RICS Guidance on Viability in Planning
April 20, 2021
Valerie Conway
1385 Views
The RICS has issued new guidance for financial viability assessments in planning (FVAs). The new guidance supports the aims set out in the NPPF and PPG in trying to ensure developers commit to adequate infrastructure and affordable housing levels, irrelevant of the cost of land.
Developer contributions are a contentious topic, with many developers arguing that requirements to provide contributions and affordable housing are stunting development potential. The guidance seeks to overcome the circularity created by the previous guidance issued in 2012 whereby developers used high land prices to justify low developer contributions and low developer contributions leading to higher land pricing.
In line with the NPPF and PPG, the emphasis is on viability being established at the plan making stage via typology and strategic site testing.
The new guidance seeks to make it clear that planning contributions should be part and parcel of the development equation and not negotiable at the decision making stage where an up to date plan is in place.
Whilst the new guidance doesn’t completely rule out viability arguments at the decision making stage, listing a number of circumstances where viability arguments might be put forwards, the onus is firmly on the developer to justify their case with no compunction on the decision maker to accept such arguments.
To read more of our Viability Team’s takeaway from the RICS guidance, click here.
RELATED NEWS
Great Leighs, Chelmsford City Council, Essex – Strategic Growth Site
Masterplan Framework document to deliver around 950 new homes, 250 specialist elderly dwellings, together with a neighbourhood centre, site for a primary school and a Travelling Show-persons site, all set within a mature landscape setting adjacent to and integrated with the existing village.
Proposed Reforms to the NPPF, Summary Response
In December 2022, the UK Government released a consultation document proposing changes to the National Planning Policy Framework (NPPF). You can read our summary response to this consultation here.
Project Skyway
David Lock on why we need to talk about a proposed long-distance network of drone based delivery ‘superhighways.’
Promotion at David Lock Associates
DLA is pleased to announce the promotion of Emily Benstead to the role of Planner. This recognition is a result of Emily achieving Chartered Member status with the RTPI and her noteworthy work as an Assistant Planner.
Houlton School wins RTPI Award for Planning Excellence
Houlton School wins the RTPI Award for Planning Excellence for ‘Excellence in Planning for Heritage and Culture’
DLA Working With STFC
David Lock Associates is delighted to be working with the Science and Technology Facilities Council (part of UK Research and Innovation) on a series of exciting development plans, which are helping to facilitate world-leading research.
Build Your Career at DLA
We are looking for enthusiastic, bright and committed graduate planners to join our leading spatial planning practice next summer.
New Recruits and Promotions at DLA
David Lock Associates is delighted to announce several new appointments following a recent recruitment drive, and promotions from earlier this year.
Speedy Approval for Prospero Ansty Business Park
David Lock Associates recently secured full planning permission for three flexible B2/B8 units at Prospero Ansty Business Park in Rugby Borough, which would deliver a combined floorspace of over 50,000 sq.m.
