in the development process and should be encouraged everywhere" and that particular weight should be given to the impact of development on areas of "townscape value." By Design, the companion guide to PPG1, encourages greater thought and attention to the use of historic buildings in the regeneration of our towns and cities to create places that communities will live and work in, and can enjoy. Chapter 2 of English Partnership's Urban Design Compendium also includes the role of the historic environment as a key part of the context for creating a sense of place.

  1.8  Investment in the historic environment can often lever in other resources to help regenerate areas. English Heritage's publication The Heritage Dividend 2002 demonstrates clearly the way that refurbishment of the historic fabric can act as a catalyst for wider regeneration, tackling social exclusion and building communities. It estimates that, for every £10,000 spent, £46,000 of match funding is levered in from other private and public sources, generating and safeguarding jobs, creating new homes and improving other facilities.

  1.9  Heritage Economic Regeneration Schemes (HERS) were launched in 1999 as English Heritage's primary area-based funding programme. HERS are run in partnership with local authorities and encourage investment from public and private sources. The focus of HERS is on commercial and mixed-use areas. Some 250 HERS have been set up covering a diverse range of areas, including seaside resorts, markets towns, district shopping centres, local urban shopping centres, and farm buildings.

  1.10  Urban regeneration is also assisted through a range of Heritage Lottery Fund (HLF) programmes; the HLF is a NDPB whose work is overseen by DCMS. Since the HLF began making grants in 1995:

    —  6,751 projects have been funded in Scotland, Wales, Northern Ireland and the nine English regions, worth a total of £2.534 billion

    —  £684 million (27% of the total) has been targeted at 1,483 regeneration projects (22% of the UK total) in local authorities defined as deprived.

  1.11  The Townscape Heritage Initiative is for projects to regenerate the historic environment in towns and cities, led by partnerships of local, regional and national interests. It seeks to repair the buildings which make up the special architectural character of historic urban areas, with a view to bringing derelict and under-used historic buildings back into practical use. Projects should involve and benefit the wider community as well as those directly concerned with grant-aided properties. HLF treats as a priority applications for townscapes in areas of social and economic deprivation.

  1.12  The Public Parks Initiative helps with the restoration and regeneration of historic parks and gardens, including urban squares and cemeteries. Projects should also enhance public access and may involve improving facilities. HLF will continue to give priority to applications which serve socially and economically deprived communities. The initiative helps promote heritage conservation as a necessary part of urban and rural regeneration, and to open up heritage resources and sites to the widest possible audience.

  1.13  Under the Heritage Grants programme, grants of £50,000 or more are offered to organisations seeking to look after and enhance the UK's heritage, to increase participation in heritage activities, and to improve access to and enjoyment of heritage. It caters for a wide range of projects, including the very largest and most complex. Project Planning Grants are also available to help in the early planning of projects which may lead to an application for a Heritage Grant.

  1.14  Grants of between £5,000 and £50,000 are available under the Your Heritage programme for projects which either care for heritage or increase people's understanding and enjoyment of it. Projects should also make it easier for people to gain access to heritage and be of benefit to the community and the wider public.

  1.15  A good example of how HLF investment has helped in regenerating an area is in Nottingham where HLF funds has led to the conversion of a grade II listed former textile factory into a campus for New College, with around 3,000 students. Funding has also resulted in the conversion of the former Shire Hall into the Galleries of Justice, home to the National Centre for Citizenship and the Law which works with the Youth Justice Board to help young offenders and children excluded from school. HLF funding for these two buildings is widely acknowledged to have been the starting point for the urban renewal of the Lace Market district, today known as the city's creative and cultural quarter.

  1.16  HLF funding has also enabled the restoration of the physical fabric of Birmingham's Cathedral Square in the heart of the city, providing a high-quality open space for all. These improvements have acted as the catalyst for the regeneration of the surrounding area; around 1,200 jobs are estimated to have been created by firms relocating to this area of the city.

  1.17  Urban regeneration policy is not just about improving the built fabric of an area but, as the Urban White Paper emphasises, about addressing economic, environmental and social needs together in an integrated way. Heritage-based schemes are being used in imaginative ways to meet social needs in disadvantaged areas.

