Government plans to remove EU ‘nutrient neutrality’ housebuilding rules

The department said that more than 100,000 homes held up due to the laws would be unblocked between now and 2030, delivering an estimated £18bn boost to the economy.

It is expected that developers could begin construction on these homes in a matter of months, the government added.

DLUHC said the amendment would give Natural England greater freedom to develop catchment-specific solutions to the causes of nutrient pollution in partnership with each community, supported by government and private investment.

The move is accompanied by additional environmental measures intended to tackle pollution at source and restore habitats. This includes doubling investment in the Nutrient Mitigation Scheme run by Natural England, to £280m.

This is designed to ensure it is sufficient to offset the “very small amount of additional nutrient discharge” attributable to up to 100,000 homes between now and 2030.

Natural England will work with local authorities, the private sector and others to tackle nutrient pollution and work towards the long-term health and resilience of the river systems.

The government said it intends to work with the housebuilding industry to ensure that larger developers make an “appropriate and fair contribution” to this scheme over the coming years.

It is also discussing the right structure and approach with the Home Builders Federation. The government will then accelerate work on full site restoration through further work on new protected site strategies, it said.

Natural England will draw up the strategies in partnership with local communities to set protected sites on the path to recovery in the most affected catchments with the highest housing demand. 

Housing secretary Michael Gove said: “We are committed to building the homes this country needs and to enhancing our environment.

“The way EU rules have been applied has held us back. These changes will provide a multibillion-pound boost for the UK economy and see us build more than 100,000 new homes.

“Protecting the environment is paramount, which is why the measures we’re announcing today will allow us to go further to protect and restore our precious waterways whilst still building the much-needed homes this country needs.

“We will work closely with environmental agencies and councils as we deliver these changes.”

The amendment on nutrient neutrality was tabled to the Levelling Up and Regeneration Bill. The bill, which is due to enter the report stage in the House of Lords, contains huge planning reforms.

It will put in place many of Mr Gove’s planning proposals, announced in his long-term plan for housing on 24 July. For example, reforms to speed up new developments, “put power in the hands of local communities” to build their own homes and unlock planning decisions.

When announcing this long-term plan, Mr Gove said that it includes a new £24m Planning Skills Delivery Fund, designed to clear planning backlogs and get the right skills in place. Funding will be available to local authorities over two years to help implement the reforms proposed in the Levelling Up and Regeneration Bill.

The bill will also introduce a new infrastructure levy, which is a replacement for Section 106. After facing long-standing criticism from the social housing sector over fears it will lead to fewer affordable homes being delivered, it was amended in July to address these concerns.

Many in the sector have welcomed these amendments.

According to Baroness Scott of Bybrook, these will ensure that local planning authorities must “seek to ensure” that affordable housing funding is maintained or exceeded when the new levy is introduced.

Nutrient reduction

The government said that its nutrient reduction plan will also help to deliver on its legal target to reduce nutrient run-off from agriculture by at least 40 per cent by 2038, and by 15 per cent in nutrient neutrality catchments by 2028.

Alongside the amendments tabled to the Levelling Up and Regeneration Bill, Natural England’s Nutrient Mitigation Scheme is intended to ensure that new homes built do not place undue stress on already stressed local water networks.

It will this year consult on new requirements, where needed, for sustainable drainage solutions to reduce pressure on storm overflows from new homes and flood risk.

The government will help identify specific action needed to restore habitats and species in the catchments most impacted by nutrient neutrality and with the most acute housing pressures.

The government will also provide £200m in grants for improved slurry storage infrastructure and precision spreading equipment and invest £25m to drive innovation to help farmers manage plant and soil nutrients.

The plan also involves conducting at least 4,000 inspections on farms each year, making sure that slurry and other sources of nutrients are being handled in a way that minimises pollution of the water environment.

Thérèse Coffey, secretary of state for environment, food and rural affairs, said: “These new plans will cut nutrients and help support England’s precious habitats whilst unlocking the new homes that local communities need.

“We are going to tackle the key causes of nutrients at source with over £200m of funding to reduce run-off from agriculture and plans to upgrade wastewater treatment works through conventional upgrades, catchment approaches and nature-based solutions.

“This builds on the key commitments made in our five-year strategy – our Environmental Improvement Plan – as well as our Plan for Water which brings forward more investment, stronger regulation and tougher enforcement to protect our rivers.”