
What do a mulberry tree, a newt and a railway station car park have in common? All of them have provided a reason, or maybe a pretext, to block the construction of new homes in Britain. In fairness, the mulberry tree is very old — a “veteran” tree, according to the National Planning Policy Framework. But whether it should have prevented the conversion of a derelict East End hospital into nearly 300 flats is another question. When shortages have contributed to average house prices rising more than 60% in a decade — and rents doubling in the same period — an ancient tree in an urban area starts to resemble a luxury more than a right.
This story helps to illustrate why discussion of Britain’s housing crisis focuses on two issues above all: the planning system and Nimbyism. The two are closely connected, since it is the planning system that provides Nimbys with their legal tools, and in return Nimbys protect the planning system itself. This planning system is byzantine, unpredictable, expensive and slow. It requires local authorities to assign land ahead of time based on their own assessment of local needs, rather than actual demand, and allows them to reject applications even when they meet its stated requirements. It protects greenbelt areas that, as the name suggests, are corsets specifically designed to prevent the expansion of the most productive urban areas. The Centre for Cities think tank claims that, had British planning been closer to the European norm, it could now have 4.3 million additional houses.
A thick coating of safety and environmental regulations has made the process more unwieldy still. As one architect fulminated in a trade organ last year, “the system has become close to impossible”, since “even a small application for a single replacement house… can require a small army of consultants to address collateral issues such as trees, ecology, landscape, energy use, highways, heritage, drainage, surface water disposal, flood risk, light spillage, air quality, acoustics, and contamination”. It took him 27 months to get a single house approved. Each agency and requirement seems justifiable by itself, but in combination they form a bureaucratic thicket that is showing increasingly Soviet characteristics. Juliet Samuel recently reported that enterprising councillors have found ways of “selling inside information on how the planning system works to those who will pay to know”.
To make matters worse, local government cuts have left planning departments severely understaffed. Across 17 local authorities, average annual funding has fallen by 44% since 2010, while the average number of employees has more than halved. And it isn’t just house building that is affected; it is, if anything, even more difficult to build the infrastructure that houses need. National Grid’s Ben Wilson has claimed that, largely thanks to the planning process, it can take more than 10 years to install an electricity transmission line. Earlier this month, The Times reported on a railway footbridge in Berkshire that has taken longer to build than the Empire State building.
This is all deeply humiliating for the Conservative Party. The supposed party of home ownership, individual opportunity and economic growth cannot supply the one basic commodity that would most facilitate all these goals, even as it has created still more demand by overseeing historically unprecedented levels of immigration. Not only has the government failed to once meet its target of building 300,000 houses annually, it cannot even find projects on which to use the allocated funds. It recently emerged that more than two-thirds of a £4.2 billion Housing Infrastructure Fund, created in 2017, is still unspent. And in September, the Home Builders Federation released an analysis claiming that planning permissions for new homes had fallen to their lowest level since it started collecting data in 2006.
A succession of efforts to reform planning, each less ambitious than the last, have all foundered on the opposition of Tory MPs whose voters don’t want to surrender their veto on local projects. Unsurprisingly, Labour leader Keir Starmer has spotted an opportunity in all of this. In his October conference speech, he held up the “pebble-dashed semi” of his own childhood as a symbol of the “dream of home ownership”, and vowed to build 1.5 million new houses by “removing the blockages” in the planning system.
Yet this political fixation on building more homes has obscured the true scope and nature of the housing crisis. Britain has more problems with housing than just the shortage of it; there is also the matter of what kind of homes people must settle for. And the politics of house building is not just a case of bypassing local activists armed with data on nutrient levels and bat populations. There are fundamental questions of trust in play, and deep tensions between the local and the national. If left to fester, these seemingly secondary issues will ensure that any revival of house building in the UK is only fleeting.
To put it bluntly, Britain cannot actually build decent houses at scale. Its construction industry is in a sorry state, with its contractors notorious for poor workmanship and unreliability, and its new builds famously shoddy. The Camden development where, five years after completion, apartments sold for the best part of £1 million are so riddled with flaws as to be “effectively worthless” is only one example of a much wider problem. The poor standards of volume housebuilders have given rise to an industry of snaggers, hired by nervous homeowners to find defects in newly finished homes. All the while, the construction workforce is shrinking — smaller now than in 2007, and yet to recover its pre-Covid level — and getting older, with a third of hours worked by people over the age of 50. Those young people who do enter the trade are not gaining adequate skills.
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