  1.18  Historic Royal Palaces, for example, recognise that the Tower of London has a significant part to play in the regeneration of its locality and can contribute to outreach work in the local community. Over the last few years, they have devised a broad programme of inclusive activities and events designed to break down the barriers to access. These fall into different categories aimed at a diversity of audiences including children and adults with special needs, the elderly, local minority ethnic and special needs groups.

  1.19  Outreach activities cover organising free themed workshops in partnership with schools, further and higher educational institutions, offering work experience and mentoring opportunities, a reading partnership and special weekend activities exploring environmental and architectural themes. Ongoing community consultation is taking place to find new and culturally appropriate ways of engaging ethnic minority and specials needs groups with the Tower of London and British heritage.

ISSUE 2: THE ROLE AND EFFECTIVENESS OF THOSE ORGANISATIONS RESPONSIBLE FOR THE BUILT AND HISTORIC ENVIRONMENT IN ENCOURAGING URBAN REGENERATION

LOCAL PLANNING AUTHORITIES

  2.1  Local authorities have a crucial role to play in urban regeneration. They must be responsive and accountable to their local communities as well as developing a vision for their area and a strategy to deliver it within the framework set out in the Urban White Paper. By helping to set up and lead local partnerships and networks with the public and private sectors and local people, they can help ensure that the historic environment is properly maintained and improved as part of initiatives to make towns and cities more attractive places to live and work.

  2.2  As part of their role in preparing development plans for their areas, local authorities are required to include land use policies on a range of different topics, including the conservation and improvement of the natural and built environment, and policies to promote better urban design.

  2.3  The performance and effectiveness of local authorities varies considerably from region to region, and even within regions. Some local authorities have the in-house expertise and the financial resources to be both effective and proactive in encouraging heritage-related urban regeneration. Others, particularly those with limited numbers of historic buildings or environments, and social and economic problems, consider heritage issues to be of less priority and to have less potential as a focus for regeneration.

  2.4  Research undertaken in 2002 by Oxford Brookes University, English Heritage and the Institute of Historic Building Conservation argued for greater resources for local authority conservation services. The researchers considered that an increased role for conservation specialists in regeneration activity would bring benefits, and that an increased ability to undertake more proactive work was only likely to be achieved through greater resources from within local authorities and central Government, improved training for officers and councillors and better procedural advice. Whilst central Government does not prescribe to local authorities how much they should spend on conservation services, the Government has recognised that planning services are generally under funded and that there is more that needs to be done to support skills development.

RESOURCES

  2.5  The Government has increased overall funding to local authorities and extra resources are being made available to local planning authorities through the Planning Delivery Grant (PDG). The grant will provide an extra £350 million to local planning authorities between 2003-06. The grant is not ring-fenced, and authorities are free to spend PDG resources as they wish. Interim findings of research that is currently underway to assess how the PDG is being spent have shown that some resources are being directed towards enhancing conservation services.

SKILLS

  2.6  The Government is aware of the need to tackle the shortage of people with the skills, knowledge and experience to be able to integrate our valued historic buildings with creative good quality new design, and that new qualified personnel are required to safeguard quality through the planning process.

  2.7  The Urban Design Skills Working Group was set up in 2000 at the request of DCMS and ODPM to consider how to improve the urban design capacity of local authorities, at both elected representative and officer levels; surveys show that less than half of authorities have people with design qualifications. The Sir John Egan Review of Skills announced in April will inform the action we need to take to address the shortage of skilled people and to improve the level of skills and expertise of existing personnel.

  2.8  As part of this process, ODPM and DCMS are currently working with English Heritage on the development of a training package aimed at local authority officers and members involved in decisions affecting the historic environment.

BEACON COUNCIL SCHEME

  2.9  The importance of design and quality in regeneration, including the role that historic buildings can play, is recognised in the Government's Beacon Council Scheme, whose aim is to identify centres of excellence in local government from which other councils can learn. Round 4, the results of which were announced in April, included a theme `Quality of the Built Environment'; Cambridge City Council, West Dorset District Council and Chelmsford Borough Council have been awarded Beacon status under this theme.

  2.10  The theme illustrates how well designed buildings, streets and public spaces contribute positive social, economic and environmental benefits, which in turn help to improve the quality of life for all communities. Authorities have a key role to play in investing in high quality new public buildings and facilities; administering the planning system in a way that promotes high design standards; and adopting an investment and management strategy that leads to an improvement in the quality of streetscapes and public spaces.

