Rachel Reeves is expected to announce updates to planning regulations aimed at stimulating the UK’s economic growth before the upcoming budget. The modifications are intended to facilitate housing and infrastructure development, potentially addressing an estimated £30 billion deficit in government finances, of which around £3 billion could be filled through these changes.
The reforms aim to restore private sector confidence, which recently declined to a record low, as reported by the Institute of Directors. Additionally, a separate nature bill is in development to revise specific environmental legislation that the government suggests is hindering new projects in certain regions of the country.
Despite this initiative, some government officials believe the forthcoming planning changes may only involve minor adjustments to existing policies. There is a division within the government regarding the necessity and complexity of entirely new planning legislation. While Prime Minister Keir Starmer has indicated this may be needed, some ministers argue it could be counterproductive.
Currently, the Treasury is focused on announcing planning reforms, but a government source remarked that existing plans are already sufficient, implying that reopening discussions could complicate matters. Planning lawyer Alexa Culver criticized the government’s lack of a cohesive strategy, suggesting the introduction of multiple bills without public consultation lacks democratic legitimacy.
Reeves and Starmer have emphasized planning reform in their economic strategies and recently launched a bill to ease development costs related to wildlife protection. However, they faced backlash after diluting this bill in response to concerns voiced by developers and Labour MPs, ultimately strengthening it again under pressure.
Proposed changes include permitting faster approvals for projects with minimal environmental footprints and potentially revising rules around judicial reviews related to infrastructure projects. Reeves is reportedly exploring these ideas to garner support for the bill, aiming for passage before the budget. Yet, some officials warn that substantial revisions could complicate negotiations and impede progress.
Finally, there is a lingering discussion about a comprehensive new planning bill that could streamline processes for significant infrastructure projects while minimizing judicial delays, though opinions on this approach are mixed within the government.
Source: https://www.theguardian.com/politics/2025/oct/05/ministers-significant-changes-uk-planning-system