20th Nov 2006 07:01
Barratt Developments PLC20 November 2006 20th November 2006 David Pretty calls for Planning Reforms Britain's planning system is showing some early signs of improvement but stillneeds more resources and urgent reform, according to David Pretty, outgoingchief executive of Barratt, Britain's leading housebuilder. However, he urged the Government to resist the temptation to replace orrevolutionise the existing planning system, but instead to concentrate onrefining and improving it. At the same time, he called on the Government toreconsider its position on the proposed Planning Gain Supplement (PGS), which hebelieves will have the opposite effect to that intended. Mr Pretty, who retires from Barratt Group at the end of 2006, said: "We arebuilding far fewer homes than 25 years ago, and certainly nowhere near enough tomeet government targets and improve affordability for first-time buyers. "Back then, a non-contentious application would take around eight to 12 weeks toget through the planning system whereas today a comparable application can takeup to 18 months! The system has deteriorated sharply in the past ten years,although we are now starting to see some minor improvements. Like others in theindustry, I am encouraged by the Government's commitment to improve matters -but more needs to be done, and it needs to be done quickly if a whole generationof first-time buyers is not to be sacrificed." He added: "Local authorities and their planners have been buffeted by too manychanges in recent years and I believe the priority now is to streamline andproperly resource the existing system to make it work better - and to back itwith measures which together could have a significant effect." Mr Pretty wants to see the Government implement a number of key measures: •Selling Government land for new homes at significantly below market value. •Providing more community, social and transport infrastructure. •Increasing the national brownfield development target to at least 65 per cent. •Introducing a short-term planning 'amnesty' on minor domestic applications. •Rebalance and 'front-end' the democratic planning process so that it is not mired in consultation, regulation and administration. Expanding on his proposals in order, he said: "When disposing of its redundantland stock, the Government, as the nation's largest landowner and largestsupplier of land to housebuilders, should consider accepting pricessignificantly below market value - in return for lower selling prices tofirst-time buyers and key workers, and higher design and environmentalstandards. Action like this could have a significant effect in a relativelyshort time and could give a big boost to beleaguered first-time buyers." Mr Pretty said that many objections to urgently-needed housing schemes centredon the extra burden they might place on local education, health and transportfacilities. "These are not matters which are in the gift of housebuilders. It isgenerally agreed that Britain has not, over many decades, kept up with otherEuropean countries in the provision of general infrastructure - and that needsto be put right for the future. And while I understand the thinking behind theGovernment's proposed Planning Gain Supplement (PGS), I don't believe a land taxsuch as this is the right way to provide the infrastructure we need, as it willtend to limit rather than encourage housing supply. I would urge them to look atother solutions, one of which might be to improve and enhance the existingSection 106 local planning mechanism which requires housebuilders to make aproportionate contribution to local needs. But it is not going to be the wholeanswer and any Government will need to do more" he said. Increasing the Government's brownfield development target to at least 65 percent would help to counter the myths about concreting over green fields, he said- and should be backed by a priority fast-track process for brownfield planningapplications, particularly for sites including first-time buyer and socialhousing. "Giving brownfield applications priority would also encourage moreregeneration" he said. On his suggested planning 'amnesty', Mr Pretty said: "We are where we are withthe current overworked planning system. Improvements take time, so we needmeasures to break the logjam. It may seem radical, but one of these could be ashort-term planning amnesty on minor domestic planning applications, ratheralong the lines of a recent suggestion from John Gummer, the former CabinetMinister. Minor applications - for alterations, extensions, changes of use etc -are thought to account for around half of all applications currently choking theplanning and appeals system. We should question whether this is a sensible useof planners' time when there are so many pressing priorities. However, theseminor applications could be rapidly approved, subject to certain basicsafeguards, and the planners could then concentrate on considering priorityhousing schemes. This could boost housing output at a stroke." Looking to the future, Mr Pretty suggests rebalancing the democratic planningprocess to relieve the welter of consultation, regulation and administrationthat has become so enmeshed in the system over the past 20 years. He said "Weneed to concentrate the democratic debate and public consultation at thefront-end of the process when the key principles of development are beingdecided. However, once they are decided, widespread consultation should ceaseand we should then allow professional planning officers to get on and progressapprovals swiftly so long as they are within their agreed Local Plans andadopted policies." Mr Pretty was speaking exactly a year after presenting the Government with aneighteen-point programme of suggested reforms. Some have already been taken up,including new and more direct funding initiatives to help first-time buyers andkey workers. Another key proposal - to help solve the rural housing crisis byproviding a small number of new homes in every country town and village - hassince been espoused up by the Government's Commission for Rural Communities. END 20th November 2006 Business/Financial Public RelationsWeber Shandwick Square Mile Tel: 020 7067 0700Terry Garrett/Chris Lynch Notes for Editors: David Pretty's full 18 point plan to increase housing provision is availablefrom www.barratt-investor-relations.co.uk along with expanded information onthose points covering key worker and rural housing (click on "Press Releases"and then "Group Releases" and they are listed as "Call for planning reform" and"Proposal to ease rural housing crisis"). BIOGRAPHICAL INFORMATION: DAVID PRETTY, OUTGOING GROUP CHIEF EXECUTIVE David A Pretty stepped down as Group Chief Executive of Barratt Developments PLCon 2 October 2006 and remains a Main Board director pending retirement at theend of 2006. He is one of the housebuilding industry's best-known figures,having been active at senior management level for well over 25 years. Althoughrecognised primarily for his extensive experience and leading role in the fieldsof urban regeneration, land buying and marketing, he is also considered apioneer of social housing partnership development in the inner-cities. Heundertook one of the first private-public partnerships in London 25 years agoand, as CEO of Barratt, headed the nation's largest provider of social housing. He was raised on a council estate in Shepherds Bush, west London, and achievedan honours degree in economics at the University of Hull. In 1966, he joinedProcter & Gamble, the consumer goods multinational, as a graduate trainee andmoved into the housing industry in 1968, joining Barratt as a sales and landdirector in 1976. In 1980, he was appointed managing director of Barratt CentralLondon, with responsibility for opening up Barratt operations across the capital- which included many major inner city projects, and also selling a largeBarratt family home in Dulwich to the then Prime Minister Margaret (nowBaroness) Thatcher. He subsequently became Barratt Group Marketing Director andthen Chairman of Barratt's Southern Region, transforming it into the Group'slargest region. He was appointed Group Managing Director in 1998 and Group CEOin October 2002. He remains the longest-serving member of the Barratt MainBoard. David Pretty is married with two daughters and five granddaughters, andlives in London with his wife. END Images of David Pretty are downloadable free fromwww.barratt-investor-relations.co.uk This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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