  2.11  The authorities awarded Beacon status are working in partnership with the community and local business in developing their design policies and standards, and are able to show examples of best practice in good design that can inspire others.

ENGLISH HERITAGE

English Heritage Quinquennial Review and Modernisation Programme

  2.12  The efficiency and effectiveness of the way English Heritage (EH) delivers its services to its users were considered as part of a quinquennial review (QQR) undertaken between October 2001 and May 2002. The review also looked at the role and functions of EH and how those functions should be carried out.

  2.13  In June 2002, EH launched a major programme of organisational change under the title of Modernising English Heritage. Many of the QQR recommendations are being implemented as part of this programme.

  2.14  The first stage involved a comprehensive reorganisation of EH's structure to provide a more explicit alignment of resources and senior management responsibility. Under the new structure, five operational groups, each led by a board-level director, are responsible for research and standards, properties and outreach, planning and development, policy and communications, and resources.

  2.15  The second stage saw EH's Commissioners and new Executive Board complete a comprehensive review of the organisation's functions with a view to re-focusing them towards the needs of the organisation's external customers and stakeholders. The outcome was "Coming of Age"—a 2-year work programme to transform the organisation into an outward looking customer-focussed organisation. This includes 20 Beacon Projects through which EH plans to showcase what it does, and develop examples of best practice. A new suite of internal business plans and risk-management strategies underpins this.

  2.16  The third stage is ongoing. A new and innovative Funding Agreement has been drawn up, co-sponsored by DCMS, ODPM and Defra. This recognises for the first time the contribution EH makes to the delivery of wider Government targets, as well as those of the DCMS. Key Performance Indicators identify what EH is expected to achieve under each of a number of headings including, for example, improved response times for commenting on applications for planning permission and listed building consent; constructive working with ODPM, CABE and others to develop a co-ordinated approach supporting sustainable communities; and the development of policy expertise in regeneration and the development of partnerships with other regeneration funding bodies.

  2.17  English Heritage is using the £1.5 million it has received from NDPB reform funds for 2003-04 to streamline its front-line customer services and the supporting internal business processes. This includes upgrading EH's outdated computer and management information systems and a new suite of training and development programmes for managers.

  2.18  In June 2003, English Heritage—in collaboration with CABE, the Environment Agency, the Commission for Integrated Transport and the Sustainable Development Commission—produced Building Sustainable Communities: Actions for Housing Market Renewal.

  2.19  This document includes advice on the heritage and outlines how Market Renewal Pathfinders can positively address heritage as an asset. It explains how heritage can be used as a driver for recovery, or how historic environments can be used as an attraction for potential investors. Pathfinders are encouraged to consider the historic environment as early as possible and to integrate it in the design of new sustainable communities where people want to live. English Heritage have started to work with both the Merseyside and Birmingham and Sandwell Pathfinders in a collaborative approach with the pathfinders and local authorities to carry out first-stage characterisation work.

  2.20  The RDAs have found English Heritage to be a very effective partner in a number of successful projects where their representative has been embedded in the project team. The aim of the modernisation programme is to ensure that English Heritage, working in partnership, contributes to the management of change in a positive way.

REGIONAL DEVELOPMENT AGENCIES

  2.21  Regional Development Agencies (RDAs) were set up to with the aim of driving forward economic and physical change and, together with other regional bodies, providing the strategic context for making better towns and cities. They are increasingly 'setting the tone' for economic and physical regeneration that will be delivered by local strategic partnerships and local authorities. They recognise the importance of achieving an urban renaissance in line with the recommendations of the Urban White Paper, by improving the quality of architecture, design and the public realm. This is necessary to attract and retain investment in urban areas.

  2.22  It is widely recognised that the built heritage has a crucial part to play in this; the retention and re-use of key buildings underpin the cultural uniqueness of a place, and public spaces constructed in line with sound principles of urban design will help engage local people and potential investors. The public statements on the importance of good design and retention of the built heritage by RDAs such as the North west Development Agency (NWDA), the South West Regional Development Agency (SWRDA) and Yorkshire Forward, and their adoption by their regeneration partners, are good examples of a growing realisation of the advantages of conservation-based regeneration. The RDAs' task is to ensure that their advice is followed in their own investments, and more widely within their regions.

