Localism Bill

Session 2010 - 11
Internet Publications
Other Bills before Parliament

Localism Bill

Localism Bill
Schedule 11 — Neighbourhood planning: community right to build orders
309

Schedule 11
Section 96

Neighbourhood planning: community right to build orders

This is the Schedule to be inserted as Schedule 4C to the Town and Country
Planning Act 1990—
“Schedule 4C
5
Section 61O

Community right to build orders
Introduction
1     (1)
This Schedule makes special provision about a particular type of
neighbourhood development order, which is to be known as a
“community right to build order”.
10
      (2)
In their application to community right to build orders, the
provisions of this Act relating to neighbourhood development
orders have effect subject to the provision made by or under this
Schedule.
      (3)
In its application to community organisations, section 61G
15
(meaning of “neighbourhood area”) has effect subject to the
provision made by this Schedule.
Meaning of “community right to build order”
2     (1)
A neighbourhood development order is a community right to
build order if—
20
(a)
the order is made pursuant to a proposal made by a
community organisation,
(b)
the order grants planning permission for specified
development in relation to a specified site in the specified
neighbourhood area, and
25
(c)
the specified development does not exceed prescribed
limits.
      (2)
Regulations under sub-paragraph (1)(c) may prescribe a limit by
reference to—
(a)
the area in which the development is to take place,
30
(b)
the number or type of operations or uses of land
constituting the development, or
(c)
any other factor.
      (3)
In this paragraph “specified” means specified in the community
right to build order.
35
Meaning of “community organisation”
3     (1)
For the purposes of this Schedule a “community organisation” is a
body corporate—
(a)
which is established for the express purpose of furthering
the social, economic and environmental well-being of
40
individuals living, or wanting to live, in a particular area,
and

Localism Bill
Schedule 11 — Neighbourhood planning: community right to build orders
310

(b)
which meets such other conditions in relation to its
establishment or constitution as may be prescribed.
      (2)
Regulations under sub-paragraph (1)(b) may make provision in
relation to—
(a)
the distribution of profits made by the body to its
5
members,
(b)
the distribution of the assets of the body (in the event of its
winding up or in any other circumstances),
(c)
the membership of the body, and
(d)
the control of the body (whether by the exercise of voting
10
rights or otherwise).
Proposals by community organisations for community right to build orders
4     (1)
A community organisation is authorised for the purposes of a
community right to build order to act in relation to a
neighbourhood area (whether or not any part of the
15
neighbourhood area falls within the area of a parish council) if—
(a)
the area mentioned in paragraph 3(1)(a) consists of or
includes the neighbourhood area, and
(b)
at the time the proposal for the order is made more than
half of the members of the organisation live in the
20
neighbourhood area.
      (2)
Accordingly, the community organisation is in that case to be
regarded as a qualifying body for the purposes of section 61E.
      (3)
Nothing in section 61F is to apply in relation to community right
to build orders except subsections (11)(a) and (12)(c) of that
25
section.
      (4)
In particular, the reference in section 61F(9) to a neighbourhood
development order is not to include a reference to a community
right to build order (in a case where a community organisation is
also a neighbourhood forum).
30
      (5)
But a local planning authority may decline to consider a proposal
for a community right to build order or other neighbourhood
development order if—
(a)
another proposal has been made for a community right to
build order or other neighbourhood development order,
35
(b)
the other proposal is outstanding, and
(c)
the authority consider that the development and site to
which the proposals relate are the same or substantially the
same.
      (6)
If the authority decline to consider the proposal, they must notify
40
the person making the proposal of that fact and of their reasons for
declining to consider it.
      (7)
A proposal for a community right to build order must state that
the proposal is for such an order.
5     (1)
A community organisation is to be regarded as a relevant body for
45
the purposes of section 61G if—

Localism Bill
Schedule 11 — Neighbourhood planning: community right to build orders
311

