The recent Labour Government’s National Planning Policy Framework (NPPF) Reforms Consultation, launched on 30 July 2024, has introduced significant changes to how housing targets are calculated in the UK. These changes, outlined in the revised National Planning Policy Framework (NPPF), are set to have a substantial impact on Oxfordshire’s local authorities and their emerging local plans.
What’s changed?
The revised NPPF stipulates that for local plans with a significant gap between the plan’s proposed housing target and the target derived from the new standard method, the plan must be revised to accommodate the higher figure.
A ‘significant gap’ is defined as a 200-dwelling per annum difference between the local plan’s housing figure and that of the new standard method figure. Local authorities would be expected to revise housing targets, and consequently their local plan, if they have not reached Regulation 19 before one month following the publication of the revised NPPF.
We believe these proposed changes will have a significant impact on Oxfordshire’s local authorities based on the progress of local plans within the county. Currently, Oxford City Council is the only local authority in Oxfordshire who has an emerging Local Plan at examination, with their neighbouring authorities currently preparing draft local plans for Regulation 19 consultations.
The position of Oxfordshire’s local planning authorities
Oxford City
- Oxford has not followed the standard method to calculate its current housing need. The city’s objectively assessed need is for 1,322 new dwellings per annum, but there is a firm acknowledgement that the city cannot deliver this number of homes within its boundaries.
- The housing requirement of the Local Plan 2041 is therefore 481 new dwellings per annum.
- Under the new standard method, Oxford’s housing need would be 1,051 new dwellings per year, an increase of 54%.
Cherwell
- Cherwell acknowledges Oxford’s unmet housing need in its housing requirements of its emerging Local Plan, stating a figure of 1,293 new dwellings per annum.
- Under the new standard method, Cherwell’s housing need would only be 825 new dwellings per annum, an 18% decrease on published figures.
South Oxfordshire and the Vale of White Horse
- South and Vale have joined forces to prepare a Joint Local Plan (JLP) covering both local authority areas. At present, the JLP acknowledges an accepted amount of Oxford’s housing need up until 2031 (under each authority’s adopted Local Plans), requiring a total of 1,746 new dwellings per annum combined.
- For the period 2031 – 2041, South Oxfordshire’s figure would revert to 605 new dwellings and 628 new dwellings in the Vale of White Horse.
- Under the new standard method, South Oxfordshire’s housing figure would be 1,179 new dwellings, a 63% increase compared with the current housing requirement of the JLP.
- For the Vale of White Horse, a figure of 937 new dwellings per annum, representing a 52% increase compared with the current housing requirement of the JLP.
- The calculation of the JLP’s housing need is under review as part of the Regulation 18 consultation, and as such it’s expected to be reviewed as part of the Regulation 19 consultation.
West Oxfordshire
- West Oxfordshire has not currently published any housing figures under its Regulation 18 consultation, and as such we have compared its published 5-year housing land supply figure of 612 new dwellings.
- Under the new standard method, West Oxfordshire’s housing figure would be 889 new dwellings per annum, an increase of 31%.
Decision time for local authorities
This outlines the complex set of decisions each local authority needs to make, especially for those progressing their plans to Regulation 19 this autumn. Largely, the proposed NPPF changes see housing figures increase for Oxford City, West Oxfordshire, South Oxfordshire and the Vale of White Horse, and decrease for Cherwell.
For all local authorities, bar Cherwell, there appears to be a ‘significant gap’ between their current housing requirements and those proposed under the updated standard method. Therefore, we would expect to see changes to emerging local plans on that basis.
Cherwell is in a different position as it’s currently pledging a higher housing target than the standard method proposes, and so whether it makes changes on this basis, or continues with the plan as prepared will be interesting to see.
Duty to cooperate
Not only will West Oxfordshire, South Oxfordshire and the Vale of White Horse need to consider adjusting their housing targets to the standard method, but they’ll also need to take into account the duty to cooperate as well. In a Written Ministerial Statement accompanying the NPPF Consultation, Angela Raynor highlighted the Government’s intention to identify priority groupings of local authorities where strategic planning (and the sharing of housing need) would provide particular benefits and use intervention powers where necessary to ensure cooperation.
Oxford’s growth ambitions
One day later, Angela Raynor singled out Oxford as having ambitious growth which has been constrained by the current method of assessing housing need. With Oxfordshire being a net contributor to the UK economy, there will likely be greater focus from the Government on ensuring that Oxfordshire’s local authorities meet their ambitious growth agenda and work together to achieve the 5,100 homes per annum proposed by the new standard method.
Under the new Government’s aspirations, it’s expected that Oxfordshire’s local authorities will work together to deliver sustainable growth (housing, economic development and infrastructure) and will need to cooperate to meet Oxford’s unmet need.
What’s next?
Local authorities now face a crucial decision: stick with their current plans or twist to meet the new requirements.
We’ll be keeping a close eye on how each local authority approaches this over the coming months, particularly as Regulation 19 plans reach consultation, as well as if Oxford’s plan proceeds through examination, and whether discussions around strategic planning across Oxfordshire are reignited.
The NPPF Consultation closes on Tuesday 24 September 2024 and following this, the Government is expected to publish the revised NPPF by the end of the year.
For planning expertise and guidance on these updates, contact us at enquiries@edgarslimited.co.uk or call 01865 731700.
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