How Neighbourhood Planning Influences the Development of Suburbs

The UK Government is placing a renewed emphasis on planning at the local level. The authorities are of the opinion that local people understand local needs better and know how they can be met.

One of the vital elements of this new approach to planning is the Neighbourhood Plan. Local communities are encouraged to come together to shape the future of their locality. Neighbourhood Plans help people decide how their places will transform with time. The knowledge of the locals about what changes must be implemented and what needs to be protected can make a difference in the outcome.

Likely Neighbourhood Plans Challenges

Likely Neighbourhood Plans Challenges

2023 poses a challenge to locals involved in creating Neighbourhood Plans. The ongoing financial crisis is not expected to get any better in 2023. The local authorities want to cut spending and review assets. There is also an emphasis on limiting infrastructure spending. This can likely create hostility between councilors, the community, and developers. In specific sectors like schools, medical facilities, and housing, a huge demand for infrastructure development exists. However, not all communities understand the processes involved in planning and developing local infrastructure, how the funds are derived, and the rules involved in spending the money raised.

Norms For Spending Funds

Norms For Spending Funds

In a community with a Neighbourhood Plan in place, the local authority must pass on 25 percent of the relevant Community Infrastructure Levy (CIL) receipts for that area. The neighbourhood portion of the levy can be utilized for a broader range of services than that which the remainder of the levy is restricted. The aim of this rule is to help in bridging some of the spending gaps. Unfortunately, many parish and town councils are unaware of how funding and allocation work.

There is another important rule regarding the CIL that local communities are unaware of. If a parish or town council doesn’t use their portion of CIL receipts within five years, the council can recall this money. That’s why it is essential for communities to use CIL receipts within the stipulated period. If Parish councils spend time understanding the various intricacies and implications of CIL receipts, they will be able to allocate their share of the funds prudently. They can identify the areas that require urgent infrastructure development and pull back from spending on things that don’t need urgent attention.

The potential abolition of housing targets is another vital aspect that parish councils must understand. In the UK, across the country, there is enormous pressure on infrastructure and its ability to serve the needs of people currently. If targets are abolished, it will ease the strain on parish and town councils, and they may not pursue local development projects with the same urgency as they used to do when allocated targets. This may affect the pace and quantum of new development and significantly reduce the financial contributions they get through CIL and S106 Agreements for funding infrastructure improvements.