Housing Land Supply Calculation - Standard Methodology

Paragraph 73 of the National Planning Policy Framework requires local planning authorities to identify and update annually a supply of specific deliverable sites sufficient to provide a minimum of five years’ worth of housing against their housing requirement set out in adopted strategic policies, or against their local housing need where those policies are more than five years old.

Preston City Council has recently reviewed their Five Year Housing Land Supply Calculation and is planning to reconsider a number of decisions taken to approve planning applications for housing development. This resolution will potentially affect the approval of 974 homes across the Preston City Council area. These applications are due to be reconsidered in February 2020, all the schemes on the agenda were previously granted consent, but were still in negotiations over section 106 agreements and were yet to be formally approved.

The Council's decision to review their Housing Land Supply position was taken following an appeal decision issued in December 2019 in connection with a site in the neighbouring South Ribble Borough Council area, full details of this decision can be read here. The Inspector concluded that the using the new recommended standard methodology, South Ribble Borough Council are able to demonstrate a fiver year supply of deliverable housing sites. South Ribble, Preston, and Chorley councils are working together to deliver a joint Central Lancashire Development Plan and see themselves as one housing market.

Using the standard methodology, Preston City Council have reduced their annual housing requirement from 507 to 410, meaning like South Ribble Borough Council, Preston City Council can demonstrate a five year supply, further details on their methodology and calculations can be read here.

The Government's standard methodology for calculating the new homes needed in each council area has proved to be controversial since its introduction. The methodology was intended to boost housing supply, but is widely thought to create a bias towards delivery in the South, with reduced housing targets across the North. This approach could be taken by any planning authority whose strategic policies are more than five years old, and where pressure exists on their ability to demonstrate a five year supply of housing sites.

This radical approach taken by Preston City Council emphasises the need to focus on the conclusion of planning decisions as quickly as possible. Building and maintaining excellent working relationships with local planning authorities and understanding the policy requirements from the outset can help to achieve this.

PFK Land and Development seek to work proactively with local planning authorities from inception to decision, contact our experienced team to find out how we can help you.

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