(a)
the area specified in the application made by the
organisation consists of or includes the area mentioned in
paragraph 3(1)(a), and
(b)
at the time the application is made more than half of the
members of the organisation live in the area specified in
5
the application.
      (2)
The application made by the community organisation may specify
any area within the local planning authority’s area, irrespective of
whether or not any part of the specified area falls within the area
of a parish council.
10
      (3)
This paragraph applies only if the application by the community
organisation under section 61G is made in connection with a
proposal (or an anticipated proposal) for a community right to
build order.
Development likely to have significant effects on environment etc
15
6     (1)
A local planning authority must decline to consider a proposal for
a community right to build order if they consider that—
(a)
the specified development falls within Annex 2 to the EIA
directive and is likely to have significant effects on the
environment by virtue of factors such as its nature, size or
20
location, or
(b)
the specified development is likely to have significant
effects on a qualifying European site (whether alone or in
combination with other plans or projects) and is not
directly connected with or necessary to the management of
25
that site.
      (2)
In determining whether or not the specified development is
within sub-paragraph (1)(a), the authority must take into account
any relevant criteria mentioned in Annex 3 to the EIA directive.
      (3)
If the authority decline to consider the proposal as a result of sub-
30
paragraph (1), they must notify the community organisation
making the proposal of that fact and of their reasons for declining
to consider it.
      (4)
Regulations may make provision requiring the publication of any
decisions made by a local planning authority under this
35
paragraph.
      (5)
In this paragraph—
“the EIA directive” means Council Directive 85/337/EEC on
the assessment of the effects of certain public and private
projects on the environment (as amended from time to
40
time),
“qualifying European site” means—
(a)
a European offshore marine site within the meaning
of the Offshore Marine Conservation (Natural
Habitats, &c.) Regulations 2007, or
45
(b)
a European site within the meaning of the
Conservation of Habitats and Species Regulations
2010, and

Localism Bill
Schedule 11 — Neighbourhood planning: community right to build orders
312

“specified” means specified in the community right to build
order.
Examination of proposals for community right to build orders etc
7
The provisions of Schedule 4B have effect in relation to
community right to build orders with the following modifications.
5
8
Any reference in that Schedule to section 61E(2) includes a
reference to paragraph 2 of this Schedule.
9
Any reference in that Schedule to section 61F includes a reference
to paragraph 4 of this Schedule.
10    (1)
The provision made by this paragraph is to have effect instead of
10
paragraph 12(4) to (6) and (10) of that Schedule.
      (2)
If the examiner’s report recommends that the draft order is
refused, the authority must refuse the proposal.
      (3)
If the examiner’s report recommends that the draft order is
submitted to a referendum (with or without modifications), a
15
referendum in accordance with paragraph 14 of that Schedule
must be held on the making by the authority of a community right
to build order.
      (4)
The order on which the referendum is to be held is the order that
the examiner’s report recommended be submitted to a
20
referendum subject to such modifications (if any) as the authority
consider appropriate.
      (5)
The only modifications that the authority may make are—
(a)
modifications that the authority consider need to be made
to secure that the order does not breach, and is otherwise
25
compatible with, EU obligations,
(b)
modifications that the authority consider need to be made
to secure that the order is compatible with the Convention
rights (within the meaning of the Human Rights Act 1998),
and
30
(c)
modifications for the purpose of correcting errors.
Use of land
11    (1)
Regulations may make provision for securing that in prescribed
circumstances—
(a)
an enfranchisement right is not exercisable in relation to
35
land the development of which is authorised by a
community right to build order, or
(b)
the exercise of an enfranchisement right in relation to that
land is subject to modifications provided for by the
regulations.
40
      (2)
Each of the following is an “enfranchisement right”—
(a)
the right under Part 1 of the Leasehold Reform Act 1967 to
acquire the freehold of a house (enfranchisement),

Localism Bill
Schedule 12 — Neighbourhood planning: consequential amendments
313

(b)
the right under Chapter 1 of Part 1 of the Leasehold
Reform, Housing and Urban Development Act 1993
(collective enfranchisement in case of tenants of flats), and
(c)
the right under section 180 of the Housing and
Regeneration Act 2008 (right to acquire social housing).
5
      (3)
The regulations may—
(a)
confer discretionary powers on the Secretary of State, a
community organisation or any other specified person,
and
(b)
require notice to be given by a community organisation in
10
any case where, as a result of the regulations, an
enfranchisement right is not exercisable or is exercisable
subject to modifications.
Different provision made by regulations for community right to build orders
12    (1)
The provision that may be made by regulations under any
15
provision of this Act relating to neighbourhood development
orders includes different provision in relation to community right
to build orders.
      (2)
Sub-paragraph (1) is not to be read as limiting in any way the
generality of section 333(2A) (which provides that regulations
20
may make different provision for different purposes).”
Schedule 12
Section 101

Neighbourhood planning: consequential amendments
Town and Country Planning Act 1990
1
The Town and Country Planning Act 1990 is amended as follows.
25
2
In section 57(3) (extent of permission granted by development order), for “or
a local development order” substitute “, a local development order or a
neighbourhood development order”.
3
In section 58(1)(a) (grant of planning permission by development order), for
“or a local development order” substitute “, a local development order or a
30
neighbourhood development order”.
4
In section 62 (applications for planning permission), after subsection (2)
insert—
“(2A)
In subsections (1) and (2) references to applications for planning
permission include references to applications for approval under
35
section 61J(2).”
5
In section 65 (notice etc of applications for planning permission), after
subsection (3) insert—
“(3A)
In subsections (1) and (3) references to any application for planning
permission or any applicant for such permission include references
40

