Sanctions, Targets and Tensions: What the Housing Crackdown Means for Planning

Secretary of State for Housing, Communities and Local Government, Angela Rayner is preparing to introduce tougher sanctions on English councils accused of deliberately blocking local housing developments. 

Under stricter rules, councils could be forced to approve new housing projects, with Whitehall officials taking over planning departments that fail to comply. 

By the end of the year, the Ministry of Housing, Communities and Local Government (MHCLG) is expected to lower the threshold for how many planning appeals a council can lose before government sanctions are triggered. 

(Source: UK Government)

New Housing Target in the UK 

Angela Rayner has set new housing targets to help deliver the government’s goal of 1.5 million homes by the end of this parliament. However, hundreds of councils are expected to resist the new rules. 

Industry analysts warn the plan is already falling behind schedule, with major housebuilders having a slow start to the year. To keep on track, Rayner is expected to push more councils to amend their local development plans to accommodate higher housing numbers. 

Issues that have Arisen 

A spokesperson for the MHCLG said: 

“The government is taking decisive action to deliver 1.5 million homes through our plan for change, with major planning reforms and a landmark planning and infrastructure bill already introduced to drive housebuilding to its highest level in 40 years. 

We are exploring plans to go further by making it easier to intervene where councils consistently make poor-quality decisions on planning applications, blocking the homes and infrastructure we need. This will help get Britain building again and restore the dream of home ownership".

Planning bodies argue that the real issue lies elsewhere. They point out that housebuilders already hold a surplus of approved planning permissions but are holding back construction due to the economic slowdown and concerns about flooding the market, which could lower house prices. 

At the same time, developers are increasing pressure in commuter belts around major cities, seeking approval for private housing estates with limited amenities or transport links. These types of developments often clash with existing local plans, creating further tension between national targets and local priorities. 

What Experts Think 

Robbie Calvert, Head of Policy at the Royal Town Planning Institute (RTPI), warned that councils need proper investment to deliver timely, high-quality planning decisions. He states

“We need to ensure that councils receive the effective investment necessary to achieve quality decisions in a timely manner”.  

Hugh Ellis, Director of Policy at the Town and Country Planning Association (TCPA), added that the government was undermining local democracy by tearing up carefully prepared local plans, often at the expense of the environment. 

The pressures are already being felt on the ground. In May, Wiltshire’s planning manager Kenny Green admitted there was a “very real risk of the authority entering special measures – which means the council cannot determine applications” after 7% of its planning decisions were overturned. Wiltshire is also close to missing its annual housing target of 3,525 homes, a figure nearly doubled last year by the housing minister. 

Resulting Actions 

Under local plans, councils must demonstrate how they will increase housing supply over the next five years. Where no up-to-date plan exists, the National Planning Policy Framework requires planning permission to be granted unless strong policy protections justify refusal. 

This has led to controversial approvals: in Kent and Somerset, planning inspectors recently allowed new housing on flood plains despite opposition from local officers. Meanwhile, a Home Builders Federation study found that councils, mostly in southern England, spent more than £50 million on external legal advice for planning appeals in just three years, highlighting the financial toll of the current system. 

What Could this Mean for UK Planning? 

Here are potential implications: 

• Stronger Central Government Intervention – councils that fail housing delivery tests or lose too many appeals could see planning powers being handed over, with Whitehall stepping in more frequently. 

• Weakened Local Plans – where local plans are outdated or fail to deliver a five-year housing supply, developers will have greater success on appeal, increasing approvals on sites outside community priorities. 

• Greater Pressure on Councils – authorities will be pushed to raise housing numbers in local plans, despite limited resources. This increases the risk of rushed or lower-quality decision-making without new investment. 

• Financial and Capacity Strain – more appeals could mean rising legal costs and heavier workloads, leaving councils stretched and vulnerable to sanctions. 

  
  

Conclusion 

In summary, UK planning is shifting towards centralised oversight and delivery-focused results, but in turn, risks undermining local democracy environmental safeguards and long-term community planning unless councils receive stronger resourcing and policy clarity.  

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At Bluestone Planning, we are closely following the government’s push to accelerate housing delivery and the proposed sanctions on councils that fail to keep up. These reforms will reshape the balance between local decision-making and central oversight, with significant consequences for developers and planning authorities alike.

Whether you are bringing forward a small scheme or a major housing development, the risks of delay and challenge are rising. Outdated local plans, shifting national targets and the growing role of inspectors mean that careful preparation is more important than ever. A strong planning case, supported by early professional input, can make the difference between success and costly setbacks.

We work with clients to navigate these pressures, helping to anticipate policy changes, strengthen applications and manage the complex relationship between housing targets, local priorities and environmental safeguards.

If you are considering a new development and want to understand how these reforms could affect your project, we would be happy to discuss how our expertise can support you at the pre-application stage. Contact us on +44 1235 766825 or email admin@bluestoneplanning.co.uk to see how we can help.