  2.23  Regeneration projects undertaken by RDAs seek to address physical and economic regeneration where the market alone is unable to deliver solutions. As public bodies they are expected to achieve objectives in addition to profit. This can enable them to support or promote schemes that lead to the reuse of an historic building and/or improve its setting through carrying out their statutory objectives focussed on economic development and regeneration. Such impacts on historic buildings are, therefore, often a subsidiary or additional effect of their programmes rather than the prime motivation.

  2.24  Projects and developments involving historic buildings and environments are, however, often more expensive, more complicated and more time-consuming which can make it more difficult to get some regeneration schemes off the ground. It is important, therefore, to consider how to address or minimise these issues. The London Development Agency (LDA), for example, has over the years developed a working relationship with English Heritage, the Heritage Lottery Fund, and other agencies concerned with historic assets. This has worked well and helped to improve understanding and enabled the heritage and regeneration agencies to complement each other's work.

ENGLISH PARTNERSHIPS

  2.25  English Partnerships (EP) is responsible for taking forward the Government's national strategy for brownfield land with the aim of bringing more derelict land into use. It also now has a key role in ensuring the best use of surplus public sector land. Brownfield sites can include a legacy of redundant historic buildings which offer both opportunities and challenges to regeneration projects.

  2.26  EP has considerable experience of tackling historic buildings as part of the regeneration mix through its management and delivery of the Partnership Investment Programme. Many of the major area based regeneration strategies EP developed centred on historic buildings or areas, including Grainger Town in Newcastle, Woolwich Arsenal, or investment in individual buildings as part of a wider strategy, for example Felaw Maltings in Ipswich and the Joshua Hoyle/Malmaison Building, Manchester. Although ownership of the Royal William Yard in Plymouth was passed to SWRDA in 1999, EP continues to provide funding for the phased mix-use development and has been very successful in getting high quality residential sales purchased off-plan at this once intractable site.

  2.27  EP is now able to take this experience forward into its urban renaissance delivery remit, most notably in its partnership in the Urban Regeneration Companies (URCs) and the Housing Market Renewal Pathfinder areas and its involvement in the practical delivery of urban design policy through work in coalfield regeneration programmes, the New Towns and Millennium Communities.

  2.28  Some city centres where EP is active in regeneration partnerships, especially with the URCs, have major stocks of listed buildings. Liverpool URC, for example, is working in the context of an urban area with over 60% of all buildings at either grade II or above. Several projects in which EP is active—either as the master developer or as funder—are Scheduled Ancient Monuments.

  2.29  EP has a relationship with a number of voluntary sector organisations working on heritage issues, notably the Phoenix Trust and Regeneration through Heritage. In both cases the collaboration is on a project by project basis to bring forward historic buildings for regeneration where they contribute to the wider regeneration strategy.

CABE

  2.30  The Commission for Architecture and the Built Environment (CABE) act on behalf of Government as the nation's champion for better places. They have played an important role in raising the profile of the role of good architecture and urban design in the social and economic improvement of our towns and cities. CABE works across a range of different types and ages of buildings including those from the 20th century—an example is the refurbishment of Parkhill flats in Sheffield which has contributed to the wider regeneration of the area, acting as a landmark within the city

  2.31  In Spring 2002 CABE jointly published with English Heritage the highly successful Building in Context which targeted improving standards of design where new developments are taking place in sensitive or historic areas. It showed how new buildings could draw intelligent inspiration from their historic surrounds. By respecting scale and materials of neighbouring buildings and the geography, history and vistas of the area, new buildings can blend with existing development and thus reinforce the value of an historic area. Building in Context was followed by a successful series of seminars attended by a range of interests—planners, architects, developers, Councillors and community groups—underlining the scope for greater community engagement in the regeneration process by stimulating interest in the historic buildings of the area.

  2.32  CABE are currently working closely with English Heritage across the Housing Market Renewal Pathfinder areas, developing programmes to meet the specific circumstances of the localities. By thinking about the historic environment early in the design process, classification studies can be used to identify historically or culturally significant buildings that can enhance regeneration.