Localism Bill
Schedule 12 — Neighbourhood planning: consequential amendments
314

to any application for approval under section 61J(2) or any applicant
for such approval.”
6     (1)
Section 69 (register of applications etc) is amended as follows.
      (2)
In subsection (1), after paragraph (c) insert—
“(ca)
neighbourhood planning matters;”.
5
      (3)
In subsection (2)(b), after “order” insert “, neighbourhood planning matter”.
      (4)
After subsection (2) insert—
“(2A)
For the purposes of subsections (1) and (2) “neighbourhood planning
matters” means—
(a)
neighbourhood development orders;
10
(b)
neighbourhood development plans (made under section 38A
of the Planning and Compulsory Purchase Act 2004); and
(c)
proposals for such orders or plans.”
7     (1)
Section 71 (consultations in connection with determinations under s.70) is
amended as follows.
15
      (2)
After subsection (2) insert—
“(2ZA)
In subsections (1) and (2) references to an application for planning
permission include references to an application for approval under
section 61J(2).”
      (3)
After subsection (3) insert—
20
“(3A)
Subsection (3) does not apply in relation to planning permission
granted by a neighbourhood development order.”
8
In section 74 (directions etc as to method of dealing with applications), after
subsection (1) insert—
“(1ZA)
In subsection (1)—
25
(a)
in paragraph (c) the reference to planning permission for any
development includes a reference to an approval under
section 61J(2), and
(b)
in paragraph (f) references to applications for planning
permission include references to applications for approvals
30
under section 61J(2).”
9
In section 77(1) (certain applications to be referred to the Secretary of State),
for “or a local development order” substitute “, a local development order or
a neighbourhood development order”.
10
In section 78(1)(c) (right of appeal in relation to certain planning directions),
35
for “or a local development order” substitute “, a local development order or
a neighbourhood development order”.
11
In section 88(9) (grant of planning permission in enterprise zone), for “or a
local development order” substitute “, a local development order or a
neighbourhood development order”.
40
12
In section 91(4)(a) (no limit to duration of planning permission granted by
development order), for “or a local development order” substitute “, a local
development order or a neighbourhood development order”.

Localism Bill
Schedule 12 — Neighbourhood planning: consequential amendments
315

13
In section 94(1) (termination of planning permission by reference to time
limit: completion notices), at the end of paragraph (c) insert “, or
(d)
a planning permission under a neighbourhood development
order is subject to a condition that the development to which
the permission relates must be begun before the expiration of
5
a particular period, that development has been begun within
that period, but that period has elapsed without the
development having been completed.”
14    (1)
Section 108 (compensation for refusal or conditional grant of planning
permission formerly granted by development order or local development
10
order) is amended as follows.
      (2)
In subsection (1)—
(a)
in paragraph (a), for “or a local development order” substitute “, a
local development order or a neighbourhood development order”,
and
15
(b)
in the words after paragraph (b), for “or a local development order”
substitute “, the local development order or the neighbourhood
development order”.
      (3)
In subsection (2), for “or a local development order” substitute “, a local
development order or a neighbourhood development order”.
20
      (4)
In subsection (3B), at the end insert—
“(c)
in the case of planning permission granted by a
neighbourhood development order, the condition in
subsection (3E) is met.”
      (5)
After subsection (3D) insert—
25
“(3E)
The condition referred to in subsection (3B)(c) is that—
(a)
the planning permission is withdrawn by the revocation of
the neighbourhood development order,
(b)
notice of the revocation was published in the prescribed
manner not less than 12 months or more than the prescribed
30
period before the revocation took effect, and
(c)
either—
(i)
the development authorised by the neighbourhood
development order had not started before the notice
was published, or
35
(ii)
section 61J(7) applies in relation to the development.”
      (6)
In the title, for “or a local development order” substitute “, local
development order or neighbourhood development order”.
15
In section 109(6) (apportionment of compensation for depreciation), in the
definition of “relevant planning permission”, for “or a local development
40
order” substitute “, the local development order or the neighbourhood
development order”.
16
In section 171H(1)(a) (temporary stop notice: compensation), for “a
development order or local development order” substitute “by a
development order, a local development order or a neighbourhood
45
development order”.
17
In section 197 (planning permission to include appropriate provision for