Written evidence from Pentland Homes Ltd
(ARSS 13)
These representations are submitted on behalf of
Pentland Homes Ltd in response to the Secretary of State's revocation
of Regional Strategies and the forthcoming Select Committee Inquiry
in to those proposals.
Pentland Homes are a privately owned house building
company based in South East England. Their portfolio includes
significant strategic land which the company are committed to
promoting through emerging Local Development Framework's. Pentland
Homes are concerned that the Secretary of State's arbitrary decision
to revoke Regional Spatial Strategies, in the absence of an alternative
mechanism, has created a planning vacuum which Local Planning
Authorities are likely to exploit and frustrate much needed housing
provision. This concern is already apparent in many Authorities,
including the Growth Area of Ashford which has previously benefited
from significant Central Government Forward Funding of major infrastructure
improvements. The Leader of Ashford Borough Council, Councillor
Paul Bartlett (Conservative) has recently indicated an intention
to reduce housing provision and review the Core Strategy adopted
in July 2008.
Similarly, the Leader of Canterbury City Council,
Councillor John Gilby (Conservative), has signalled a political
intention to reduce housing provision in the emerging Core Strategy.
These two Local Authorities are indicative of the
impact of the Secretary of State's decision which will inevitably
result in significant abortive costs to developers and significant
delay in the delivery of housing.
The Secretary of State has indicated that Local Authorities
will be incentivised to encourage housing delivery. However, details
of financial incentives have not been published and in the light
of the forthcoming spending review, are unlikely to be sufficiently
attractive to outweigh local opposition to additional housing
development. As a result, developers are reluctant to commit further,
potentially abortive expenditure promoting strategic development
and investing in infrastructure provision in a climate of planning
uncertainty, political reluctance and economic constraints.
The housing building industry is faced with continuing
reluctance from mortgage providers to finance house purchase,
particularly by first time buyers despite an acknowledged short
fall in housing provision, including "social housing".
In summary, the house building industry creates significant
employment opportunities and many companies are already under
severe financial pressure as a result of the economic downturn.
The Secretary of State's abolition of Regional Spatial Strategies,
in the absence of either an alternative mechanism for determining
housing provision or details of mechanisms for incentivisation
of Local Planning Authorities, will inevitably cause uncertainty,
non delivery of housing provision and abortive expenditure.
I trust the above is self explanatory and should
be grateful if you keep me advised of progress regarding the Select
Committee Inquiry. Should you require any additional information
please do not hesitate to contact me.
September 2010
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