  2.33  CABE has set up a Design Task Group to enable issues and experience relating to design quality to be explored and shared by key stakeholders. The Design Task Group will also review housing typologies within the Pathfinder areas, including historic stock, to assess the scope for adaptation to meet current and future housing needs.

  2.34  CABE are also working in the Housing Growth Areas. They are, for example, advising on the Greater Ashford Development Framework and starting to define work with Harlow and in Milton Keynes.

ISSUE 3: WHETHER THOSE ORGANISATIONS CARRYING OUT REGENERATION PROJECTS GIVE SUFFICIENT REGARD TO HISTORIC BUILDINGS

REGIONAL DEVELOPMENT AGENCIES

  3.1  The RDAs, in partnership with other Government Departments and local authorities, have been successful in developing heritage-based regeneration projects. In all these cases, the historic setting has been secured through careful design and skilled advice.

  3.2  There are a number of initiatives designed to reinforce this approach. For instance, the NWDA is sponsoring English Heritage to produce a design guide to aid creating and restoring good townscape. They are developing an urban design led approach to small town, and area regeneration, which will have a strong emphasis on conservation of the historic environment, and establishing a design review panel.

  3.3  RDAs involved in partnerships with local government and private sector partners in regenerating historic areas ensure that the brief for the project reflects their value, and the project team incorporates appropriate expertise. These safeguards have resulted in a number of very successful schemes, economically viable, architecturally sensitive, and valued by those who use them.

  3.4  The RDAs consider that developers don't always see the opportunities offered by historic settings. They are concerned about the costs of alteration, adaptation, and long-term maintenance of historic buildings. They fear that, once they start working on historic buildings, they will find a myriad of expensive repairs that must be undertaken. Developers are often more comfortable working on a cleared site, where project costs can be accurately predicted. Conversely there have been occasions where developers have started ambitious projects within historic environments without being aware of the likely true costs, and have abandoned the work half completed.

  3.5  Developers and designers, as well as planning officers and committees, are targeted in the joint CABE and English Heritage publication Building in Context which uses case study examples to illustrate a successful approach to improving design standards where new development is proposed in an historic setting (see para 2.31). This joint approach has also been successful in the Housing Market Renewal Pathfinder areas. Identifying how to positively address heritage as an asset rather than an obstacle is an important part of the jointly published Building Sustainable Communities: Actions for Housing Market Renewal document (2.18-19). CABE has also set up a Design Task Group to ensure these issues are explored and shared by all the key stakeholders (para 2.33).

ENGLISH PARTNERSHIPS (EP)

  3.6  Although EP is not closely involved in the use or re-use of historic buildings per se, it does play an important role when they form part of other regeneration projects such as part of Coalfield Regeneration project, or as a major scheme like the regeneration of the Royal William Yard in Plymouth.

  3.7  EP recognises that heritage can be a major asset in the drive to encourage regeneration and is keen where appropriate to encourage the restoration, conversion and re-use of historic buildings. EP sees potential additional benefits from enhanced co-ordination between regeneration and heritage bodies.

ISSUE 4: WHETHER THE PLANNING SYSTEM AND THE LISTING OF HISTORIC BUILDINGS AID OR HINDER URBAN REGENERATION

THE ROLE OF THE PLANNING SYSTEM

  4.1  The proposed development plan system changes, and in particular the establishment of Regional Spatial Strategies (RSS) and Local Development Frameworks (LDF), should facilitate a more responsive system better able to develop the necessary policies and programmes on a tighter time-frame to secure the contribution of historic buildings to urban regeneration.

  4.2  In any region there is a wealth of archaeological and built heritage which may range from being of local to even international significance, such as World Heritage Sites. Those assets of sub-regional importance and above should be considered as part of an overview of environmental constraints and opportunities for improvement of the region. Current Regional Planning Guidance—and in future the RSS which is intended to replace it—should complement the regional cultural strategy in preserving and enhancing those assets of regional or sub-regional importance and consider whether there is a regional planning dimension to managing, for example, their tourism potential. In doing so regional planning bodies (RPBs) should have regard to PPG15 Planning and the Historic Environment and PPG16 Archaeology and Planning. RPBs should also consider whether there are appropriate opportunities to be taken forward in development plans, in conjunction with the RDA economic strategies, for the sensitive exploitation of the built heritage to assist in sub-regional regeneration.

