Institute of Directors urges Government to resist 'watering down' of NPPF

The Government should not give in to pressure on its planning law reforms if it wants to boost the construction industry and meet the needs of first time buyers experiencing a shortage of homes, the head of Institute of Directors (IoD) has said.

"Subsidising 95 per cent mortgages through the NewBuy Guarantee won’t do any harm, but the best way to help house-builders and aspirant homeowners is to allow more houses to be built," said Simon Walker, director general of the IoD.

“Real planning reform would kick-start the construction industry and make prices more affordable for young couples looking to own their first home," said Walker. "The Government must ensure that the National Planning Policy Framework (NPPF) is not watered down by the efforts of Nimbys to protect the value of their properties."

The IoD said that it fully backed the NPPF, which if adopted in its current for will simplify 1,200 pages of planning guidance into 52 pages. The NPPF contains a controversial 'presumption in favour of sustainable development' which the IoD supports.

"The presumption in favour of sustainable development is the crucial change, and it is vital that the definition of “sustainable development” is not too restrictive in the final NPPF draft," an IoD statement said.

"The number of households in England is projected to grow by 232,000 a year, far outstripping housing construction," it said. "In 2009 the UK built 142,000 new properties – the lowest peacetime number since 1924. Compared to genuine planning reform, subsidising 95 per cent mortgages for newly-built homes through the NewBuy Guarantee scheme is a much lower priority."