The government has reassessed how planning permission and funding are handled for small building projects. The change concerns Section 106 contributions: Brandon Lewis, then Minister of Planning, announced that developments of 10 units or fewer would be exempt from certain contributions.
Mr Lewis said the change would increase the supply of housing by reducing construction costs, affecting both home renovations and new builds, helping brownfield sites to be developed and giving a much-needed boost to small and medium-sized developers.
More funding for small builders
The government also added £525m to the Builders’ Finance Fund, giving essential support to many smaller developments and construction schemes. The effect should be felt around the country – including on renovations and loft conversions in Poole.
What the industry said
A spokesman for the Home Builders Federation called the relaxation a much-needed lifeline for small developments, saying Section 106 had cost smaller projects time and money and stopped some in their tracks.
Brian Berry, chief executive of the Federation of Master Builders, said a threshold of 10 units or fewer was a reasonable solution that should ease cost pressures, give smaller house builders more opportunity, and help meet the growing need for new homes. He also welcomed the government listening to the industry’s advice.