  4.3  The proposed Local Development Framework (LDF) will comprise a folder of documents for delivering the spatial strategy for the area. This will include a core strategy, site specific policies, and detailed area action plans. The proposed LDF documents should set out clear policies for the preservation and enhancement of the historic environment, in general conformity with the RSS. They should contain a strategy for the economic regeneration of rundown areas, and in particular seek to identify opportunities where conservation of the historic fabric of an area can offer a focus or act as a catalyst for regeneration.

  4.4  Local planning authorities are encouraged to consult English Heritage, the National Amenity Societies and other appropriate bodies at an early stage in preparing policies for protecting and enhancing the historic environment.

  4.5  The Government believes that the planning system when used positively and creatively can provide focus and stimulus to urban regeneration. There is an increasing number of excellent examples of heritage-related regeneration throughout the country which testifies to this. But local authorities need to make available the right level of resources and to provide the training and skills to ensure that they are well placed to identify and respond creatively to opportunities. Their capacity to do so varies considerably with some authorities giving high priority to conservation and exploiting the potential it creates for urban regeneration. Other authorities see it as a lesser priority. Evidence from the research study undertaken by Oxford Brookes, which is supported by the views of RDAs, is that some areas have not made the most of regeneration opportunities due to lack of expertise and resources in conservation. The absence of informed, timely advice—both generic and specific—from planning authorities can make it difficult for developers to assess the risk of engaging in an historic building project. Delays can also occur where there are slow responses by those organisations which local planning authorities consult.

  4.6  The Government recognises concerns about the lack of resources and delays in the provision of advice from local planning authorities and statutory consultees. The Government is addressing these concerns in a number of ways. Additional resources are being made available to local planning authorities through the Planning Delivery Grant (para 2.5 above) and a training package for local authority officers and members is being developed by English Heritage (para 2.8). We are introducing a statutory deadline of 21 days for statutory consultees to respond to requests for advice from local planning authorities in respect of particular planning applications. We are also encouraging the use of standing advice by statutory consultees in order to help speed up the process further. Other measures proposed in the Planning and Compulsory Purchase Bill—those related to twin tracking and repeat applications, for example—will help streamline the system and enable planning authorities to focus resources more effectively.

ROLE OF THE LISTING SYSTEM

  4.7  There is perhaps a greater perception that the listing of historic buildings interferes with urban regeneration plans than is in fact the case.

  4.8  At present, the designation of historic buildings is undertaken by the Secretary of State for Culture, Media and Sport. This establishes the significance of the asset. She is constrained by law to make her decision on strict architectural or historic criteria; it is an assessment of the significance of the individual building, and all buildings meeting these criteria are placed on the list. There are around 1,900 spotlisting applications each year, of which some 35% result in listing.

  4.9  Following designation, the future and management of the building is considered through the planning system. This regulation phase enables wider consideration of issues such as regeneration. It is an opportunity to debate plans for buildings in the context of their settings.

  4.10  In the vast majority of cases the local planning authority will decide whether to grant listed building consent for the alteration, extension or demolition of listed buildings. However, there are a small number of cases in which an application for spot-listing is submitted at a late stage in a planning inquiry being considered by the First Secretary of State. This can be contentious and add cost and delay to the decision-making process. Although the number of such cases is extremely small (less than 1% of spot-listing cases), they have a disproportionate effect on public perception.

  4.11  In these circumstances, the listing of buildings can be perceived as a hindrance to urban regeneration. However, listing is a marker of significance, and indicates that special consideration needs to be given to the future of that building because of its special nature. It does not mean that a building is frozen in time.

  4.12  The public consultation paper on the Heritage Protection Review published in July invited views on whether the listing criteria should be limited to historical or architectural significance, and whether there should be discretion to decide whether a site or building should be added to the list, if it is felt that some other protection such as development control would more appropriate. The consultation period ended on 31 October, and the responses to the consultation exercise are currently being assessed.

  4.13  In addition, one of the main thrusts of the planning reforms outlined in the July 2002 Planning Statement is that there should be greater stakeholder involvement at an earlier stage in the planning process. English Heritage is routinely consulted over the preparation of development plan documents and this will continue under the new arrangements being proposed in the Planning Bill. They can also expect to be consulted over the preparation of the proposed Area Action Plans for Regeneration and Conservation. Engaging English Heritage at these early, pre-planning application, stages should give them sufficient opportunity to identify early on those buildings that are likely to form part of development schemes and which they may wish to consider adding to the new List.

ISSUE 5: WHETHER ALL GOVERNMENT DEPARTMENTS TAKE ADEQUATE ACCOUNT OF THE HISTORIC ENVIRONMENT

GREEN MINISTERS

  5.1  The Government has an extensive historic estate encompassing buildings and landscapes, buried remains and historic areas and is committed to setting a good example in the care of its estate.

  5.2  Following the publication of A Force for Our Future, the historic environment became part of the remit of Ministers responsible for green issues ("Green Ministers"). As a result, the annual report on the state of Sustainable Development in Government now contains information about the historic buildings looked after by Departments across Government.

  5.3  These Ministers are supported in this work by the Biennial Conservation Report, which is published by English Heritage's Government Historic Buildings Advisory Unit (GHBAU). This provides a comprehensive overview of the condition and prospects for historic buildings owned and managed by Government and highlights when a building may be at risk. The GHBAU has also published this year Protocol for the Care of the Government Historic Estate 2003 to further support Government Departments in the care of their historic estate by providing a model of good practice.

ISSUE 6: WHAT FISCAL AND LEGISLATIVE CHANGES SHOULD BE MADE?

FISCAL CHANGES

State Aid and the Historic Environment

  6.1  The Directorate General Competition of the European Commission approved this summer (13 May 2003), under its State aid rules, our Historic Environment Regeneration Scheme. The approval is intended to secure the repair, restoration and rehabilitation of designated historic buildings, conservation areas, ancient monuments and historic parks and gardens where this would otherwise not happen through market forces alone.

  6.2  This approval allows the RDAs, English Heritage and local authorities to support the historic conservation and repair of heritage assets by providing up to the full amount of the additional heritage-related costs involved in carrying out such repair, anywhere in the country. Beneficiaries of the scheme may receive direct grant for the repair, restoration and rehabilitation of an eligible heritage asset of up to 100% of the eligible costs.

  6.3  We are currently in the process of developing guidance on the use of this approval, with assistance from English Heritage, the RDAs and local authorities.

"Flat VAT": Vat and Repairs to Listed Buildings

  6.4  Currently, repairs and maintenance to listed buildings attract VAT at 17.5%, while alterations requiring listed building consent are zero-rated. English Heritage, on behalf of the historic environment sector, has been lobbying Government to seek an amendment to Annex H of the Sixth VAT Directive to permit a reduced rate of VAT to be applied to repairs and maintenance to all listed buildings. While the Government keeps all taxes under review, we would need to see evidence that a reduced-rate of VAT for all listed buildings would be the best-targeted and most efficient way of providing support for the areas of built heritage in greatest need.

Listed Places of Worship Grant Scheme

  6.5  In 2001, the Chancellor of the Exchequer introduced an interim grant scheme that returns in grant aid the difference between a 5% VAT rate and the actual amount spent on VAT on eligible repairs and maintenance to listed places of worship. He announced in his 10 December pre-budget report that funding is now in place until March 2006.

Legislative changes

  6.6  Legislative changes are already being taken forward in the Planning and Compulsory Purchase Bill currently completing its passage through Parliament; these include proposals for the introduction of Regional Spatial Strategies and Local Development Frameworks (see paras 4.1-4.3). The current Review of Heritage Protection being taken forward by DCMS may give rise to further legislative changes.

Culture and Regeneration

  6.7  The DCMS is also working on a project to promote the contribution of culture, including the historic environment, to regeneration. The aim is to identify how we can better measure and demonstrate its effectiveness in the future.

  6.8  We have plenty of anecdotal evidence that culture contributes to economic, social and environmental regeneration, but it is not generally recognised in the Government's social policy and quality of life indicators. The DCMS will be publishing a policy document early next year, promoting culture led regeneration and setting out how to we will ensure our successes are better measured in future.

  6.9  It's about showing that we are no longer preserving the past just for its own sake, but because of its value in making people feel better about themselves and where they live, because of its worth in creating sustainable communities in which people enjoy living and working.


 
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